Par Pacific Holdings Inc (PARR)

Days of inventory on hand (DOH)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Inventory turnover		6.01	5.49	4.99	6.90	6.21	6.61	4.74	4.75	5.59	6.27	5.56	4.68	7.22	7.29	10.01	15.94	6.19	3.86	2.31	0.15
DOH	days	60.70	66.44	73.13	52.89	58.80	55.24	77.05	76.81	65.32	58.17	65.64	77.91	50.57	50.04	36.46	22.90	58.92	94.56	158.02	2,514.61

December 31, 2023 calculation

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

Calculating the Days of Inventory on Hand (DOH) for Par Pacific Holdings Inc based on the data provided reveals fluctuations over the past eight quarters. The trend indicates that the company has experienced varying levels of efficiency in managing its inventory during this period.

The DOH ranged from a low of 53.73 days in Q1 2023 to a high of 78.25 days in Q2 2022, with noticeable fluctuations in between. Generally, a lower number of days of inventory on hand is preferred as it implies faster inventory turnover and better liquidity. Conversely, a higher DOH signifies slower inventory turnover, potentially leading to increased holding costs and risks of obsolescence.

It is important for Par Pacific Holdings Inc to closely monitor and manage its inventory levels to optimize working capital and enhance overall operational efficiency. Analysis of trends in DOH can provide insights into the company's inventory management practices and help identify opportunities for improvement.