Ciena Corp (CIEN)
Inventory turnover
| Jan 27, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Jan 31, 2019 | Jul 31, 2018 | Apr 30, 2018 | Jan 31, 2018 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 2,477,870 | 2,507,698 | 2,401,905 | 2,310,162 | 2,212,636 | 2,072,317 | 2,099,271 | 2,085,660 | 1,959,722 | 1,898,705 | 1,758,469 | 1,756,909 | 1,816,128 | 1,872,075 | 1,915,218 | 1,839,858 | 1,733,501 | 1,697,079 | 1,630,448 | 1,721,356 |
| Inventory | US$ in thousands | 984,886 | 1,050,840 | 1,192,520 | 1,098,090 | 1,178,090 | 946,730 | 826,673 | 536,878 | 457,604 | 374,265 | 370,170 | 401,233 | 389,733 | 344,379 | 363,600 | 325,753 | 323,106 | 227,885 | 231,338 | 255,251 |
| Inventory turnover | 2.52 | 2.39 | 2.01 | 2.10 | 1.88 | 2.19 | 2.54 | 3.88 | 4.28 | 5.07 | 4.75 | 4.38 | 4.66 | 5.44 | 5.27 | 5.65 | 5.37 | 7.45 | 7.05 | 6.74 |
January 27, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,477,870K ÷ $984,886K
= 2.52
The inventory turnover of CIENA Corp. has fluctuated over the past eight quarters, ranging from a low of 1.88 in Q1 2023 to a high of 3.88 in Q2 2022. The trend indicates some variability in the efficiency of CIENA's inventory management. Generally, a higher inventory turnover suggests that the company is selling goods more quickly, which can lead to reduced storage costs and potentially increased cash flow. On the other hand, a lower turnover may indicate excess inventory levels or slower sales, potentially tying up capital unnecessarily. It would be advisable for CIENA Corp. to analyze the reasons behind these fluctuations and strive for a more consistent and optimal level of inventory turnover to maximize operational efficiency and profitability.
Peer comparison
Jan 27, 2024
Jan 27, 2024