Vontier Corp (VNT)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 2.21 | 1.99 | 2.09 | 2.51 | 2.59 | 8.17 | 7.86 | 7.38 | 7.39 | 6.54 | 7.46 | 7.38 | 8.24 | |
| DOH | days | 165.17 | 183.33 | 175.00 | 145.37 | 140.72 | 44.66 | 46.43 | 49.45 | 49.38 | 55.82 | 48.91 | 49.46 | 44.32 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.21
= 165.17
The days of inventory on hand (DOH) metric for Vontier Corp has shown some fluctuations over the periods examined. From December 31, 2021, to June 30, 2023, the DOH remained relatively stable, ranging from 44.32 days to 49.45 days. This indicates that the company was able to manage its inventory efficiently during this time.
However, there was a significant increase in DOH from September 30, 2023, to December 31, 2024, reaching a peak of 183.33 days on September 30, 2024. This sharp rise suggests potential issues with inventory management, such as overstocking or slow-moving inventory, which could impact profitability and cash flow.
It is essential for Vontier Corp to analyze the reasons behind the sudden spike in DOH and take corrective actions to optimize inventory levels and improve operational efficiency. Monitoring and managing DOH effectively can help the company maintain a healthy balance between ensuring product availability and controlling inventory costs.
Peer comparison
Dec 31, 2024