Permian Resources Corporation (PR)

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		—	—	—	—	—	457.19	12.02	8.04	7.09	—	—	—	—	—	—	—	—	—	—	—
DOH	days	—	—	—	—	—	0.80	30.36	45.38	51.49	—	—	—	—	—	—	—	—	—	—	—

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

Permian Resources Corporation's days of inventory on hand (DOH) demonstrates significant improvement over the last few quarters. The DOH was not available for the earlier quarters until December 31, 2022, when it stood at 51.49 days. This figure decreased notably to 45.38 days by March 31, 2023, and then further decreased to 30.36 days by June 30, 2023. The most striking development occurred by September 30, 2023, where the DOH dropped sharply to an impressively low 0.80 days.

This decline in the days of inventory on hand implies that Permian Resources Corporation has efficiently managed its inventory levels, possibly through improved inventory management practices, streamlined operations, or a more optimized supply chain. A lower DOH indicates that the company is selling its inventory more quickly, which can positively impact working capital and cash flow.

While the data for the later quarters is unavailable, the trend observed in the available data suggests that Permian Resources Corporation has made considerable progress in managing its inventory effectively, potentially leading to cost savings and improved operational efficiency. Monitoring the DOH in the upcoming periods will be crucial to assess the sustainability of this positive trend and its impact on the company's financial performance.