Dave & Buster’s Entertainment (PLAY)

Days of inventory on hand (DOH)

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Feb 4, 2024	Jan 31, 2024	Oct 31, 2023	Oct 29, 2023	Jul 31, 2023	Jul 30, 2023	Apr 30, 2023	Jan 31, 2023	Jan 29, 2023	Oct 31, 2022	Oct 30, 2022	Jul 31, 2022	May 1, 2022	Apr 30, 2022	Jan 31, 2022	Jan 30, 2022
Inventory turnover		13.04	13.84	25.19	24.55	19.06	18.88	7.22	7.63	7.88	7.96	7.11	7.19	6.94	6.56	11.93	11.09	12.02	11.60	5.46	5.53
DOH	days	28.00	26.37	14.49	14.87	19.15	19.33	50.53	47.85	46.29	45.83	51.32	50.74	52.60	55.65	30.59	32.92	30.36	31.45	66.87	66.02

January 31, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 13.04
= 28.00

The Days of Inventory on Hand (DOH) ratio for Dave & Buster's Entertainment shows the number of days it takes for the company to sell its current inventory. Looking at the historical data provided, we see fluctuations in the DOH ratio over the years.

From January 2022 to July 2022, the ratio ranged from around 30 to 66 days, indicating variability in inventory turnover during that period. However, it decreased significantly to around 30 days by October 2022 and remained relatively stable at that level until January 2023.

In the following months, from April 2023 to October 2023, the DOH ratio fluctuated between 45 to 51 days, suggesting some challenges in efficiently managing inventory levels during that time. There was a notable drop in the ratio by January 2024, reaching around 19 days, signifying improved inventory turnover efficiency within a short period.

The trend continued to improve as seen in April 2024, with the DOH ratio falling to around 14 days, showcasing even better management of inventory levels. Subsequently, the ratio remained relatively low at around 14 to 28 days until January 2025.

Overall, the decreasing trend in the Days of Inventory on Hand ratio from 2022 to 2025 indicates that Dave & Buster's has been effectively managing its inventory levels, leading to quicker turnover and potentially lower carrying costs.