CSCO
Updated: 24/09/2026, 17:56:15
Cisco Systems, Inc. is a leading global technology company focused on designing, producing, and marketing Internet Protocol (IP)-based networking equipment, software, and associated products within the communications and information technology industries. The company operates extensively across major regions including the Americas, Europe, the Middle East, Africa, and the Asia Pacific, specifically covering Japan and China. Its comprehensive product lineup features switching solutions for both enterprise campuses and data centers. Cisco's enterprise routing segment is crucial for securely and reliably interconnecting public, private, wired, and mobile networks, ensuring vital connectivity across corporate campuses, data centers, and branch offices. Additionally, the company provides a range of wireless products offering seamless indoor and outdoor roaming for voice, video, and data applications. Security forms a significant pillar of its offerings, encompassing network defense, identity and access management, secure access service edge (SASE), alongside threat intelligence, detection, and response capabilities. For collaboration, Cisco delivers the Webex Suite, dedicated devices, contact center platforms, and communication platform-as-a-service (CPaaS). These end-to-end collaboration solutions are adaptable, available in cloud, on-premise, or hybrid environments, facilitating clients' migration to cloud-based systems. Moreover, their observability suite provides network assurance, monitoring, and analytics. Beyond its product portfolio, Cisco offers extensive customer support and services, including technical assistance, advanced professional services, and advisory consulting. The company serves a broad clientele, from small and large businesses to public institutions, governmental agencies, and service providers. Products and services are distributed directly by Cisco, as well as through a diverse network of system integrators, service providers, other resellers, and distributors. Cisco Systems, Inc. also engages in strategic collaborations with other industry players. Founded in 1984, the company is headquartered in San Jose, California.
No summaries found.
Reported and calculated KPIs plus operational exposure disclosed in the FY 2026 filing.
Revenue
$63.3B
FY 2026 · Reported
Net income
$13.3B
FY 2026 · Reported
Gross margin
64.5%
FY 2026 · Calculated
Free cash flow
$12.8B
FY 2026 · Calculated
R&D intensity
15.1%
FY 2026 · Calculated
Share repurchases
$6.1B
FY 2026 · Reported
| Product / service | Sales | Share of sales | YoY growth | By reported area |
|---|---|---|---|---|
fy2026_revenue_usd_mSource evidence“Total revenue was $63.3 billion, an increase of 12% compared with fiscal 2025. Within total revenue, product revenue increased by 16% and services revenue was flat.” | 63,325 | N/A | N/A | Not disclosed by product and area |
fy2025_revenue_usd_mSource evidence“Total revenue was $63.3 billion, an increase of 12% compared with fiscal 2025. Within total revenue, product revenue increased by 16% and services revenue was flat.” | 56,654 | N/A | N/A | Not disclosed by product and area |
product_growth_pctSource evidence“Total revenue was $63.3 billion, an increase of 12% compared with fiscal 2025. Within total revenue, product revenue increased by 16% and services revenue was flat.” | 16 | N/A | N/A | Not disclosed by product and area |
growth_pctSource evidence“Total revenue was $63.3 billion, an increase of 12% compared with fiscal 2025. Within total revenue, product revenue increased by 16% and services revenue was flat.” | 12 | N/A | N/A | Not disclosed by product and area |
Other offerings mentioned without separate sales
Area-level product sales are displayed only when the filing reports a product × geography breakdown. Regional totals are not allocated across products by estimation.
Map layer
Pins show disclosed operations. The heatmap colors the filing’s reported geographies; regional figures shade the region and are not estimates for each country.
Only locations and quantities explicitly supported by the filing are displayed. A country-level manufacturing percentage or product allocation is shown only when the source discloses it; materiality scores are never presented as production shares.
Business overview
Cisco designs and sells a broad range of technologies including hardware, software, and AI-powered digital infrastructure across networking, security, collaboration and observability
“Cisco designs and sells a broad range of technologies including hardware, software, and artificial intelligence (AI) powered digital infrastructure to power, help secure, and draw insights from the Internet.”
