Valvoline Inc (VVV)
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 | 38.14 | 35.09 | -11.98 | 3.16 | 18.77 | 36.29 | 9.79 | 10.29 | 10.02 | 88.07 | 7.02 | 6.91 | 6.55 | 6.87 | 6.99 | 6.77 | 7.49 | 7.35 | 9.43 | 9.07 | |
| DOH | days | 9.57 | 10.40 | — | 115.68 | 19.44 | 10.06 | 37.29 | 35.46 | 36.42 | 4.14 | 51.99 | 52.84 | 55.69 | 53.10 | 52.22 | 53.95 | 48.73 | 49.66 | 38.71 | 40.23 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 38.14
= 9.57
To analyze Valvoline Inc's days of inventory on hand (DOH) over the past few quarters:
1. The DOH decreased from 31.66 days in Q1 2023 to 12.45 days in Q1 2024, indicating a significant improvement in inventory management efficiency.
2. In Q4 2023, the DOH was 13.52 days, showing a slight increase from the previous quarter but still relatively low compared to historical data.
3. There is missing data for Q3 and Q2 2023, making it challenging to track the trend accurately during that period.
4. The DOH fluctuated significantly in earlier quarters, with peaks observed in Q3 2022 (44.32 days) and Q2 2022 (42.47 days), indicating potential issues with inventory management during those periods.
5. Overall, the trend suggests that Valvoline Inc has made improvements in managing its inventory levels more efficiently, which is crucial for optimizing working capital and reducing carrying costs. However, further analysis of the missing data points would provide a more comprehensive understanding of the company's inventory management performance.
Peer comparison
Dec 31, 2023