Pentair PLC (PNR)
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 | 4.37 | 4.18 | 4.22 | 4.08 | 4.10 | 4.10 | 3.97 | 3.85 | 3.84 | 3.71 | 4.06 | 4.14 | 4.62 | 4.85 | 5.04 | 5.13 | 5.03 | 4.80 | 4.71 | 4.87 | |
| DOH | days | 83.46 | 87.39 | 86.43 | 89.41 | 89.11 | 88.95 | 91.90 | 94.74 | 94.96 | 98.29 | 89.98 | 88.23 | 79.09 | 75.23 | 72.44 | 71.10 | 72.63 | 76.02 | 77.55 | 74.96 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.37
= 83.46
The days of inventory on hand (DOH) for Pentair PLC have shown some fluctuations over the periods analyzed. The DOH has ranged from a low of 71.10 days as of March 31, 2021, to a high of 98.29 days as of September 30, 2022. This indicates that the company has at times held more inventory relative to its sales and production levels, leading to a longer turnover time for its inventory.
An increasing trend in the DOH over time, such as the rise from 71.10 days as of March 31, 2021, to 98.29 days as of September 30, 2022, may suggest a buildup of excess inventory or potential inefficiencies in inventory management. Conversely, a decreasing trend, like the decrease from 98.29 days as of September 30, 2022, to 83.46 days as of December 31, 2024, could indicate improvements in inventory turnover and efficiency.
Overall, fluctuations in the DOH should be carefully monitored by Pentair PLC management as they can impact working capital requirements, storage costs, and ultimately profitability. Analyzing the drivers behind these changes and implementing effective inventory management strategies can help optimize operations and enhance financial performance.
Peer comparison
Dec 31, 2024