STERIS plc (STE)

Days of inventory on hand (DOH)

		Mar 31, 2025	Dec 31, 2024	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
Inventory turnover		5.14	4.60	4.30	4.24	4.40	3.50	3.59	3.73	4.02	3.80	4.06	4.30	4.47	4.08	3.92	3.25	5.61	5.89	6.14	6.15
DOH	days	71.07	79.40	84.86	86.08	83.00	104.30	101.56	97.76	90.72	95.98	89.96	84.96	81.70	89.56	93.00	112.45	65.11	62.00	59.42	59.35

March 31, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.14
= 71.07

The days of inventory on hand (DOH) for STERIS plc has shown some fluctuations over the quarters analyzed.

The DOH was relatively stable around 59 to 65 days throughout the fiscal year 2020 and the first quarter of 2021. However, there was a significant increase in DOH reaching 112.45 days by June 30, 2021, which may indicate a potential buildup of inventory.

Subsequently, there was a decline in DOH in the following quarters, indicating a reduction in the number of days inventory held by the company. This downward trend continued until March 31, 2023, where the DOH reached 90.72 days, which was still higher than the levels seen in fiscal year 2020.

There was another spike in DOH by June 30, 2023, reaching 97.76 days, followed by a gradual increase over the subsequent quarters, with DOH surpassing 100 days by September 30, 2023, and reaching 104.30 days by December 31, 2023.

However, from March 31, 2024, there was a noticeable decrease in DOH, dropping to 71.07 days, and this downward trend continued in the following quarters, with DOH staying below 90 days until the end of the analyzed period in March 31, 2025, where it stood at 71.07 days.

Overall, the analysis of STERIS plc's DOH indicates fluctuations in how efficiently the company manages its inventory levels. The company experienced periods of high DOH, suggesting potential inventory management challenges, but also managed to bring down DOH levels to more optimal ranges in later quarters. Monitoring the DOH ratio going forward will be crucial in assessing the company's inventory management effectiveness.