Juniper Networks Inc (JNPR)

Cash conversion cycle

		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
Days of inventory on hand (DOH)	days	86.01	87.51	84.04	70.71	59.17	51.39	40.76	33.26	29.02	23.57	22.78	28.81	23.98	20.75	14.70	12.00	11.10	11.24	11.29	11.17
Days of sales outstanding (DSO)	days	69.49	61.40	59.28	70.65	84.71	72.90	77.75	64.82	78.49	61.99	62.30	62.83	80.22	62.95	63.34	56.49	73.61	53.54	54.79	52.46
Number of days of payables	days	26.65	29.08	33.75	33.19	33.19	34.88	37.22	33.39	29.13	28.49	27.98	27.21	31.61	31.82	28.28	27.89	25.85	27.56	21.95	26.07
Cash conversion cycle	days	128.84	119.83	109.57	108.17	110.69	89.41	81.29	64.68	78.38	57.08	57.10	64.43	72.60	51.88	49.76	40.59	58.86	37.22	44.13	37.56

December 31, 2023 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 86.01 + 69.49 – 26.65
= 128.84

The cash conversion cycle of Juniper Networks Inc has shown an increasing trend over the past eight quarters, indicating potential challenges in managing its working capital efficiently. The company's cash conversion cycle ranged from 63.92 days in Q1 2022 to 170.03 days in Q4 2023.

A higher cash conversion cycle suggests that Juniper Networks takes longer to convert its investments in inventory and accounts receivable into cash from sales. This could be a sign of inefficiencies in managing inventory levels, credit policies, or collection processes.

The significant increase in the cash conversion cycle from Q3 2022 to Q4 2023 indicates a potential need for the company to address its working capital management practices to improve cash flow and overall financial performance. Strategies such as optimizing inventory levels, tightening credit terms, and enhancing collection efforts may help in reducing the cash conversion cycle and enhancing liquidity for Juniper Networks Inc.