Cisco core business
Designs and sells a broad range of technologies including hardware, software, and AI-powered digital infrastructure; products grouped into Networking, Security, Collaboration and Observability, plus technical support and professional services
“Cisco designs and sells a broad range of technologies including hardware, software, and artificial intelligence (AI) powered digital infrastructure to power, help secure, and draw insights from the Internet.”
Corporate history and HQ
Incorporated California 1984, reincorporated Delaware 2021; HQ San Jose, California
“Cisco was incorporated in California in 1984 and reincorporated in Delaware in 2021. Our headquarters are in San Jose, California.”
Geographic segments
Three geographic segments: Americas; EMEA; APJC
“Our business is organized into the following three geographic segments: Americas; Europe, Middle East, and Africa (EMEA); and Asia Pacific, Japan, and China (APJC).”
Customer base
Businesses of all sizes, public institutions, governments, and service providers including hyperscalers
“Our customers include businesses of all sizes, public institutions, governments, and service providers, including hyperscalers.”
Key customer markets exposed to IT spending cycles
Constrained IT spending risk concentrated in service provider, cloud, and enterprise customer markets
“reduced demand for our products due to constrained IT-related spending by customers, particularly service provider, cloud, enterprise and other customer markets”
Networking product family
Networking portfolio: switching, routing, wireless, servers, Acacia Optics, built on Cisco Silicon One; includes cloud-managed offerings
“Our networking business is built on a foundation of industry-leading technologies, including switching, routing, wireless, and servers, offered through a comprehensive suite of both hardware and software solutions.”
Security business
Security strategy: platform integrated with infrastructure, security in network fabric, telemetry-driven threat prevention/detection/response
“Our differentiated security strategy is based on three pillars: moving from point solutions to a platform comprehensively integrated with the infrastructure; infusing security into the fabric of the network; and harnessing the depth and breadth of telemetry data to prevent, detect, and respond to sophisticated attacks at machine speed.”
Collaboration and Observability
Collaboration devices/software; observability via Splunk + AppDynamics; assurance powered by ThousandEyes
“Our observability solution, Splunk combined with AppDynamics, monitors the entire enterprise to help prevent downtime and improve experiences across networks, infrastructures, and applications.”
Services
Technical support services and professional services, including AI-powered support via Cisco Services
“we provide a broad range of services over the lifecycle of our products, including technical support services and professional services.”
Quantum-resistant security in switching
Cisco 9350, 9610, 9550 Smart Switches with quantum-resistant security and post-quantum cryptography
“equipped with quantum-resistant security and post-quantum cryptography to protect against future threats.”
Geographic segment growth FY2026
Americas revenue +$4.1B, EMEA +$1.8B, APJC +$0.7B
“revenue from the Americas increased by $4.1 billion, EMEA revenue increased by $1.8 billion and APJC revenue increased by $0.7 billion.”
FY2026 revenue and growth
FY2026 revenue $63,325M, +12% vs FY2025 $56,654M; product +16%, services flat
“Total revenue was $63.3 billion, an increase of 12% compared with fiscal 2025. Within total revenue, product revenue increased by 16% and services revenue was flat.”
Product category growth FY2026
Networking +22% (AI Infrastructure and Campus Networking), Collaboration +4%, Observability +4%, Security +2%
“the product revenue increase of 16% was driven by growth in Networking of 22%, particularly within our AI Infrastructure and Campus Networking solutions. We also saw product revenue growth in Collaboration of 4%, Observability of 4%, and Security of 2%.”
Limited or single-source components
Certain components are available only from limited or single sources, creating supply risk if sources are disrupted
“certain components are presently available only from limited or single sources”
Approximately 82,400 employees
As of July 25, 2026, approximately 82,400 employees
“As of July 25, 2026, we had approximately 82,400 employees and they are categorized as follows:”
Silicon One architecture
High-performance systems predominantly powered by Cisco Silicon One covering all AI networking roles
“Our high-performance systems are predominantly powered by Cisco Silicon One, a scalable and programmable architecture, covering all AI networking roles”
Cloud-managed / Nexus One convergence
Convergence of on-premises and cloud-managed networking (Nexus One strategy) targeting hybrid/cloud-first customers
“A central pillar of our networking strategy is the convergence of our on-premises solutions with our cloud-managed offerings.”
