Sanmina Corporation (SANM)

Days of inventory on hand (DOH)

		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	Dec 31, 2019
Inventory turnover		4.98	5.22	5.47	5.76	5.72	5.75	5.41	3.62	3.40	3.26	3.32	5.06	6.03	7.26	8.26	7.74	7.47	7.31	7.72	8.66
DOH	days	73.24	69.89	66.71	63.40	63.79	63.50	67.51	100.71	107.51	111.92	109.90	72.14	60.53	50.25	44.17	47.15	48.86	49.91	47.31	42.14

September 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.98
= 73.24

The days of inventory on hand (DOH) for Sanmina Corporation have exhibited variability over the past few quarters. The trend shows a slight increase from the fourth quarter of 2019 to the second quarter of 2022, with DOH peaking at 111.92 days in the third quarter of 2022. However, since then, there has been a noticeable decline in DOH, reaching the lowest point of 42.14 days in the first quarter of 2020.

In general, a lower DOH indicates that the company is managing its inventory more efficiently, as it takes fewer days to sell its products. Conversely, a higher DOH could suggest slower inventory turnover or potential inventory obsolescence.

It is important for Sanmina Corporation to continue monitoring and managing its inventory effectively to ensure optimal operations and cost control. Further analysis of the reasons behind the fluctuations in DOH could provide insights into the company's inventory management practices and overall financial health.