OGE Energy Corporation (OGE)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		9.89	20.54	65.20	52.54	26.71
DOH	days	36.91	17.77	5.60	6.95	13.67

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 9.89
= 36.91

The days of inventory on hand (DOH) for Oge Energy Corp. have fluctuated significantly over the past five years. In 2023, the DOH increased to 165.26 days, indicating a substantial increase in the number of days it takes for the company to sell its inventory. This significant jump in DOH may suggest potential issues with inventory management, such as overstocking or slow-moving inventory.

In contrast, the DOH was much lower in 2022 at 63.52 days, which is closer to the industry average. This could suggest more efficient inventory management practices during that year. The lowest DOH was recorded in 2021 at 27.19 days, indicating a very efficient inventory turnover rate, possibly due to effective sales strategies or streamlined inventory processes.

The DOH in 2020 was relatively high at 86.47 days, which could indicate challenges in managing inventory levels efficiently, potentially leading to increased carrying costs or obsolete inventory. In 2019, the DOH was similar to 2022 at 63.50 days, suggesting relative stability in inventory management practices during that period.

Overall, the fluctuation in Oge Energy Corp.'s DOH over the past five years indicates varying levels of efficiency in managing inventory levels and turnover. It would be essential for the company to analyze the factors contributing to these fluctuations and implement strategies to optimize inventory management for improved financial performance.