CSCO has been successfully added to your Stock Email Alerts list.
You can manage your stock email alerts here.
CSCO has been removed from your Stock Email Alerts list.
Please enter Portfolio Name for new portfolio.
Gross Margin % is calculated as gross profit divided by its revenue. Cisco Systems's Gross Profit for the three months ended in Jul. 2024 was $8,781 Mil. Cisco Systems's Revenue for the three months ended in Jul. 2024 was $13,642 Mil. Therefore, Cisco Systems's Gross Margin % for the quarter that ended in Jul. 2024 was 64.37%.
The historical rank and industry rank for Cisco Systems's Gross Margin % or its related term are showing as below:
During the past 13 years, the highest Gross Margin % of Cisco Systems was 64.73%. The lowest was 60.38%. And the median was 62.91%.
Cisco Systems had a gross margin of 64.37% for the quarter that ended in Jul. 2024 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Cisco Systems was 0.10% per year.
The historical data trend for Cisco Systems's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Cisco Systems Annual Data | |||||||||||||||||||||
Trend | Jul15 | Jul16 | Jul17 | Jul18 | Jul19 | Jul20 | Jul21 | Jul22 | Jul23 | Jul24 | |||||||||||
Gross Margin % | Get a 7-Day Free Trial | 64.26 | 64.02 | 62.55 | 62.73 | 64.73 |
Cisco Systems Quarterly Data | ||||||||||||||||||||
Oct19 | Jan20 | Apr20 | Jul20 | Oct20 | Jan21 | Apr21 | Jul21 | Oct21 | Jan22 | Apr22 | Jul22 | Oct22 | Jan23 | Apr23 | Jul23 | Oct23 | Jan24 | Apr24 | Jul24 | |
Gross Margin % | Get a 7-Day Free Trial | 64.12 | 65.16 | 64.24 | 65.13 | 64.37 |
For the Communication Equipment subindustry, Cisco Systems's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
For the Hardware industry and Technology sector, Cisco Systems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Cisco Systems's Gross Margin % falls into.
Gross Margin is the percentage of Gross Profit out of sales or Revenue.
Cisco Systems's Gross Margin for the fiscal year that ended in Jul. 2024 is calculated as
Gross Margin % (A: Jul. 2024 ) | = | Gross Profit (A: Jul. 2024 ) | / | Revenue (A: Jul. 2024 ) |
= | 34828 | / | 53803 | |
= | (Revenue - Cost of Goods Sold) | / | Revenue | |
= | (53803 - 18975) | / | 53803 | |
= | 64.73 % |
Cisco Systems's Gross Margin for the quarter that ended in Jul. 2024 is calculated as
Gross Margin % (Q: Jul. 2024 ) | = | Gross Profit (Q: Jul. 2024 ) | / | Revenue (Q: Jul. 2024 ) |
= | 8781 | / | 13642 | |
= | (Revenue - Cost of Goods Sold) | / | Revenue | |
= | (13642 - 4861) | / | 13642 | |
= | 64.37 % |
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Cisco Systems (NAS:CSCO) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Cisco Systems had a gross margin of 64.37% for the quarter that ended in Jul. 2024 => Durable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Thank you for viewing the detailed overview of Cisco Systems's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Maria Victoria Wong | officer: SVP & Chief Acctg Officer | C/O CISCO SYSTEMS, INC., 170 WEST TASMAN DRIVE, SAN JOSE CA 95134 |
Deborah L Stahlkopf | officer: EVP and Chief Legal Officer | C/O CISCO SYSTEMS, INC., 170 WEST TASMAN DRIVE, SAN JOSE CA 95134 |
Richard Scott Herren | officer: EVP and CFO | 851 WEST CYPRESS CREEK ROAD, FORT LAUDERDALE FL 33309 |
Charles Robbins | officer: SVP, Worldwide Sales | 170 WEST TASMAN DRIVE, SAN JOSE CA 95134 |
Jeffery S. Sharritts | officer: EVP & Chief Cust & Prtnr Offcr | 1200 ABERNATHY RD., NE, STE 1200, ATLANTA GA 30328 |
Maria Martinez | officer: EVP, Chief Customer Exp Offcr | THE LANDMARK @ 1 MARKET STREET, SUITE 300, SAN FRANCISCO CA 94105 |
Mark Garrett | director | 106 EAST BABCOCK STREET SUITE 3A, BOZEMAN MT 59715 |
Daniel H Schulman | director | C/O PAYPAL HOLDINGS, INC., 2211 NORTH FIRST STREET, SAN JOSE CA 95131 |
Roderick C Mcgeary | director | 1421 MCCRTHY BLVD, MILPITAS CA 95035 |
Prat Bhatt | officer: VP, Corporate Controller & PAO | 170 WEST TASMAN DRIVE, SAN JOSE CA 95134 |
Kristina M Johnson | director | 19 HEATH PL, DURHAM NC 27705 |
Sarah Rae Murphy | director | C/O CISCO SYSTEMS, INC., 170 WEST TASMAN DRIVE, SAN JOSE CA 95134 |
Geraldine Elliott | officer: EVP, Chief Sales & Mktg Offcr | 1194 N. MATHILDA AVE., SUNNYVALE CA 94089 |
M Michele Burns | director | C/O MARSH &MCLENNAN COMPANIES, INC., 1166 AVENUE OF THE AMERICAS, NEW YORK NY 10036-2774 |
Mark D Chandler | officer: SVP, LglSrvs, GenCnsl & Secty | 170 W TASMAN DRIVE, SAN JOSE CA 95134 |
From GuruFocus
By ACCESSWIRE • 09-19-2024
By ACCESSWIRE • 09-09-2024
By GuruFocus Research • 08-13-2024
By PRNewswire • 08-23-2024
By PRNewswire • 08-06-2024
By GuruFocus Research • 08-09-2024
By GuruFocus Research • 08-21-2024
By GuruFocus Research • 08-29-2024
By ACCESSWIRE • 09-18-2024
By GuruFocus Research • 08-07-2024
Disclaimers: GuruFocus.com is not operated by a broker or a dealer. It has an affiliated registered investment adviser, which serves as the subadviser to an exchange traded fund. This investment adviser does not provide advice to individual investors. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes provided by InterActive Data. Fundamental company data provided by Morningstar, updated daily.