Trimble Inc (TRMB)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 6.22 | 3.90 | 4.47 | 4.63 | 4.78 | |
| DOH | days | 58.69 | 93.53 | 81.62 | 78.82 | 76.43 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.22
= 58.69
The Days of Inventory on Hand (DOH) for Trimble Inc have shown fluctuations over the past five years. In 2023, the company had an improvement in managing its inventory with DOH at 58.69 days, a decrease from the previous year. This indicates that Trimble Inc was able to convert its inventory into sales more efficiently in 2023 compared to 2022.
Comparing the DOH of 2023 to the DOH in 2021 and 2020, the current year's ratio is lower, suggesting that Trimble Inc has made progress in optimizing its inventory management practices. However, it is worth noting that the DOH was higher in 2021 compared to 2020, indicating a temporary deterioration in inventory turnover efficiency in that year.
Furthermore, when comparing the most recent DOH to that of 2019, there has been a slight improvement in managing inventory, with the company being able to reduce the number of days it takes to sell its inventory.
Overall, the trend in Trimble Inc's DOH suggests that the company has been working on enhancing its inventory management efficiency, with fluctuations observed in the past five years. Continued focus on maintaining optimal inventory levels and improving inventory turnover could further enhance the company's financial performance.
Peer comparison
Dec 31, 2023