NXP Semiconductors NV (NXPI)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 2.68 | 3.19 | 4.20 | 4.25 | 3.57 | |
| DOH | days | 136.10 | 114.35 | 86.87 | 85.89 | 102.16 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.68
= 136.10
NXP Semiconductors NV's days of inventory on hand (DOH) has shown a varying trend over the past five years. The DOH was relatively stable in 2019 and 2020 at around 102 days and 86 days, respectively. However, in 2021, there was a significant increase to 86.87 days, indicating a potential buildup of inventory.
This trend continued in 2022 with DOH increasing further to 114.35 days, highlighting a potential concern about the efficiency of inventory management. In 2023, the DOH rose even higher to 136.10 days, suggesting a prolonged period for the company to sell its inventory.
Overall, the increasing trend in NXP Semiconductors NV's days of inventory on hand over the years may indicate inefficiencies in managing and selling inventory, potentially leading to higher carrying costs and liquidity challenges. Further analysis and measures to optimize inventory management processes may be necessary to improve performance in this area.
Peer comparison
Dec 31, 2023