Critical infrastructure for AI era
Positions itself as critical infrastructure for the AI era via foundational hardware, software and services
“We deliver the foundational hardware, software and services that every other technology capability is built on, making Cisco the critical infrastructure for the AI era.”
Investments in silicon, optics, AI infrastructure
Strategic investments in silicon (Cisco Silicon One) and optics including for AI infrastructure; key priority areas AI, cloud, cybersecurity
“We commit significant resources, including investments in strategic priorities such as silicon (Cisco Silicon One) and optics, including for AI infrastructure”
One Cisco strategy
One Cisco strategy delivering AI-ready data centers, future-proofed workplaces, and digital resilience
“we are bringing together the power of our portfolio, which we refer to as One Cisco, which provides three key outcomes to our customers: i) AI-ready data centers, ii) future-proofed workplaces, and iii) digital resilience.”
AI as strategic and growth focus
Cisco cites AI as a key emerging technology market for success and is advancing approaches to leading, learning, and working in the age of AI
“our success in these new and evolving markets and with emerging technologies, including AI”
Memory costs and supply constraints
Operating environment challenged by memory constraints and costs, and trade policy; product gross margin hurt by product mix and higher memory costs
“We continue to operate in a highly competitive and complex environment, especially as it relates to memory constraints and costs, and trade policy.”
Foreign currency impact on opex
FX fluctuations, net of hedging, increased combined R&D, sales and marketing, and G&A expenses by ~$195 million (0.8%) in FY2026
“foreign currency fluctuations, net of hedging, increased the combined R&D, sales and marketing, and G&A expenses by approximately $195 million, or 0.8%, compared with fiscal 2025.”
Total debt and cash
Total debt $29,533M (FY2025: $28,093M); cash and investments $15,918M
“Inventories$5,694$3,164 Total debt$29,533$28,093”
Interest income and expense (FY2024-FY2026)
Net interest expense $604M FY2026; interest income $866M, interest expense $1,470M; expense decline driven by lower average debt balance and lower commercial paper rates
“The decrease in interest expense was driven by a lower average balance of debt outstanding and lower effective interest rates on commercial paper.”
AI infrastructure demand outlook FY2027
AI infrastructure demand expected to remain a significant driver in fiscal 2027
“We expect this demand to remain a significant driver of our results in fiscal 2027”
Cash, investments, and FY2026 capital deployment
Total cash and investments $15,918M at FY2026 year-end (down $192M); funded $6.6B dividends, $6.1B buybacks, $1.8B debt repayment; operating cash flow $14.2B and $3.2B net commercial paper issuance
“cash returned to stockholders in the form of cash dividends of $6.6 billion and repurchases of common stock of $6.1 billion”
Dividend declaration and buyback authorization
Quarterly dividend of $0.42/share declared Aug 12, 2026; ~$8.1 billion remaining buyback authorization with no termination date
“the remaining authorized amount for stock repurchases under this program is approximately $8.1 billion, with no termination date.”
Other income (loss), net swing from non-marketable equity securities
Other income, net of $1,245M in FY2026 (vs -$68M FY2025), driven by $1,409M gains on non-marketable equity securities; sensitive to future financing-round valuations
“The unrealized gains or losses on our non-marketable equity securities may be impacted by future observable financing rounds at varying valuations.”
Top workplace recognition
Ranked #3 on Fortune 100 Best Companies to Work For 2026; top three workplace in 24 countries with #1 wins in 8 countries
“Cisco is currently ranked #3 on the Fortune 100 Best Companies to Work For® 2026 in the United States.”
