Rollins Inc (ROL)
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 | 71.54 | 70.19 | 70.88 | 74.05 | 76.93 | 74.71 | 73.72 | 75.25 | 76.58 | 81.41 | 75.34 | 72.62 | 70.41 | 81.47 | 71.50 | 63.87 | 67.05 | 51.26 | 40.59 | 56.17 | |
| DOH | days | 5.10 | 5.20 | 5.15 | 4.93 | 4.74 | 4.89 | 4.95 | 4.85 | 4.77 | 4.48 | 4.84 | 5.03 | 5.18 | 4.48 | 5.11 | 5.71 | 5.44 | 7.12 | 8.99 | 6.50 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 71.54
= 5.10
Days of Inventory on Hand (DOH) is a measure that indicates how many days, on average, a company holds inventory before selling it. Lower DOH values generally imply that a company is efficient in managing its inventory turnover.
Analyzing the DOH trend of Rollins Inc from March 31, 2020, to December 31, 2024, we observe fluctuations in the metric. The company started with a DOH of 6.50 days in March 2020, which increased to 8.99 days by June 2020 but then decreased to 5.44 days by December 2020.
Over the following quarters, Rollins Inc managed to keep its DOH relatively stable with fluctuations within a range of 4.48 to 5.71 days until September 2021. From September 2021 onwards, the trend shows a steady decline in DOH, reaching 4.74 days by December 2023.
The decreasing trend in DOH indicates that Rollins Inc became more efficient in managing its inventory in recent years. Lower DOH values suggest that the company is able to quickly convert inventory into sales, potentially leading to lower carrying costs and better liquidity.
Overall, the downward trend in Days of Inventory on Hand for Rollins Inc signifies improving inventory management efficiency over the analyzed period, potentially reflecting positively on the company's operational performance and financial health.
Peer comparison
Dec 31, 2024