Nabors Industries Ltd (NBR)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 16.91 | 13.95 | 13.49 | 13.41 | 13.77 | 14.15 | 13.46 | 13.81 | 14.81 | 13.79 | 13.92 | 11.97 | 11.87 | 9.18 | 8.04 | 7.73 | 10.13 | 12.90 | 14.60 | 15.62 | |
| DOH | days | 21.59 | 26.17 | 27.06 | 27.21 | 26.52 | 25.80 | 27.12 | 26.42 | 24.65 | 26.48 | 26.21 | 30.49 | 30.76 | 39.78 | 45.41 | 47.19 | 36.04 | 28.30 | 25.00 | 23.36 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 16.91
= 21.59
The days of inventory on hand (DOH) for Nabors Industries Ltd has shown some fluctuations over the past few years.
From March 31, 2020, to December 31, 2021, the DOH increased steadily from 23.36 days to 30.76 days, indicating that the company was holding inventory for a longer period. This could imply inefficiencies in inventory management or changes in demand patterns.
However, from March 31, 2022, to December 31, 2024, the trend reversed, with the DOH decreasing steadily from 30.49 days to 21.59 days. This reduction suggests that the company was able to manage its inventory more efficiently during this period, potentially lowering carrying costs and improving cash flow.
Overall, while the DOH initially increased and then decreased over the period under consideration, the recent decline in DOH indicates a positive trend towards more efficient inventory management at Nabors Industries Ltd. It will be important for the company to continue monitoring its inventory levels to strike the right balance between maintaining adequate stock and avoiding excess holding costs.
Peer comparison
Dec 31, 2024