Philip Morris International Inc (PM)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 1.41 | 1.25 | 1.40 | 1.19 | 1.38 | |
| DOH | days | 258.60 | 291.05 | 261.61 | 306.19 | 265.04 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.41
= 258.60
Philip Morris International Inc's days of inventory on hand (DOH) has fluctuated over the past five years, ranging from a low of 305.01 days in 2023 to a high of 365.84 days in 2020. The downward trend in DOH from 2020 to 2023 suggests that the company has been more efficient in managing its inventory levels. A lower DOH indicates that the company is selling its inventory at a faster rate, which can lead to lower holding costs and potentially higher profitability.
Overall, the decreasing trend in DOH is a positive sign as it indicates improved inventory management by Philip Morris International Inc. However, it is important for the company to continue monitoring and optimizing its inventory levels to ensure efficiency and profitability in the long term.
Peer comparison
Dec 31, 2023
See also:
Philip Morris International Inc Average Inventory Processing Period