Cisco Systems Inc (CSCO)
Return on total capital
| Jul 27, 2024 | Apr 27, 2024 | Jan 27, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 23, 2021 | Oct 24, 2020 | Jul 25, 2020 | Apr 25, 2020 | Jan 25, 2020 | Oct 26, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 13,044,000 | 15,008,000 | 16,482,000 | 16,723,000 | 15,745,000 | 14,672,000 | 14,497,000 | 14,666,000 | 14,837,000 | 15,161,000 | 14,972,000 | 14,649,000 | 13,696,000 | 13,288,000 | 13,160,000 | 13,484,000 | 14,555,000 | 15,038,000 | 15,290,000 | 15,164,000 |
| Long-term debt | US$ in thousands | 19,621,000 | 20,102,000 | 6,669,000 | 6,660,000 | 6,658,000 | 6,663,000 | 7,637,000 | 7,629,000 | 8,416,000 | 8,418,000 | 8,969,000 | 8,996,000 | 9,018,000 | 9,532,000 | 9,554,000 | 9,564,000 | 11,578,000 | 11,578,000 | 14,494,000 | 14,497,000 |
| Total stockholders’ equity | US$ in thousands | 45,457,000 | 45,768,000 | 46,251,000 | 45,210,000 | 44,353,000 | 42,295,000 | 41,474,000 | 40,272,000 | 39,773,000 | 40,400,000 | 39,496,000 | 42,701,000 | 41,275,000 | 40,205,000 | 39,121,000 | 38,157,000 | 37,920,000 | 35,708,000 | 35,533,000 | 34,423,000 |
| Return on total capital | 20.04% | 22.78% | 31.15% | 32.24% | 30.87% | 29.97% | 29.52% | 30.62% | 30.79% | 31.06% | 30.89% | 28.34% | 27.23% | 26.72% | 27.04% | 28.26% | 29.41% | 31.80% | 30.56% | 31.00% |
July 27, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $13,044,000K ÷ ($19,621,000K + $45,457,000K)
= 20.04%
Cisco Systems Inc has shown a consistent trend in its return on total capital over the past several quarters. The return on total capital has ranged between 20.04% and 32.24% during the period under review. The company's return on total capital peaked at 32.24% in the quarter ending October 28, 2023, and has generally remained above 20% in most quarters. This indicates that Cisco Systems Inc has been effectively utilizing its capital to generate profits for its shareholders. The company's ability to consistently deliver a strong return on total capital demonstrates its efficiency in generating profits relative to the total capital employed in its operations.
Peer comparison
Jul 27, 2024