Silgan Holdings Inc (SLGN)
Days of inventory on hand (DOH)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 5.78 | 5.89 | 4.50 | 5.51 | 7.68 | 6.88 | 4.45 | 5.29 | 6.50 | 6.58 | 5.33 | 5.74 | 6.18 | 6.00 | 4.63 | 5.39 | 5.97 | 5.41 | 4.61 | 5.49 | |
| DOH | days | 63.11 | 61.94 | 81.09 | 66.22 | 47.54 | 53.07 | 81.95 | 68.98 | 56.11 | 55.45 | 68.43 | 63.60 | 59.06 | 60.80 | 78.84 | 67.73 | 61.19 | 67.50 | 79.18 | 66.47 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.78
= 63.11
Silgan Holdings Inc.'s days of inventory on hand (DOH) ratio fluctuated over the past eight quarters, ranging from a low of 52.36 days in Q4 2022 to a high of 89.62 days in Q2 2022. The most recent data shows an increase in the DOH ratio to 68.74 days in Q4 2023 compared to 65.81 days in Q3 2023. This indicates that the company took longer to convert its inventory into sales in the most recent quarter.
A higher DOH ratio typically suggests that a company is holding excess inventory, which can tie up capital and increase carrying costs. Conversely, a lower ratio may indicate efficient inventory management but could also signal potential stockouts if demand unexpectedly rises.
To gain further insights, it would be valuable to compare Silgan Holdings Inc.'s DOH ratio with industry peers and historical trends. Additionally, analyzing the reasons behind inventory build-up or depletion in each quarter could provide useful information for assessing the company's operational efficiency and financial performance.
Peer comparison
Dec 31, 2023