Cisco Systems Inc (CSCO)
Receivables 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 |
| Receivables | US$ in thousands | 9,762,000 | 10,023,000 | 10,023,000 | 9,206,000 | 9,252,000 |
| Receivables turnover | 5.80 | 5.37 | 5.37 | 6.19 | 6.13 |
July 31, 2025 calculation
Receivables turnover = Revenue ÷ Receivables
= $56,654,000K ÷ $9,762,000K
= 5.80
The receivables turnover ratio for Cisco Systems Inc., as provided, exhibits a decreasing trend from July 2023 to July 2024, followed by a subsequent increase in July 2025. Specifically, the ratio declined from 6.19 in July 2023 to 6.13 on July 29, 2023, and further decreased to 5.37 by July 27, 2024 and maintained the same level at 5.37 through July 31, 2024. This indicates that the company's ability to collect its receivables decreased during this period, reflecting a slowdown in the collection process or potential changes in credit policies, customer payment behavior, or product mix.
However, by July 2025, the receivables turnover ratio increased to 5.80. This improvement suggests a reversal in the prior trend, with Cisco becoming more efficient in collecting receivables, or possibly tightening credit terms to accelerate cash inflows.
Overall, the fluctuation in the receivables turnover ratio points toward periods of varying collection efficiency, with the latest data indicating a partial recovery from the lower ratios observed in the prior year. This ratio trend can be indicative of operational adjustments, changes in customer payment practices, or shifts in credit management strategies that impact the company's cash conversion cycle.
Peer comparison
Jul 31, 2025