Harmonic Inc (HLIT)
Inventory turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 458,644 | 447,001 | 455,750 | 453,767 | 455,790 | 453,449 | 434,334 | 409,050 | 385,999 | 367,726 | 349,937 | 327,525 | 310,831 | 310,318 | 307,019 | 314,309 | 306,568 | 296,521 | 305,234 | 310,918 |
| Inventory | US$ in thousands | 83,982 | 103,748 | 113,587 | 131,642 | 120,949 | 99,024 | 82,636 | 81,816 | 71,195 | 51,856 | 43,031 | 35,539 | 35,031 | 36,802 | 32,097 | 34,854 | 29,042 | 28,970 | 27,659 | 29,325 |
| Inventory turnover | 5.46 | 4.31 | 4.01 | 3.45 | 3.77 | 4.58 | 5.26 | 5.00 | 5.42 | 7.09 | 8.13 | 9.22 | 8.87 | 8.43 | 9.57 | 9.02 | 10.56 | 10.24 | 11.04 | 10.60 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $458,644K ÷ $83,982K
= 5.46
The inventory turnover ratio for Harmonic, Inc. has fluctuated over the past eight quarters, indicating variations in the efficiency of managing its inventory levels.
In Q4 2023, the inventory turnover ratio stood at 3.52, the highest among the quarters analyzed. This suggests that the company sold and replaced its inventory 3.52 times during the quarter, indicating efficient inventory management.
In Q3 2023, the ratio decreased to 2.78, displaying a decrease in the rate at which inventory was turned over compared to the previous quarter. However, it is still higher than the ratios observed in the first two quarters of 2023.
Q2 and Q1 2023 showed inventory turnover ratios of 2.64 and 2.31, respectively, indicating a declining trend in inventory turnover efficiency over these two quarters.
Comparing the latest data with the same quarter in the previous year, Q4 2022 had an inventory turnover ratio of 2.56, lower than Q4 2023. However, Q3 2022 and Q2 2022 had higher turnover ratios of 3.11 and 3.53, respectively, indicating more efficient inventory management during those periods.
Overall, fluctuations in the inventory turnover ratio for Harmonic, Inc. suggest varying levels of effectiveness in managing and selling inventory over the analyzed quarters. Efforts to maintain a consistent and efficient inventory turnover ratio may help the company optimize its working capital and enhance profitability.
Peer comparison
Dec 31, 2023
Dec 31, 2023