Clear Secure Inc (YOU)

Days of inventory on hand (DOH)

		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
Inventory turnover		—	—	—	11.08	12.79	15.54	16.26	14.61	13.91	15.53	14.23
DOH	days	—	—	—	32.95	28.53	23.49	22.45	24.98	26.23	23.51	25.65

September 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

The Days of Inventory on Hand (DOH) ratio for Clear Secure Inc has shown some fluctuations over the past several quarters. The DOH represents the number of days a company holds its average inventory before selling it. A lower DOH typically indicates that the company is managing its inventory efficiently.

From December 31, 2021, to March 31, 2023, Clear Secure Inc managed to reduce its DOH steadily from 25.65 days to 22.45 days. This suggests improved inventory management efficiency during this period.

However, the trend reversed slightly in the following quarters, with the DOH increasing to 28.53 days on June 30, 2023, and further to 32.95 days on December 31, 2023. This could indicate challenges in managing inventory levels effectively or changes in sales patterns impacting inventory turnover.

It is important for Clear Secure Inc to monitor and analyze the reasons behind these fluctuations in DOH to ensure optimal inventory management practices. By doing so, the company can strive to maintain a balance between maintaining sufficient inventory levels to meet customer demand and minimizing excess inventory holding costs.