Pentair PLC (PNR)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 4.92 | 4.52 | 5.42 | 5.94 | 5.05 | |
| DOH | days | 74.18 | 80.80 | 67.38 | 61.45 | 72.28 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.92
= 74.18
The days of inventory on hand (DOH) for Pentair plc have shown fluctuations over the past five years. In 2023, the DOH was 95.68 days, a decrease from the previous year's 104.58 days. This indicates that the company held inventory for a slightly shorter period in 2023 compared to 2022.
Looking back further, the DOH was higher in 2022 compared to 2021, but in 2021 it decreased significantly from the previous year. This pattern is consistent with inventory management practices that may have been adjusted to optimize working capital efficiency.
In 2020, the DOH was 78.21 days, an increase from 2019, where it was 72.28 days. This suggests that inventory turnover may have slowed down in 2020 compared to 2019.
Overall, the fluctuations in Pentair plc's DOH over the past five years indicate varying levels of inventory management efficiency. Further analysis of industry benchmarks and company-specific strategies would provide additional insights into the effectiveness of Pentair's inventory management practices.
Peer comparison
Dec 31, 2023