Cisco Systems Inc (CSCO)
Debt-to-capital ratio
| Jul 31, 2024 | Jul 27, 2024 | Jul 31, 2023 | Jul 29, 2023 | Jul 31, 2022 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | 19,621,000 | — | 6,658,000 | — |
| Total stockholders’ equity | US$ in thousands | 45,457,000 | 45,457,000 | 44,353,000 | 44,353,000 | 39,773,000 |
| Debt-to-capital ratio | 0.00 | 0.30 | 0.00 | 0.13 | 0.00 |
July 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $45,457,000K)
= 0.00
Based on the provided data, the debt-to-capital ratio of Cisco Systems Inc has fluctuated over the past few years. As of July 31, 2022, the company had a debt-to-capital ratio of 0.00, indicating that the company's capital structure was not heavily reliant on debt at that time.
However, by July 29, 2023, the debt-to-capital ratio had increased to 0.13, suggesting a slight increase in the company's debt level relative to its total capital. This uptick in the ratio may indicate that Cisco Systems Inc took on more debt or experienced a decrease in its capital base during this period.
The ratio then decreased back to 0.00 by July 31, 2023, signaling a return to a debt-free capital structure. This could imply that the company paid down its debt or increased its capital reserves.
Subsequently, as of July 27, 2024, the debt-to-capital ratio rose significantly to 0.30, indicating a more leveraged position with a higher proportion of debt in the capital structure. This could be a result of taking on additional debt or a decrease in the company's capital.
Lastly, by July 31, 2024, the debt-to-capital ratio went back down to 0.00, potentially reflecting a similar situation as in the previous year where the company reduced its debt levels or increased its capital base.
In summary, Cisco Systems Inc has shown fluctuations in its debt-to-capital ratio over the years, moving between periods of low or zero debt to more leveraged positions. Monitoring this ratio can provide insights into the company's financial health, capital structure decisions, and risk management strategies.
Peer comparison
Jul 31, 2024