Royal Gold Inc (RGLD)

Days of Inventory on Hand (DOH) is a key financial ratio that measures the average number of days a company holds its inventory before selling it. Analyzing Royal Gold Inc's DOH over the years provides insights into its inventory management efficiency.

- As of June 30, 2020, Royal Gold Inc had 36.91 days of inventory on hand, indicating that on average, it took the company approximately 36.91 days to sell its inventory.
- By June 30, 2021, the DOH increased to 53.22 days, suggesting a longer period of time to turn over inventory, which may signal potential inefficiencies in inventory management.
- However, by December 31, 2022, the DOH decreased to 34.59 days, reflecting an improvement in inventory turnover and potentially more effective management of inventory levels.
- The trend continued into December 31, 2023, with a further decrease in DOH to 27.42 days, indicating even better efficiency in selling its inventory within a shorter time frame.
- By December 31, 2024, the DOH slightly increased to 34.12 days, potentially indicating a small slowdown in inventory turnover compared to the previous period.

Overall, the fluctuation in Royal Gold Inc's DOH over the years suggests varying degrees of efficiency in managing its inventory levels. The company may need to continually assess and optimize its inventory management strategies to ensure optimal utilization of resources and maintain a healthy balance between inventory levels and sales.