Analysis of Reportable Segments
Cisco Systems Inc. operates in 3 segments: Americas; Europe, Middle East, and Africa (EMEA); and Asia Pacific, Japan, and China (APJC).
Segment Profit Margin
Cisco Systems Inc., profit margin by reportable segment
| Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Jul 25, 2020 | Jul 27, 2019 | Jul 28, 2018 | |
|---|---|---|---|---|---|---|
| Americas | 63.83% | 64.12% | 66.87% | 66.73% | 65.76% | 64.64% |
| Europe, Middle East, and Africa (EMEA) | 66.18% | 65.40% | 65.37% | 65.60% | 64.56% | 63.94% |
| Asia Pacific, Japan, and China (APJC) | 64.44% | 65.29% | 64.22% | 63.76% | 59.45% | 60.33% |
Based on: 10-K (reporting date: 2023-07-29), 10-K (reporting date: 2022-07-30), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-25), 10-K (reporting date: 2019-07-27), 10-K (reporting date: 2018-07-28).
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Americas | Americas segment profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Europe, Middle East, and Africa (EMEA) | Europe, Middle East, and Africa (EMEA) segment profit margin ratio improved from 2021 to 2022 and from 2022 to 2023. | |
| Asia Pacific, Japan, and China (APJC) | Asia Pacific, Japan, and China (APJC) segment profit margin ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
Segment Profit Margin: Americas
Cisco Systems Inc.; Americas; segment profit margin calculation
| Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Jul 25, 2020 | Jul 27, 2019 | Jul 28, 2018 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Gross margin | 21,350) | 19,117) | 19,499) | 19,547) | 20,338) | 18,792) |
| Revenue | 33,447) | 29,814) | 29,161) | 29,291) | 30,927) | 29,070) |
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | 63.83% | 64.12% | 66.87% | 66.73% | 65.76% | 64.64% |
Based on: 10-K (reporting date: 2023-07-29), 10-K (reporting date: 2022-07-30), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-25), 10-K (reporting date: 2019-07-27), 10-K (reporting date: 2018-07-28).
1 2023 Calculation
Segment profit margin = 100 × Gross margin ÷ Revenue
= 100 × 21,350 ÷ 33,447 = 63.83%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Americas | Americas segment profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Segment Profit Margin: Europe, Middle East, and Africa (EMEA)
Cisco Systems Inc.; Europe, Middle East, and Africa (EMEA); segment profit margin calculation
| Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Jul 25, 2020 | Jul 27, 2019 | Jul 28, 2018 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Gross margin | 10,016) | 8,969) | 8,466) | 8,304) | 8,457) | 7,945) |
| Revenue | 15,135) | 13,715) | 12,951) | 12,659) | 13,100) | 12,425) |
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | 66.18% | 65.40% | 65.37% | 65.60% | 64.56% | 63.94% |
Based on: 10-K (reporting date: 2023-07-29), 10-K (reporting date: 2022-07-30), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-25), 10-K (reporting date: 2019-07-27), 10-K (reporting date: 2018-07-28).
1 2023 Calculation
Segment profit margin = 100 × Gross margin ÷ Revenue
= 100 × 10,016 ÷ 15,135 = 66.18%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Europe, Middle East, and Africa (EMEA) | Europe, Middle East, and Africa (EMEA) segment profit margin ratio improved from 2021 to 2022 and from 2022 to 2023. |
Segment Profit Margin: Asia Pacific, Japan, and China (APJC)
Cisco Systems Inc.; Asia Pacific, Japan, and China (APJC); segment profit margin calculation
| Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Jul 25, 2020 | Jul 27, 2019 | Jul 28, 2018 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Gross margin | 5,424) | 5,241) | 4,949) | 4,688) | 4,683) | 4,726) |
| Revenue | 8,417) | 8,027) | 7,706) | 7,352) | 7,877) | 7,834) |
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | 64.44% | 65.29% | 64.22% | 63.76% | 59.45% | 60.33% |
Based on: 10-K (reporting date: 2023-07-29), 10-K (reporting date: 2022-07-30), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-25), 10-K (reporting date: 2019-07-27), 10-K (reporting date: 2018-07-28).
1 2023 Calculation
Segment profit margin = 100 × Gross margin ÷ Revenue
= 100 × 5,424 ÷ 8,417 = 64.44%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Asia Pacific, Japan, and China (APJC) | Asia Pacific, Japan, and China (APJC) segment profit margin ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
Revenue
Cisco Systems Inc., revenue by reportable segment
US$ in millions
| Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Jul 25, 2020 | Jul 27, 2019 | Jul 28, 2018 | |
|---|---|---|---|---|---|---|
| Americas | 33,447) | 29,814) | 29,161) | 29,291) | 30,927) | 29,070) |
| Europe, Middle East, and Africa (EMEA) | 15,135) | 13,715) | 12,951) | 12,659) | 13,100) | 12,425) |
| Asia Pacific, Japan, and China (APJC) | 8,417) | 8,027) | 7,706) | 7,352) | 7,877) | 7,834) |
| Segment total | 56,999) | 51,556) | 49,818) | 49,302) | 51,904) | 49,329) |
Based on: 10-K (reporting date: 2023-07-29), 10-K (reporting date: 2022-07-30), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-25), 10-K (reporting date: 2019-07-27), 10-K (reporting date: 2018-07-28).
Gross margin
Cisco Systems Inc., gross margin by reportable segment
US$ in millions
| Jul 29, 2023 | Jul 30, 2022 | Jul 31, 2021 | Jul 25, 2020 | Jul 27, 2019 | Jul 28, 2018 | |
|---|---|---|---|---|---|---|
| Americas | 21,350) | 19,117) | 19,499) | 19,547) | 20,338) | 18,792) |
| Europe, Middle East, and Africa (EMEA) | 10,016) | 8,969) | 8,466) | 8,304) | 8,457) | 7,945) |
| Asia Pacific, Japan, and China (APJC) | 5,424) | 5,241) | 4,949) | 4,688) | 4,683) | 4,726) |
| Segment total | 36,790) | 33,327) | 32,914) | 32,539) | 33,478) | 31,463) |
Based on: 10-K (reporting date: 2023-07-29), 10-K (reporting date: 2022-07-30), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-25), 10-K (reporting date: 2019-07-27), 10-K (reporting date: 2018-07-28).