MACOM Technology Solutions Holdings Inc (MTSI)

Days of inventory on hand (DOH)

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Inventory turnover		1.73	1.93	2.34	3.21	2.84
DOH	days	211.40	189.44	155.99	113.88	128.63

September 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.73
= 211.40

The Days of Inventory on Hand (DOH) ratio for MACOM Technology Solutions Holdings Inc has shown a fluctuating trend over the past five years.

In 2024, the company held inventory on hand for an average of 211.40 days, marking an increase from the previous year. This suggests a longer period of time that inventory remains in stock before being sold or used.

In 2023, the DOH was 189.44 days, indicating a slight increase compared to 2022. This could imply potential issues with inventory management efficiency.

The trend continues with the DOH ratio of 155.99 days in 2022, showing a decrease from the previous year. This reduction may indicate improvements in inventory turnover and management.

In 2021, the DOH ratio was 113.88 days, reflecting a significant decrease from the prior year. This could signal more effective inventory control and potentially better forecasting of demand.

Lastly, in 2020, the DOH ratio increased to 128.63 days, suggesting a longer period of time that inventory was held compared to the previous year, potentially impacting the company's cash flow and profitability.

Overall, the fluctuating trend in MACOM Technology Solutions Holdings Inc's Days of Inventory on Hand ratio over the past five years highlights the importance of efficient inventory management practices to optimize warehouse levels and minimize carrying costs.