T-Mobile US Inc (TMUS)
Days of inventory on hand (DOH)
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Inventory turnover | 15.06 | 14.60 | 14.06 | 9.05 | 9.18 | |
DOH | days | 24.23 | 24.99 | 25.96 | 40.35 | 39.74 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 15.06
= 24.23
The days of inventory on hand (DOH) for T-Mobile US Inc have shown a decreasing trend over the years, indicating improved inventory management efficiency. From 39.74 days on December 31, 2020, the DOH decreased to 40.35 days on December 31, 2021, then significantly dropped to 25.96 days on December 31, 2022, further reducing to 24.99 days on December 31, 2023, and finally decreasing to 24.23 days on December 31, 2024.
This downward trend suggests that T-Mobile US Inc has been more effective in managing its inventory levels and turnover. Lower DOH values typically indicate that the company is selling its inventory more quickly, which can lead to lower storage costs, reduced risks of inventory obsolescence, and potentially higher profitability. Overall, the improvement in DOH reflects a positive trend in the company's operational efficiency and inventory management practices.