Cisco Systems Inc. (NASDAQ:CSCO)

The analyzed financial data for Cisco Systems Inc. presents a detailed overview of profitability metrics across six consecutive annual periods, spanning from July 2020 to July 2025. The key indicators include Net Income, Earnings Before Tax (EBT), Earnings Before Interest and Tax (EBIT), and Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA), all expressed in millions of US dollars.

Net Income

The net income shows an initial decline from 11,214 million in July 2020 to 10,591 million in July 2021. It rebounds in the next two years, reaching a peak of 12,613 million in July 2023, before declining again to 10,320 million in July 2024 and slightly further to 10,180 million in July 2025. This pattern suggests variability in profitability, with significant gains during the mid-period followed by a notable decline in the most recent years.

Earnings Before Tax (EBT)

EBT follows a similar trajectory, decreasing from 13,970 million in July 2020 to 13,262 million in July 2021, then increasing to a peak of 15,318 million in July 2023. Afterwards, it experiences a pronounced decrease to 12,234 million in July 2024, and continues to fall to 11,100 million in July 2025. The fluctuations in EBT closely mirror those observed in Net Income, indicating consistent income tax impact relative to operational earnings.

Earnings Before Interest and Tax (EBIT)

EBIT data exhibit a parallel trend with EBT but generally reflects slightly higher figures. It declines from 14,555 million in 2020 to 13,696 million in 2021, climbs to a maximum of 15,745 million in 2023, before dropping to 13,240 million in 2024 and further easing to 12,693 million in 2025. This trend demonstrates a correlation with EBT and net income, highlighting the influence of interest and tax expenses on overall profitability.

Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA)

The EBITDA figures are consistently the highest among the profitability measures, indicating substantial non-cash expenses such as depreciation and amortization affecting EBIT. EBITDA decreases from 16,363 million in 2020 to 15,558 million in 2021, rises to a peak of 17,471 million in 2023, then declines again to 15,747 million in 2024 and 15,504 million in 2025. The trend reflects a pattern of initial dip, mid-period growth, and subsequent decline, similar to other earnings metrics but with smaller relative decreases in the later years.

Overall, the financial data demonstrate a cyclical pattern where profitability metrics declined in the early period, improved significantly around the mid-period (2022-2023), and then declined again approaching 2025. The consistency across different earnings measures implies that operating performance largely drives these trends. The declines in the latter years may warrant a detailed examination of market conditions, cost structures, or other external factors affecting earnings before interest, tax, and non-cash charges.

Enterprise Value (EV)

The enterprise value demonstrated fluctuations over the observed periods. It rose significantly from 158,523 million USD in July 2020 to 234,167 million USD in July 2021, followed by a decline to 176,666 million USD in July 2022. Subsequently, it generally increased, reaching 279,496 million USD by July 2025. This indicates a general upward trend in overall firm valuation, despite some volatility.

Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)

EBITDA showed variability but remained within a relatively narrow range. Starting at 16,363 million USD in July 2020, it decreased slightly in 2021 to 15,558 million USD. It then increased to 16,794 million USD in July 2022 and peaked at 17,471 million USD in 2023. However, the amount declined progressively in the last two periods, reaching 15,504 million USD by July 2025. This signalizes some operational challenges or margin pressures impacting earnings.

EV/EBITDA Ratio

The EV/EBITDA ratio exhibited pronounced volatility. It started at 9.69 in July 2020, surged to 15.05 in 2021, dropped to 10.52 in 2022, and then showed a generally increasing trend thereafter, reaching a high of 18.03 in July 2025. This rising ratio in the latter years indicates that the market valuation has expanded relative to earnings, possibly reflecting higher growth expectations, increased risk premium, or compressed profitability margins.