Xpel Inc (XPEL)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 3.14 | 3.36 | 3.60 | 3.35 | 3.41 | 3.87 | 3.42 | 3.24 | 4.27 | 5.07 | 6.98 | 6.18 | 6.10 | 6.84 | 8.29 | 6.24 | ||||
| DOH | days | 116.28 | 108.70 | 101.43 | 108.85 | 107.15 | 94.37 | 106.66 | 112.83 | 85.53 | 72.01 | 52.30 | 59.05 | 59.80 | 53.35 | 44.03 | 58.46 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.14
= 116.28
Days of Inventory on Hand (DOH) is a key ratio that measures how efficiently a company manages its inventory. XPEL Inc's DOH has shown some fluctuations over the past eight quarters, ranging from 130.22 days to 166.22 days.
In the most recent quarter (Q4 2023), the company's DOH was 166.22 days, representing an increase from the previous quarter. This indicates that XPEL Inc took longer to sell its inventory in Q4 2023 compared to Q3 2023.
Looking at the trend over the past year, XPEL Inc's DOH has generally been on the higher side, with peaks in Q4 2023 and Q1 2023. This suggests that the company may be carrying excess inventory or facing challenges in efficiently moving its products out of storage.
It would be important for XPEL Inc to closely monitor and manage its inventory levels to optimize its working capital and improve its overall operational efficiency. A high DOH can tie up funds in inventory and increase the risk of obsolescence, impacting the company's financial performance. The company may need to review its inventory management strategies to streamline operations and reduce excess inventory levels.