Ciena Corp (CIEN)
Fixed asset turnover
| Nov 2, 2024 | Oct 28, 2023 | Oct 29, 2022 | Oct 30, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,014,960 | 4,386,550 | 3,632,660 | 3,620,680 | 3,532,160 |
| Property, plant and equipment | US$ in thousands | 304,389 | 242,322 | 224,798 | 232,872 | 219,423 |
| Fixed asset turnover | 13.19 | 18.10 | 16.16 | 15.55 | 16.10 |
November 2, 2024 calculation
Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $4,014,960K ÷ $304,389K
= 13.19
Ciena Corp's fixed asset turnover has fluctuated over the past five years. The ratio was 13.19 in Nov 2, 2024, indicating that the company generated $13.19 in sales revenue for every dollar invested in fixed assets. This represents a decrease from the previous year's ratio of 18.10, suggesting a less efficient utilization of fixed assets compared to the prior period. Despite the decrease, the current ratio is still relatively high compared to historical values, indicating that Ciena Corp has historically been effective in generating sales from its fixed asset base. Further analysis of the company's operational efficiency and investment in fixed assets is necessary to understand the underlying reasons for the fluctuation in the fixed asset turnover ratio.
Peer comparison
Nov 2, 2024