VF Corporation (VFC)

Days of inventory on hand (DOH)

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Inventory turnover		2.72	2.84	2.41	3.80	4.12
DOH	days	134.33	128.50	151.72	96.13	88.67

March 31, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.72
= 134.33

VF Corporation's days of inventory on hand (DOH) has shown a fluctuating trend over the past five years. It increased from 88.67 days as of March 31, 2021, to 96.13 days as of March 31, 2022, indicating a slight rise in the time it takes for the company to convert its inventory into sales.

However, there was a significant surge in DOH to 151.72 days as of March 31, 2023, reflecting a substantial increase in the company's inventory turnover period. This sharp increase could suggest potential issues related to managing inventory levels efficiently or changes in demand patterns impacting sales.

Subsequently, the DOH decreased to 128.50 days as of March 31, 2024, and then to 134.33 days as of March 31, 2025. Even though there was a reduction in DOH in these years, the levels remained significantly higher than the early years in the period under review.

Overall, the upward trend in DOH over the years may indicate challenges in inventory management efficiency for VF Corporation, which could potentially impact cash flow, storage costs, and the risk of obsolescence. Further investigation into the company's inventory practices and sales performance may be warranted to address these fluctuations and optimize inventory turnover.