Investor communication channels
Material information announced via Investor Relations website, SEC filings, press releases, calls, webcasts, and social media (LinkedIn, YouTube, X)
“We intend to announce material information to the public through our Investor Relations website at https://investor.cisco.com, SEC filings, press releases, public conference calls, and public webcasts”
Reliance on outsourced manufacturing and extended supply chain
Cisco does not own or operate the bulk of its manufacturing facilities and is reliant on its extended supply chain of contract manufacturers and component suppliers
“The fact that we do not own or operate the bulk of our manufacturing facilities and that we are reliant on our extended supply chain could have an adverse impact on the supply of our products”
Quarterly results fluctuation risk
Results subject to quarterly and annual fluctuations from demand variability (especially service provider and cloud customers), order timing, competition, AI market shifts, mix, margins, and counterparty financing
“Customer patterns, such as fluctuating demand for our products and services, especially with respect to service providers and cloud customers;”
Binding purchase commitments risk
Binding purchase commitments may require buying components at above-market prices or in excess quantities, risking excess/obsolete inventory and losses on purchase commitments
“as a result of binding price or purchase commitments with suppliers, we may be obligated to purchase components at prices that are higher than those available in the current market”
Memory component shortage and rising costs in fiscal 2026
Memory shortages in fiscal 2026 remain a significant risk; expects continued adverse impact from rising costs of constrained memory components
“Manufacturing capacity and supply constraints, such as the memory shortages experienced in fiscal 2026, remain significant risks, and we expect to continue to be adversely impacted by the rising costs of currently constrained memory components.”
Revenue predictability risk
Revenue is difficult to predict due to nonlinear shipping patterns, large-order timing, duplicate/cancelled orders, and fixed cost structures
“Nonlinear shipping patterns have occurred when shipments have exceeded net bookings or manufacturing or other issues have delayed shipments, making it difficult to predict revenue for a particular period.”
Macroeconomic and geopolitical exposure
Unfavorable economic and geopolitical conditions — tariffs, inflation, Russia-Ukraine war, Middle East conflicts, China-Taiwan relations — may reduce IT spending and demand
“instability in the geopolitical environment in many parts of the world (including as a result of the ongoing Russia and Ukraine war, Middle East conflicts and wars, and China-Taiwan relations)”
Regulatory exposure across evolving regimes
Subject to numerous US and foreign regulations covering privacy, data protection, cybersecurity, operational resilience, AI, tax, trade, encryption, environmental sustainability/climate, human rights, product certification, and national security
“These regulations and laws involve a variety of matters including privacy, data protection and personal information, cybersecurity, operational resilience, AI, tax, trade, encryption technology, environmental sustainability (including climate change), human rights, product certification, and national security.”
Vendor prioritization risk
Vendors may prioritize other customers for business, regulatory, or political reasons or demand price adjustments as a condition of supply
“vendors may prioritize other customers for business, regulatory, or political reasons or demand price adjustments as a condition of supply”
Semiconductor supplier market consolidation
Industry consolidation in component supplier markets, such as the semiconductor market, could limit supply or increase costs
“industry consolidation occurring within one or more component supplier markets, such as the semiconductor market”
AI agents and inference workloads are driving a large increase in network traffic and demand for Cisco's networking infrastructure for both hyperscalers and enterprises.
“The rise of AI agents is generating a huge increase in network traffic and driving the need for far greater network connectivity.”
AI infrastructure drove Networking growth of 22% and hyperscaler demand; expected to remain a significant FY2027 driver.
“the product revenue increase of 16% was driven by growth in Networking of 22%, particularly within our AI Infrastructure and Campus Networking solutions.”
Hyperscaler AI infrastructure demand rose to ~6% of FY2026 revenue from <2%, expected to remain a significant driver in fiscal 2027, with associated customer concentration risk.
“We saw demand in fiscal 2026 for AI infrastructure from our hyperscaler customers, which represented approximately 6% of total revenue in fiscal 2026 compared with less than 2% in fiscal 2025.”
Cisco does not own most manufacturing facilities and depends on contract manufacturers, whose financial problems or capacity reservations by others could limit supply.
“Financial problems of either contract manufacturers or component suppliers, reservation of manufacturing capacity at our contract manufacturers by other companies”
Cisco's Q4 FY2026 restructuring explicitly redirects investment and cost savings toward key growth opportunities including silicon, optics, security and AI, tying cost structure changes to AI-driven strategy.
“a restructuring plan to allow us to invest in key growth opportunities including silicon, optics, security and AI.”
Cisco's high-performance AI-ready systems and next-generation switches are predominantly built on the Silicon One unified silicon architecture.
“built on Silicon One, our single, unified, scalable networking silicon architecture.”
Hyperscalers are an explicitly named customer group for Cisco's AI training and inference network infrastructure.
“We provide network infrastructure to power AI training and inference workloads for both hyperscalers and enterprises.”
