Xylem Inc (XYL)

Days of inventory on hand (DOH)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Inventory turnover 5.37 4.56 4.30 4.60 5.46
DOH days 67.95 79.96 84.83 79.35 66.86

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.37
= 67.95

The days of inventory on hand (DOH) for Xylem Inc have shown a fluctuating trend over the past five years. In December 2020, the DOH was recorded at 66.86 days, indicating that on average, Xylem holds its inventory for around 66.86 days before selling it.

However, there was an increase in the DOH to 79.35 days by the end of December 2021, suggesting a slower rate of inventory turnover compared to the previous year. This increase continued in December 2022, with the DOH rising to 84.83 days, signifying a further delay in converting inventory into sales.

In December 2023, there was a slight decrease in the DOH to 79.96 days, potentially indicating some improvement in inventory management efficiency. This was followed by a decrease to 67.95 days by December 2024, which may suggest a more optimal inventory management strategy during that period.

Overall, the fluctuating trend in Xylem Inc's DOH over the past five years implies potential variations in inventory management practices, which could impact the company's liquidity, profitability, and overall operational efficiency.