Operating
Provision for warranty
Ciena Provision for warranty increased by 0.6% to $8.19M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 43.7%, from $5.70M to $8.19M. Over 4 years (FY 2021 to FY 2025), Provision for warranty shows an upward trend with a 9.4% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
StatementCash Flow Statement
SectionOperating
CategoryRisk
SignalLower is better
VolatilityModerate
First reportedQ1 2014
Last reportedQ1 2026Mar 5, 2026
How to read this metric
A significant increase may signal declining product quality or reliability, potentially impacting future margins.
Detailed definition
This represents the estimated cost a company expects to incur to repair or replace products under warranty. It is an acc...
Peer comparison
Standard for hardware and equipment manufacturers; peers typically maintain a consistent ratio of warranty expense to revenue.
Metric ID:
operating_product_warranty_expenseHistorical Data
20 periods
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $4.70M | $4.79M | $4.37M | $2.82M | $4.41M | $5.19M | $5.02M | $8.23M | $5.35M | $5.28M | $12.88M | $4.84M | $3.79M | $6.08M | $10.94M | $5.70M | $5.02M | $5.59M | $8.14M | $8.19M |
| QoQ Change | — | +1.9% | -8.8% | -35.5% | +56.6% | +17.6% | -3.2% | +63.8% | -35.0% | -1.2% | +143.8% | -62.4% | -21.8% | +60.5% | +79.9% | -47.9% | -11.9% | +11.4% | +45.7% | +0.6% |
| YoY Change | — | — | — | — | -6.1% | +8.3% | +15.0% | +192.2% | +21.2% | +1.8% | +156.4% | -41.2% | -29.2% | +15.1% | -15.1% | +17.7% | +32.4% | -8.1% | -25.6% | +43.7% |
Range$2.82M – $12.88M
CAGR+12.4%
Avg YoY Growth+23.7%
Median YoY Growth+11.7%
Current Streak3 quarters growth
Provision for warranty at Other Companies
Frequently Asked Questions
- What is Ciena's provision for warranty?
- Ciena (CIEN) reported provision for warranty of $8.19M in Q4 2025.
- How has Ciena's provision for warranty changed year-over-year?
- Ciena's provision for warranty increased by 43.7% year-over-year, from $5.70M to $8.19M.
- What is the long-term trend for Ciena's provision for warranty?
- Over 4 years (2021 to 2025), Ciena's provision for warranty has grown at a 9.4% compound annual growth rate (CAGR), from $17.09M to $24.44M.
- What does provision for warranty mean?
- The estimated future cost of honoring product warranties for items sold.