Boston Beer Company Inc (SAM)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 9.55 | 9.99 | 8.27 | 8.45 | 7.04 | |
| DOH | days | 38.21 | 36.55 | 44.11 | 43.20 | 51.83 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 9.55
= 38.21
The days of inventory on hand (DOH) for Boston Beer Company Inc have shown a declining trend over the years. In 2020, the company had an inventory turnover period of 51.83 days, which decreased to 43.20 days by the end of 2021. This trend continued as the DOH further decreased to 44.11 days by the end of 2022, 36.55 days by the end of 2023, and 38.21 days by the end of 2024.
A decreasing trend in DOH indicates that Boston Beer Company Inc has been managing its inventory more efficiently over the years. This could suggest improvements in inventory management practices, better forecasting, and potentially reduced carrying costs associated with excess inventory. However, it is also important to consider the industry benchmarks and the company's specific business model to determine the effectiveness of its inventory management strategy in comparison to its peers.
Peer comparison
Dec 31, 2024