Dave & Buster’s Entertainment (PLAY)

Days of inventory on hand (DOH)

		Jan 31, 2025	Feb 4, 2024	Jan 31, 2024	Jan 31, 2023	Jan 29, 2023
Inventory turnover		7.90	9.06	39.82	6.80	6.80
DOH	days	46.21	40.29	9.17	53.68	53.65

January 31, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.90
= 46.21

Based on the data provided, Dave & Buster’s Entertainment had a relatively stable inventory turnover period in January 2023 and 2024, with around 53 to 54 days of inventory on hand. However, there was a significant improvement in inventory management by January 2024, where the days of inventory on hand decreased sharply to 9.17 days. This suggests a more efficient management of inventory levels.

Subsequently, in February 2024, the days of inventory on hand increased to 40.29 days, indicating a slight increase in the inventory turnover period compared to the previous month. By January 2025, the days of inventory on hand had increased further to 46.21 days, reflecting a longer time period for Dave & Buster’s to sell its inventory.

Overall, fluctuations in the days of inventory on hand can indicate changes in inventory management efficiency and sales trends. It is important for Dave & Buster’s to closely monitor and manage its inventory levels to optimize its operations and maintain a healthy balance between inventory levels and sales.