Photronics Inc (PLAB)

Days of inventory on hand (DOH)

		Oct 31, 2024	Jul 28, 2024	Apr 28, 2024	Jan 28, 2024	Oct 31, 2023	Jul 30, 2023	Apr 30, 2023	Jan 29, 2023	Oct 31, 2022	Jul 31, 2022	May 1, 2022	Jan 30, 2022	Oct 31, 2021	Aug 1, 2021	May 2, 2021	Jan 31, 2021	Oct 31, 2020	Aug 2, 2020	May 3, 2020	Feb 2, 2020
Inventory turnover		11.18	11.36	11.61	12.47	12.58	11.07	11.11	8.59	8.83	8.92	7.54	9.19	10.12	10.28	9.56	9.39	9.31	9.74	9.14	10.34
DOH	days	32.64	32.14	31.43	29.26	29.01	32.98	32.86	42.48	41.33	40.94	48.40	39.70	36.08	35.50	38.19	38.88	39.20	37.46	39.95	35.29

October 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 11.18
= 32.64

The days of inventory on hand (DOH) for Photronics Inc have shown some fluctuations over the past few years. The company consistently maintained their inventory for around 30-33 days in recent quarters, indicating efficient inventory management.

There was a notable increase in DOH to 42.48 days on Jan 29, 2023, which might suggest an accumulation of excess inventory or a slowdown in sales during that period. Subsequently, the company managed to bring down the DOH to around 29-32 days in the following quarters, signifying improved inventory control.

It is essential for Photronics Inc to monitor and optimize its inventory levels regularly to ensure efficient operations. By keeping the DOH within an optimal range, the company can minimize carrying costs, reduce the risk of obsolescence, and maintain liquidity.