Tractor Supply Company (TSCO)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 3.53 | 3.41 | 3.77 | 3.85 | 3.42 | |
| DOH | days | 103.54 | 107.12 | 96.90 | 94.90 | 106.75 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.53
= 103.54
The days of inventory on hand (DOH) for Tractor Supply Company have fluctuated over the past five years. In 2023, the DOH was 103.54 days, which was a decrease from 107.12 days in 2022. This indicates that the company was able to sell its inventory more quickly in 2023 compared to the previous year.
The 2023 DOH of 103.54 days was also higher than the 2021 DOH of 96.90 days, suggesting a slight deterioration in inventory management efficiency compared to two years prior. Similarly, the DOH was higher in 2019 at 106.75 days compared to 2023. This indicates that the company has made progress in managing its inventory more efficiently over the past five years.
Overall, while the fluctuation in DOH indicates varying levels of efficiency in inventory management, the downward trend from 107.12 days in 2022 to 103.54 days in 2023 suggests a positive direction in the company's efforts to reduce the number of days it takes to sell its inventory.
Peer comparison
Dec 31, 2023