Viavi Solutions Inc (VIAV)

Days of inventory on hand (DOH)

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Inventory turnover		3.93	3.82	4.63	4.57	4.43	4.23	3.77	3.92	4.02	3.84	4.20	4.63	4.71	4.50	4.42	4.87	5.11	5.17	5.18	5.28
DOH	days	92.90	95.55	78.88	79.87	82.43	86.32	96.71	93.01	90.68	94.96	86.83	78.77	77.45	81.09	82.60	74.89	71.49	70.58	70.52	69.14

June 30, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.93
= 92.90

The analysis of Viavi Solutions Inc.'s days of inventory on hand (DOH) over the period from September 30, 2020, through June 30, 2025, reveals several notable trends and fluctuations. Initially, the DOH increased gradually from 69.14 days as of September 30, 2020, to reach a peak of 94.96 days by March 31, 2023. This upward movement indicates a trend toward holding inventory longer over this period, potentially reflecting changes in inventory management strategies, product complexity, or supply chain considerations.

Following this peak, a slight reduction is observed, with DOH decreasing to 82.43 days by June 30, 2024. Subsequently, the days of inventory rebound somewhat, reaching 95.55 days by March 31, 2025. This overall pattern suggests periods of inventory buildup and reduction, possibly driven by operational adjustments, demand fluctuations, or strategic inventory management initiatives.

Throughout this timeframe, the general trajectory indicates an increasing tendency in inventory holding periods, with notable spikes especially after December 2021. The data underscores the company's evolving inventory management practices, which appear to be influenced by external and internal factors, including product lifecycle, supply chain dynamics, and demand variability.

In summary, Viavi Solutions Inc.'s DOH has experienced a significant upward trend over the analyzed period, with intermittent fluctuations, reflecting strategic and operational shifts in inventory management and supply chain processes. This trend warrants further investigation into underlying causes, including changes in sales volume, product mix, and supply chain efficiency, to fully understand the implications for the company's operational performance and working capital management.