Interface Inc (TILE)

Days of inventory on hand (DOH)

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Inventory turnover 4.18 4.01 4.17 5.05 4.81
DOH days 87.24 90.92 87.59 72.33 75.93

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.18
= 87.24

Interface Inc.'s days of inventory on hand (DOH) has shown a fluctuating trend over the past five years. The DOH has ranged from a low of 113.21 days on Dec 29, 2019, to a high of 129.98 days on Jan 1, 2023.

The upward movement in the DOH from Jan 3, 2021, to Jan 1, 2023, could suggest that Interface Inc. may have experienced challenges in managing their inventory efficiently, leading to an increase in the number of days it takes to sell off inventory.

However, the decrease in DOH from Jan 1, 2023, to Dec 31, 2023, indicates a potential improvement in inventory management practices, resulting in a shorter time frame to turn inventory into sales.

Overall, Interface Inc. should continue monitoring its inventory turnover and implementing effective inventory management strategies to optimize its working capital and enhance operational efficiency.


Peer comparison

Dec 31, 2023

Company name
Symbol
DOH
Interface Inc
TILE
87.24
Mohawk Industries Inc
MHK
80.42