Universal Health Services Inc (UHS)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 34.95 | 48.57 | 48.80 | 35.11 | 20.79 | 7.09 | 7.00 | 6.86 | 6.75 | 6.73 | 7.01 | 6.97 | 6.90 | 6.92 | 7.03 | 6.79 | 6.76 | 7.16 | 7.39 | 7.76 | |
| DOH | days | 10.44 | 7.51 | 7.48 | 10.40 | 17.56 | 51.50 | 52.11 | 53.21 | 54.10 | 54.21 | 52.10 | 52.40 | 52.90 | 52.72 | 51.92 | 53.74 | 53.96 | 50.98 | 49.36 | 47.04 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 34.95
= 10.44
Universal Health Services Inc's days of inventory on hand (DOH) has fluctuated over the past years, ranging from a high of 54.21 days on September 30, 2022, to a low of 7.48 days on June 30, 2024. Generally, a lower DOH indicates that the company is efficiently managing its inventory levels, which can lead to lower holding costs and better liquidity. In contrast, a higher DOH may suggest excess inventory that could potentially tie up working capital.
It is important to note that a sudden drop in DOH, like the significant decrease from 53.21 days on March 31, 2023, to 17.56 days on December 31, 2023, followed by a further decline to 10.40 days on March 31, 2024, and 7.48 days on June 30, 2024, may indicate a more aggressive inventory management strategy or potential inventory shortages. This could impact the company's ability to meet customer demand if not managed appropriately.
Overall, monitoring Universal Health Services Inc's DOH trend can provide insights into its inventory management efficiency, operational performance, and potential risks related to inventory levels.
Peer comparison
Dec 31, 2024