Murphy Oil Corporation (MUR)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		36.76	15.19	33.78	28.08	26.63
DOH	days	9.93	24.02	10.81	13.00	13.71

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 36.76
= 9.93

The days of inventory on hand (DOH) for Murphy Oil Corporation have exhibited varying trends over the past five years. The company's DOH decreased from 13.71 days as of December 31, 2020, to 13.00 days as of December 31, 2021, indicating a slight improvement in the management of inventory levels.

However, the DOH notably decreased to 10.81 days as of December 31, 2022, suggesting further enhancement in inventory turnover efficiency. Subsequently, there was a significant spike in DOH to 24.02 days as of December 31, 2023, signaling potential challenges in managing inventory levels efficiently.

Nevertheless, the company managed to reduce its DOH substantially to 9.93 days as of December 31, 2024, reflecting a strong effort in streamlining inventory management processes. Overall, while there have been fluctuations in Murphy Oil Corporation's DOH over the years, the recent decrease indicates an improvement in managing inventory levels effectively. Continued monitoring of inventory turnover efficiency will be crucial for the company's operational performance and profitability.