Upbound Group Inc. (UPBD)
Days of inventory on hand (DOH)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 307.93 | 353.94 | 392.50 | 337.76 | 309.94 | 327.56 | 395.06 | 450.32 | 366.66 | 285.16 | 293.31 | 242.15 | 209.97 | 258.85 | 248.34 | 199.48 | 210.29 | 278.50 | 257.89 | 268.45 | |
| DOH | days | 1.19 | 1.03 | 0.93 | 1.08 | 1.18 | 1.11 | 0.92 | 0.81 | 1.00 | 1.28 | 1.24 | 1.51 | 1.74 | 1.41 | 1.47 | 1.83 | 1.74 | 1.31 | 1.42 | 1.36 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 307.93
= 1.19
The days of inventory on hand (DOH) for Upbound Group Inc. over the past five years show some fluctuation but generally exhibit a decreasing trend. The DOH, which represents the average number of days it takes for the company to sell its inventory, decreased from 1.36 days at the end of 2019 to 1.08 days by the end of 2023.
A lower DOH indicates that the company is effectively managing its inventory by turning it over quickly. This can imply efficient inventory management, reduction in holding costs, and potentially higher profitability due to lower inventory carrying costs and lower risk of obsolescence.
It is worth noting that there are some fluctuations in the DOH figures throughout the years, which could indicate seasonality or changes in demand patterns for Upbound Group Inc.'s products. Overall, the decreasing trend in the DOH suggests improved efficiency in inventory management for the company. It would be beneficial for Upbound Group Inc. to continue monitoring and optimizing its inventory levels to maintain this positive trend and enhance its operational performance.
Peer comparison
Dec 31, 2023