JM Smucker Company (SJM)
Days of inventory on hand (DOH)
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 4.42 | 4.89 | 4.99 | 4.61 | 4.87 | 5.28 | 4.86 | 5.08 | 5.67 | 4.55 | 4.10 | 4.11 | 4.86 | 4.91 | 4.55 | 4.42 | 5.07 | 5.55 | 4.96 | 4.94 | |
| DOH | days | 82.64 | 74.62 | 73.14 | 79.24 | 74.89 | 69.15 | 75.17 | 71.81 | 64.35 | 80.17 | 89.09 | 88.73 | 75.04 | 74.35 | 80.17 | 82.58 | 72.03 | 65.77 | 73.61 | 73.87 |
April 30, 2025 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.42
= 82.64
The analysis of JM Smucker Company's Days of Inventory on Hand (DOH) over the period from July 2020 to April 2025 reveals notable fluctuations and trends in inventory management efficiency. Initially, in July 2020, the DOH stood at approximately 73.87 days, indicating a relatively moderate inventory turnover. This phase was maintained with slight variations through October 2020, where the figure remained stable at 73.61 days.
A significant decline in DOH occurred by January 2021, reaching approximately 65.77 days, which suggests an improvement in inventory turnover and enhanced efficiency in managing inventory levels. However, this improvement was followed by a sharp increase later in 2021, peaking at 82.58 days in July 2021, and further rising to 89.09 days by October 2022. Such increases imply a slowdown in inventory turnover, potentially reflecting increased inventory holdings, supply chain delays, or shifts in demand.
From late 2022 through early 2023, the DOH showed signs of slight reduction, moving to approximately 80.17 days in January 2023 and then down to 64.35 days by April 2023, indicating a period of inventory optimization. Nonetheless, this was followed by an upward trend, with DOH reaching 71.81 days in July 2023 and slightly increasing to 75.17 days in October 2023.
Looking forward into 2024 and early 2025, the DOH exhibits continued variability. It decreased to around 69.15 days in January 2024 before rising again to approximately 74.89 days in April 2024 and 79.24 days in July 2024. The figure then slightly declined to 73.14 days by October 2024, before rising marginally to 74.62 days in January 2025. The most recent data for April 2025 indicates a further increase to approximately 82.64 days, nearing the upper range observed earlier.
Overall, the company's inventory management has experienced cyclical patterns, with periods of efficiency improvements and setbacks. The fluctuations suggest responsiveness to strategic shifts, supply chain conditions, or demand fluctuations, reflecting an ongoing balancing act between holding sufficient inventory to meet customer needs and minimizing excess that could impair operational efficiency.