A10 Network (ATEN)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	160,902	160,823	168,861	163,477	151,131
Inventory	US$ in thousands	22,005	23,522	19,693	22,462	20,730
Inventory turnover		7.31	6.84	8.57	7.28	7.29

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $160,902K ÷ $22,005K
= 7.31

The inventory turnover for A10 Network has shown some fluctuations over the years. In December 31, 2020, the inventory turnover was 7.29 times, which remained relatively stable at 7.28 times by December 31, 2021. However, there was a notable increase in inventory turnover to 8.57 times by December 31, 2022, indicating that the company was selling its inventory more efficiently.

Subsequently, the inventory turnover decreased to 6.84 times by December 31, 2023, suggesting a slowdown in the rate at which inventory was being sold. However, by December 31, 2024, the inventory turnover slightly improved to 7.31 times.

Overall, the trend in inventory turnover for A10 Network indicates some variability, with a peak in 2022 and some fluctuations in subsequent years. It is important for the company to closely monitor and manage its inventory levels to ensure optimal efficiency in converting inventory into sales.