STAAR Surgical Company (STAA)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 1.72 | 1.99 | 2.53 | 3.00 | 2.49 | |
| DOH | days | 212.68 | 183.80 | 144.55 | 121.64 | 146.58 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.72
= 212.68
The days of inventory on hand (DOH) for STAAR Surgical Company have shown fluctuations over the years. In 2020, the company held inventory for an average of 146.58 days, which decreased to 121.64 days by the end of 2021. However, there was an increase in DOH to 144.55 days by 2022 and a significant spike to 183.80 days by 2023. By the end of 2024, the DOH further grew to 212.68 days.
The increasing trend in DOH from 2021 to 2024 could indicate possible challenges in managing inventory levels efficiently. A higher DOH value suggests that the company is holding onto inventory for a longer period, which may tie up capital and increase carrying costs. It could also point to potential issues such as slow-moving inventory, overstocking, or changes in demand that are not being effectively addressed.
Overall, STAAR Surgical Company may need to closely monitor and optimize its inventory management practices to improve efficiency, reduce costs, and enhance overall operational effectiveness.
Peer comparison
Dec 31, 2024