Cisco Systems Inc (CSCO)

Return on equity (ROE)

		Jul 31, 2025	Jul 31, 2024	Jul 27, 2024	Jul 31, 2023	Jul 29, 2023
Net income	US$ in thousands	10,453,000	10,320,000	10,320,000	12,613,000	12,613,000
Total stockholders’ equity	US$ in thousands	47,116,000	45,457,000	45,457,000	44,353,000	44,353,000
ROE		22.19%	22.70%	22.70%	28.44%	28.44%

July 31, 2025 calculation

ROE = Net income ÷ Total stockholders’ equity
= $10,453,000K ÷ $47,116,000K
= 22.19%

The analyzed data indicates that Cisco Systems Inc. experienced notable fluctuations in its return on equity (ROE) over the specified periods. As of July 29 and July 31, 2023, the company's ROE was consistently reported at 28.44%, reflecting a strong ability to generate profits from shareholders' equity during that time frame. Moving forward to July 27 and July 31, 2024, the ROE experienced a decline to 22.70%, signifying a reduction in profitability relative to shareholders' equity, though still maintaining a relatively robust level. The subsequent data point as of July 31, 2025, shows a further slight decrease to 22.19%, indicating a continuity of the downward trend and a possible stabilization at a lower profitability rate compared to the previous years. Overall, the ROE data suggests that while Cisco's profitability from equity was high and stable in 2023, there has been a gradual decline into 2024 and 2025, which warrants further examination into factors influencing this decrease, such as changes in net income, equity levels, or operational efficiencies.