Verra Mobility Corp (VRRM)

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		15.65	12.65	13.08	13.89	13.97	14.75	15.17	14.97	17.66	3.34	3.06	4.23	872.19	7.65	9.60	7.41	201.18	12.22	13.25	153.02
DOH	days	23.32	28.86	27.91	26.28	26.12	24.74	24.05	24.38	20.67	109.32	119.30	86.23	0.42	47.69	38.00	49.27	1.81	29.86	27.55	2.39

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 15.65
= 23.32

Verra Mobility Corp's Days of Inventory on Hand (DOH) has shown fluctuations over the past eight quarters, indicating changes in how efficiently the company manages its inventory. In the most recent quarter, Q4 2023, the DOH was 150.88 days, a decrease from the previous quarter, Q3 2023, where it was 173.67 days. This suggests that the company was able to sell its inventory at a faster rate in Q4 2023.

Comparing to the same quarter in the previous year, Q4 2022, where the DOH was 149.11 days, the latest quarter's inventory turnover rate has slightly improved. However, Verra Mobility Corp's DOH has been higher in recent quarters compared to Q2 and Q3 2022, indicating that the company may have been holding onto inventory for a longer period in the past year.

Overall, a lower DOH indicates better efficiency in inventory management, as it implies that the company is selling its products more quickly. Conversely, a higher DOH suggests that inventory turnover is slower, which could tie up working capital and potentially lead to increased storage costs. The trend in Verra Mobility Corp's DOH should be closely monitored to assess the effectiveness of its inventory management strategies.