Cisco Systems Inc (CSCO)

Fixed asset turnover

		Jul 31, 2025	Jul 31, 2024	Jul 27, 2024	Jul 31, 2023	Jul 29, 2023
Revenue	US$ in thousands	56,654,000	53,803,000	53,861,000	56,998,000	56,682,000
Property, plant and equipment	US$ in thousands	—	3,156,000	2,090,000	2,085,000	2,085,000
Fixed asset turnover		—	17.05	25.77	27.34	27.19

July 31, 2025 calculation

Fixed asset turnover = Revenue ÷ Property, plant and equipment
= $56,654,000K ÷ $—K
= —

The fixed asset turnover ratio for Cisco Systems Inc., based on the provided data, indicates variability over the analyzed periods. As of July 29, 2023, the ratio stood at 27.19, suggesting a relatively high efficiency in utilizing fixed assets to generate sales. Slightly increasing to 27.34 by July 31, 2023, it maintained a similar efficiency level in the near term.

However, a notable decline is observed by July 27, 2024, with the ratio decreasing to 25.77, implying a modest reduction in asset utilization efficiency. This downward trend continues sharply, reaching 17.05 by July 31, 2024, representing a significant deterioration in the company’s ability to generate sales from its fixed assets.

The subsequent data point for July 31, 2025, is unavailable, indicating either a lack of data or that the ratio was not reported for that period. The observed decline between July 2023 and July 2024 suggests that Cisco's efficiency in leveraging its fixed assets to generate revenue has diminished markedly within this timeframe. This could be attributable to factors such as increased investment in assets not yet fully utilized, changes in sales volume, or asset impairment considerations.

Overall, the trend reflects a period of decreased fixed asset productivity, which warrants further investigation into underlying factors such as asset management practices, operational changes, or strategic shifts impacting asset utilization efficiency.