Taylor Morn Home (TMHC)

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		1.38	1.35	1.30	1.37	1.45	1.58	1.69	1.66	1.68	1.62	1.56	1.54	1.50	1.27	1.26	1.22	1.28	1.26	1.10	1.03
DOH	days	264.54	270.86	280.45	266.08	251.65	231.51	216.32	219.98	217.27	225.84	233.30	236.60	243.15	286.66	290.30	299.28	285.23	290.65	332.23	355.31

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.38
= 264.54

The days of inventory on hand (DOH) for Taylor Morn Home have shown a decreasing trend from March 31, 2020 (355.31 days) to December 31, 2024 (264.54 days). This indicates that the company has been able to manage its inventory more efficiently over the years, reducing the number of days it takes to sell its inventory.

The average DOH over the period was approximately 275 days, with a noticeable decrease in the last few quarters. This could be due to improved inventory management practices, better demand forecasting, or more effective sales strategies. A lower DOH is generally seen as a positive sign, as it suggests that the company is turning over its inventory more quickly and potentially managing working capital more effectively.

It is important for Taylor Morn Home to continue monitoring its inventory levels and DOH to ensure optimal inventory management and avoid stockouts or excess inventory that could tie up resources. Overall, the decreasing trend in DOH reflects a positive operational efficiency for the company in managing its inventory.