Texas Pacific Land Trust (TPL)

Days of inventory on hand (DOH)

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
Inventory turnover 12.73 0.67 0.64 0.70 0.66 0.61 0.57 0.59 0.60 0.54
DOH days 28.68 541.09 565.98 521.05 554.48 595.88 645.77 621.04 612.22 675.73

March 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

The days of inventory on hand (DOH) for Texas Pacific Land Trust fluctuated significantly over the past quarters. The DOH for March 31, 2024, decreased to 28.68 days compared to the previous quarter's significant increase to 541.09 days on December 31, 2023. This suggests a more efficient management of inventory levels in the current quarter.

In the prior quarters, the DOH was relatively high, indicating that the Trust might have faced challenges in managing its inventory effectively. For example, the DOH was exceptionally high at 675.73 days on September 30, 2021, reflecting a prolonged period of holding inventory.

Overall, the downward trend in DOH from the recent quarters to the current quarter signifies potential improvements in inventory management efficiency. It is crucial for the Trust to continue monitoring its inventory levels to ensure optimal balance between stocking enough inventory to meet demand and minimizing holding costs.