Par Pacific Holdings Inc (PARR)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		6.01	6.21	5.59	7.22	7.92
DOH	days	60.70	58.80	65.32	50.57	46.10

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.01
= 60.70

The days of inventory on hand (DOH) for Par Pacific Holdings Inc have exhibited variability over the past five years. In 2023, the DOH stood at 61.94 days, slightly higher compared to 2022 when it was 59.65 days. This suggests that the company held its inventory for a longer period in 2023.

Comparing to 2021, where the DOH was 66.49 days, the inventory turnover improved in 2023, indicating a more efficient management of inventory. In 2020, the DOH was 53.23 days, showing an increase in 2023, which might signify an inclination towards maintaining higher inventory levels.

Further back, in 2019, the DOH was at the lowest level of 46.80 days, indicating a shorter period over which inventory was held. This suggests that the company might have streamlined its inventory management practices by reducing the amount of inventory held.

Overall, while there has been some fluctuation in the DOH of Par Pacific Holdings Inc over the past five years, it is important for the company to strike a balance between holding enough inventory to meet demand efficiently and avoiding excess inventory that could tie up cash flow.