United Natural Foods Inc (UNFI)
Days of inventory on hand (DOH)
| Aug 3, 2024 | Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Aug 1, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 12.33 | 11.43 | 10.53 | 10.26 | 10.02 | |
| DOH | days | 29.59 | 31.94 | 34.66 | 35.57 | 36.44 |
August 3, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 12.33
= 29.59
The days of inventory on hand (DOH) for United Natural Foods Inc has shown a trend of improvement over the past five years. In August 2024, the company reported a DOH of 29.59 days, which is lower than the DOH reported in the previous years: 31.94 days in 2023, 34.66 days in 2022, 35.57 days in 2021, and 36.44 days in 2020.
A lower DOH indicates that the company is more efficient in managing its inventory levels, as it takes less time to sell its inventory. This could be a positive sign of effective inventory management practices, such as better forecasting, inventory control, and demand planning. Lower DOH may also result in lower carrying costs and reduced risk of inventory obsolescence.
Overall, the declining trend in DOH for United Natural Foods Inc suggests improving efficiency in managing its inventory, which could potentially lead to better cash flow, profitability, and operational performance in the long run.
Peer comparison
Aug 3, 2024