Worthington Steel Inc (WS)
Days of inventory on hand (DOH)
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | — | 8.12 | 8.33 | 7.52 | 7.38 | 7.21 | 7.92 | 6.63 | 7.83 | 8.43 | |
| DOH | days | — | 44.93 | 43.80 | 48.56 | 49.47 | 50.63 | 46.10 | 55.05 | 46.64 | 43.28 |
May 31, 2025 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —
The days of inventory on hand (DOH) for Worthington Steel Inc exhibited a fluctuating trend over the analyzed period. As of February 28, 2023, the DOH was approximately 43.28 days, indicating the company held sufficient inventory levels to cover slightly over six weeks of sales. By May 31, 2023, this figure increased marginally to 46.64 days, reflecting a modest buildup in inventory.
The inventory levels peaked around August 31, 2023, reaching approximately 55.05 days, signifying a substantial increase in inventory holding period—indicative of either an accumulation of inventory beyond immediate demand or strategic stockpiling. Subsequently, by November 30, 2023, the DOH decreased again to about 46.10 days, suggesting a reduction in inventory levels or improvements in inventory turnover.
Looking forward, the data for February 29, 2024, shows a continued increase to approximately 50.63 days, while at May 31, 2024, the DOH slightly decreased to around 49.47 days. In the latest available data point, August 31, 2024, the DOH diminished further to approximately 48.56 days. The trend then reverses slightly, with a notable decrease to roughly 43.80 days by November 30, 2024, indicating a significant reduction in inventory holdings. The data for February 28, 2025, shows an increase to approximately 44.93 days, maintaining a level consistent with prior periods, although the forecasted DOH for May 31, 2025, remains unavailable.
Overall, the company's inventory holding period demonstrates variability, with periods of both accumulation and reduction. The fluctuations could reflect changes in production schedules, sales demand, inventory management strategies, or macroeconomic factors impacting raw material and finished goods inventory. The recent downward trend toward the low 40s suggests an improvement in inventory turnover rate, potentially enhancing operational efficiency, though the significant peak in mid-2023 warrants further investigation into underlying causes such as overstocking or market conditions.
Peer comparison
May 31, 2025