AT&T Inc (T)

Days of inventory on hand (DOH)

		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	Mar 31, 2020
Inventory turnover		24.56	38.40	46.05	39.40	38.53	26.53	34.38	29.02	26.81	16.91	21.42	23.12	21.28	28.05	31.13	26.96	25.03	5.88	5.69	—
DOH	days	14.86	9.50	7.93	9.26	9.47	13.76	10.62	12.58	13.62	21.59	17.04	15.79	17.15	13.01	11.72	13.54	14.58	62.05	64.20	—

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 24.56
= 14.86

Days of Inventory on Hand (DOH) is a key financial ratio that measures the number of days a company takes to sell its inventory. A lower DOH indicates that the company is efficiently managing its inventory levels by selling products quickly.

Analyzing the DOH trend for AT&T Inc from March 31, 2020, to December 31, 2024, we see fluctuations in this ratio. The trend shows a decrease from 64.20 days on June 30, 2020, to a low of 7.93 days on June 30, 2024, reflecting an improvement in inventory management efficiency.

The company achieved its lowest DOH of 7.93 days on June 30, 2024, indicating that it was selling its inventory at a faster rate. However, there was a slight increase in DOH to 9.50 days on September 30, 2024, before rising again to 14.86 days on December 31, 2024. This increase suggests a potential buildup of inventory levels or a slower rate of sales.

Overall, the decreasing trend in DOH from 2020 to mid-2024 indicates that AT&T Inc improved its inventory turnover efficiency. However, the recent uptick in the ratio on December 31, 2024, may warrant further investigation into the company's inventory management practices to ensure optimal efficiency in the future.