Universal Health Services Inc (UHS)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 7.19 | 39.82 | 6.75 | 6.90 | 6.76 | |
| DOH | days | 50.79 | 9.17 | 54.10 | 52.90 | 53.96 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.19
= 50.79
Based on the data provided for Universal Health Services Inc, the days of inventory on hand (DOH) have shown fluctuations over the years. The trend indicates a relatively stable level between December 31, 2020, and December 31, 2022, with the range of DOH being around 52-54 days. However, a significant drop in DOH is observed as of December 31, 2023, where it dramatically decreases to 9.17 days. This sudden decrease may suggest more efficient inventory management or a change in business strategy.
The DOH then slightly increases to 50.79 days by December 31, 2024, indicating a potential stabilization of inventory levels. Overall, it is essential for Universal Health Services Inc to closely monitor their inventory levels and ensure that they strike a balance between maintaining enough inventory to meet demand while also minimizing carrying costs and obsolescence risks.
Peer comparison
Dec 31, 2024