Qualcomm Incorporated (QCOM)

Days of inventory on hand (DOH)

		Sep 30, 2024	Jun 23, 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	Dec 31, 2019
Inventory turnover		2.66	2.74	2.64	2.58	2.47	2.54	2.61	2.65	2.94	3.27	3.58	3.90	4.42	4.18	4.41	4.17	3.56	3.67	5.08	6.00
DOH	days	137.43	133.40	138.08	141.30	147.71	143.51	139.99	137.69	124.20	111.70	102.05	93.48	82.61	87.35	82.76	87.61	102.45	99.35	71.80	60.80

September 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.66
= 137.43

The days of inventory on hand (DOH) for Qualcomm Incorporated have shown some fluctuations over the past few quarters. DOH increased from 60.80 days as of March 31, 2020, to a peak of 147.71 days as of September 30, 2023, before decreasing gradually. As of September 30, 2024, the DOH stands at 137.43 days.

A higher DOH indicates that Qualcomm is holding inventory for a longer period, which can tie up capital and increase holding costs. This could be due to various factors such as seasonal demand fluctuations, supply chain disruptions, or changes in procurement strategies.

It is important for Qualcomm to manage its inventory efficiently to optimize working capital and avoid overstocking or understocking issues. Qualcomm may need to review its inventory management practices, production planning, and demand forecasting to ensure that inventory levels are aligned with sales trends and minimize excess inventory costs.