Vector Group Ltd (VGR)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 11.79 | 10.80 | 8.13 | 8.40 | 5.24 | |
| DOH | days | 30.96 | 33.79 | 44.88 | 43.44 | 69.66 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 11.79
= 30.96
The days of inventory on hand (DOH) for Vector Group Ltd have fluctuated over the past five years. In 2023, the company held inventory for an average of 34.77 days, which was a slight increase from 33.79 days in 2022. This indicates that the company's inventory turnover slowed down slightly year over year.
Compared to 2021, where the DOH was 44.88 days, there was an improvement in managing inventory levels more efficiently in 2023. The significant decrease in DOH from 2021 to 2022 suggests that the company made efforts to reduce excess inventory or improve inventory management practices during that period.
In 2020 and 2019, the company maintained DOH levels of 26.04 days and 27.70 days, respectively. This indicates that in these years, the company managed its inventory efficiently, turning over inventory at a relatively faster pace compared to the more recent years.
Overall, the trend in Vector Group Ltd's DOH over the past five years suggests some variability in inventory management effectiveness. It would be important for the company to assess the factors influencing these fluctuations and implement strategies to optimize inventory levels to support operational efficiency and profitability.
Peer comparison
Dec 31, 2023