Cisco Systems Inc (CSCO)

Return on equity (ROE)

		Jul 31, 2024	Jul 27, 2024	Jul 31, 2023	Jul 29, 2023	Jul 31, 2022
Net income	US$ in thousands	10,320,000	10,320,000	12,613,000	12,613,000	11,812,000
Total stockholders’ equity	US$ in thousands	45,457,000	45,457,000	44,353,000	44,353,000	39,773,000
ROE		22.70%	22.70%	28.44%	28.44%	29.70%

July 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $10,320,000K ÷ $45,457,000K
= 22.70%

Cisco Systems Inc's return on equity (ROE) has exhibited a slight decrease from 29.70% as of July 31, 2022, to 28.44% as of July 29, 2023. Despite a stable ROE of 28.44% for the subsequent reporting dates of July 31, 2023, and July 27, 2024, there was a noticeable decline in ROE to 22.70% as of July 31, 2024. This reduction in ROE may indicate a decrease in the overall profitability and efficiency of Cisco's equity utilization during the analyzed period. Cisco should closely monitor and address factors contributing to this decline to enhance its return on equity in the future.