MaxLinear Inc (MXL)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 1.83 | 3.08 | 2.93 | 3.01 | 2.72 | |
| DOH | days | 198.95 | 118.55 | 124.55 | 121.22 | 134.35 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.83
= 198.95
MaxLinear Inc's days of inventory on hand (DOH) has shown fluctuations over the past five years. In December 31, 2020, the company had an inventory turnover of 134.35 days, which decreased to 121.22 days by December 31, 2021. The trend continued with minor variations, reaching 124.55 days on December 31, 2022, and dropping further to 118.55 days by December 31, 2023. However, there was a significant increase to 198.95 days on December 31, 2024.
A lower DOH indicates that the company is more efficient in managing its inventory, as it takes fewer days to sell its inventory. Conversely, a higher DOH suggests that the company may be facing challenges in selling its products in a timely manner or may have excess inventory.
MaxLinear Inc should closely monitor its inventory management practices to ensure that the DOH is optimized. Analyzing the reasons behind the significant increase in DOH in 2024 is crucial to addressing any potential issues and improving the company's overall operational efficiency.
Peer comparison
Dec 31, 2024