ePlus inc (PLUS)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 15.97 | 16.90 | 18.65 | 12.02 | 7.38 | 7.74 | 6.70 | 6.37 | 6.24 | 5.16 | 5.65 | 8.77 | 8.65 | 9.15 | 15.81 | 16.79 | 14.69 | 16.14 | 12.48 | 23.82 | |
| DOH | days | 22.85 | 21.59 | 19.57 | 30.35 | 49.43 | 47.13 | 54.47 | 57.28 | 58.53 | 70.70 | 64.65 | 41.61 | 42.18 | 39.91 | 23.08 | 21.74 | 24.84 | 22.61 | 29.24 | 15.33 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 15.97
= 22.85
The days of inventory on hand (DOH) for ePlus inc has shown fluctuations over the period analyzed. The measure indicates how many days the company holds inventory before selling it, highlighting its efficiency in managing inventory levels.
The trend of ePlus inc's DOH reveals a significant increase in the first half of 2022, reaching a peak of 70.70 days on September 30, 2022. This increase may point towards potential issues in inventory management, such as overstocking or slow-moving inventory.
However, the company was able to reduce its DOH in the following periods, showing improvements in inventory control. By December 31, 2024, the DOH had decreased to 22.85 days, indicating a more efficient turnover of inventory.
Overall, continuous monitoring and adjustment of inventory levels seem crucial for ePlus inc to ensure optimal management of its working capital and operational efficiency. A balanced approach in maintaining inventory levels will help the company meet customer demands while minimizing holding costs and potential obsolescence risks.