Sempra Energy (SRE)
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 | 6.48 | 6.75 | 7.78 | 9.31 | 7.09 | 5.52 | 7.29 | 7.66 | 6.79 | 6.90 | 7.40 | 8.92 | 7.79 | 7.68 | 8.73 | 10.58 | 8.14 | 8.46 | 10.59 | 11.96 | |
| DOH | days | 56.33 | 54.11 | 46.94 | 39.21 | 51.50 | 66.13 | 50.09 | 47.64 | 53.74 | 52.90 | 49.34 | 40.92 | 46.86 | 47.53 | 41.79 | 34.50 | 44.86 | 43.15 | 34.47 | 30.51 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.48
= 56.33
Sempra's days of inventory on hand (DOH) has shown fluctuations over the past eight quarters, ranging from a low of 18.16 days in Q1 2023 to a high of 41.86 days in Q3 2022. The trend indicates that Sempra has managed its inventory levels relatively well, with a reduction in DOH from Q3 2022 to Q1 2023, followed by a slight increase in the most recent quarter (Q4 2023).
A lower DOH signifies that the company is able to sell its inventory quicker, which can indicate efficient inventory management and potential cost savings related to carrying and storing excess inventory. Conversely, a higher DOH may suggest slower inventory turnover, potentially tying up capital in unsold inventory.
It is important for Sempra to strike a balance in managing its inventory levels to ensure efficient operations and working capital management. Monitoring and analyzing the DOH metric over time can provide insights into the effectiveness of Sempra's inventory management practices and overall operational efficiency.
Peer comparison
Dec 31, 2023