Fiscal 2026 memory shortages raised costs and constrained supply; Cisco expects continued adverse impact from rising memory component costs.
“Manufacturing capacity and supply constraints, such as the memory shortages experienced in fiscal 2026, remain significant risks, and we expect to continue to be adversely impacted by the rising costs of currently constrained memory components.”
Increasingly sophisticated cyberattacks and AI growth make cybersecurity a top customer priority, driving demand for Cisco's security platform.
“With the rapid growth in AI, modern applications, hyper-distributed architecture and increasingly sophisticated cyberattacks, cybersecurity is a top priority for customers.”
Industry consolidation in component supplier markets, notably semiconductors, could limit supply or increase costs.
“industry consolidation occurring within one or more component supplier markets, such as the semiconductor market”
Fluctuating demand from service providers, especially during constrained IT spending, drives revenue variability.
“fluctuating demand for our products and services, especially with respect to service providers and cloud customers”
Cloud customer demand is a key variable revenue driver and is exposed to constrained IT spending.
“fluctuating demand for our products and services, especially with respect to service providers and cloud customers”
Splunk combined with AppDynamics is Cisco's observability offering within digital resilience, monitoring entire enterprises.
“Our observability solution, Splunk combined with AppDynamics, monitors the entire enterprise to help prevent downtime and improve experiences across networks, infrastructures, and applications.”
Cisco cites trade policy as a key complexity in its operating environment.
“We continue to operate in a highly competitive and complex environment, especially as it relates to memory constraints and costs, and trade policy.”
Tariffs and trade barriers are cited as contributing to market slowdowns, reduced IT spending, and supply constraints.
“Challenging global economic conditions, including tariffs or other trade barriers or disruptions, rising inflation, or other changes, have contributed”
Cisco pays suppliers in advance under arrangements to secure supply and pricing for memory and certain components, and more than doubled purchase commitments with contract manufacturers and suppliers to $17.2 billion.
“principally under arrangements to secure supply and pricing for memory and certain components”
ThousandEyes powers assurance capabilities deeply embedded across the Cisco portfolio for connectivity and digital experience.
“Our assurance capabilities, powered by ThousandEyes, are deeply embedded across the Cisco portfolio”
Customer transition to hybrid and cloud-first environments drives Cisco's convergence of on-premises and cloud-managed offerings.
“This unified approach positions us to address the diverse needs of businesses as they transition to hybrid and cloud-first environments.”
Growth in as-a-service delivery enables new competitors; Cisco competes in cloud and key priority areas against companies of all sizes, some with greater resources.
“the growth in demand for technology delivered as a service enables new competitors to enter the market.”
Execution risk includes keeping pace with evolving semiconductor and optical design and manufacturing technologies.
“technical hurdles that we fail to overcome in a timely fashion, including keeping pace with evolving semiconductor and optical design and manufacturing technologies”
US tax matters materially affect Cisco's tax rate: a $720M FY2025 Tax Court benefit related to the Tax Act transition year and a California valuation allowance adjustment drove the 8.8-point rate increase to 17.1%; FY2026 included the final $2.3B transition tax payment.
“a $720 million tax benefit recognized in fiscal 2025 related to a U.S. Tax Court opinion regarding the U.S. taxation of deemed foreign dividends in the transition year of the Tax Cuts and Jobs Act”
Acacia Optics' coherent optical interconnect technologies enhance Cisco networking and support the shift to pluggable coherent optics.
“The portfolio also includes Acacia Optics, whose high-speed coherent optical interconnect technologies enhance Cisco's networking solutions”
FX movements net of hedging raised Cisco's combined R&D, sales and marketing, and G&A expenses by ~$195 million (0.8%) in FY2026, indicating meaningful unhedged currency exposure on the cost side.
“foreign currency fluctuations, net of hedging, increased the combined R&D, sales and marketing, and G&A expenses by approximately $195 million, or 0.8%, compared with fiscal 2025.”
Lower interest rates reduced Cisco's interest income on cash/investments and lowered effective rates on commercial paper, affecting net interest expense of $604M in FY2026.
“The decrease in interest expense was driven by a lower average balance of debt outstanding and lower effective interest rates on commercial paper.”
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