Dentsply Sirona Inc (XRAY)
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 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 3.25 | 3.01 | 3.06 | 3.05 | 3.01 | 2.85 | 2.80 | 2.74 | 2.87 | 3.08 | 3.21 | 3.50 | 3.75 | 3.58 | 3.49 | 3.45 | 3.61 | 3.42 | 3.04 | 3.09 | |
| DOH | days | 112.25 | 121.14 | 119.25 | 119.84 | 121.21 | 128.09 | 130.19 | 133.19 | 127.35 | 118.34 | 113.71 | 104.37 | 97.33 | 101.88 | 104.62 | 105.74 | 100.97 | 106.62 | 119.97 | 118.16 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.25
= 112.25
The analysis of Dentsply Sirona Inc's days of inventory on hand (DOH) reveals fluctuations in the efficiency of managing inventory levels over the years. The DOH metric measures the average number of days that inventory is held before being sold or used.
Looking at the data provided, we observe that:
1. The DOH ranged from a high of 133.19 days on March 31, 2023, to a low of 97.33 days on December 31, 2021. This wide range indicates significant variability in inventory management efficiency during the analyzed period.
2. There was a general downward trend in DOH from March 31, 2022, to December 31, 2024, showcasing improvements in managing inventory levels more effectively.
3. Although there were fluctuations in DOH, the metric remained above 100 days for most of the period, suggesting that Dentsply Sirona Inc may be carrying excess inventory, which could tie up capital and increase holding costs.
4. The increase in DOH towards the end of the period, reaching 121.14 days on September 30, 2024, may indicate challenges in sales demand forecasting, leading to higher inventory levels.
In conclusion, Dentsply Sirona Inc's days of inventory on hand exhibited fluctuations over the analyzed period, with improvements in inventory management efficiency observed in recent quarters. Monitoring and optimizing inventory levels will be essential for the company to enhance working capital management and overall operational performance.
Peer comparison
Dec 31, 2024