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Cisco Systems (XSGO:CSCO) Inventory-to-Revenue

: 0.26 (As of Jan. 2024)
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Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Cisco Systems's Average Total Inventories for the quarter that ended in Jan. 2024 was $3,276 Mil. Cisco Systems's Revenue for the three months ended in Jan. 2024 was $12,791 Mil. Cisco Systems's Inventory-to-Revenue for the quarter that ended in Jan. 2024 was 0.26.

Cisco Systems's Inventory-to-Revenue for the quarter that ended in Jan. 2024 increased from Oct. 2023 (0.24) to Oct. 2023 (0.26)

An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:

1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Cisco Systems's Days Inventory for the three months ended in Jan. 2024 was 65.35.

Inventory Turnover measures how fast the company turns over its inventory within a year. Cisco Systems's Inventory Turnover for the quarter that ended in Jan. 2024 was 1.40.


Cisco Systems Inventory-to-Revenue Historical Data

The historical data trend for Cisco Systems's Inventory-to-Revenue 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.

* Premium members only.

Cisco Systems Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
Inventory-to-Revenue
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.03 0.03 0.03 0.04 0.05

Cisco Systems Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Inventory-to-Revenue Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.21 0.23 0.23 0.24 0.26

Competitive Comparison

For the Communication Equipment subindustry, Cisco Systems's Inventory-to-Revenue, along with its competitors' market caps and Inventory-to-Revenue 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.


Cisco Systems Inventory-to-Revenue Distribution

For the Hardware industry and Technology sector, Cisco Systems's Inventory-to-Revenue distribution charts can be found below:

* The bar in red indicates where Cisco Systems's Inventory-to-Revenue falls into.



Cisco Systems Inventory-to-Revenue Calculation

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Cisco Systems's Inventory-to-Revenue for the fiscal year that ended in Jul. 2023 is calculated as

Inventory-to-Revenue (A: Jul. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Jul. 2022 ) + Total Inventories (A: Jul. 2023 )) / count ) / Revenue (A: Jul. 2023 )
=( (2568 + 3644) / 2 ) / 56998
=3106 / 56998
=0.05

Cisco Systems's Inventory-to-Revenue for the quarter that ended in Jan. 2024 is calculated as

Inventory-to-Revenue (Q: Jan. 2024 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Oct. 2023 ) + Total Inventories (Q: Jan. 2024 )) / count ) / Revenue (Q: Jan. 2024 )
=( (3342 + 3209) / 2 ) / 12791
=3275.5 / 12791
=0.26

* 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  (XSGO:CSCO) Inventory-to-Revenue Explanation

An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:

1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.

Likewise, a decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:

1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.

More Related Terms:

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Cisco Systems's Days Inventory for the three months ended in Jan. 2024 is calculated as:

Days Inventory=Average Total Inventories (Q: Jan. 2024 )/Cost of Goods Sold (Q: Jan. 2024 )*Days in Period
=3275.5/4574*365 / 4
=65.35

2. Inventory Turnover measures how fast the company turns over its inventory within a year.

Cisco Systems's Inventory Turnover for the quarter that ended in Jan. 2024 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Jan. 2024 ) / Average Total Inventories (Q: Jan. 2024 )
=4574 / 3275.5
=1.40

* 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 Inventory-to-Revenue Related Terms

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Cisco Systems (XSGO:CSCO) Business Description

Address
170 West Tasman Drive, San Jose, CA, USA, 95134-1706
Cisco Systems is the largest provider of networking equipment in the world and one of the largest software companies in the world. Its largest businesses are selling networking hardware and software (where it has leading market shares) and cybersecurity software like firewalls. It also has collaboration products, like its Webex suite, and observability tools. It primarily outsources its manufacturing to third parties and has a large sales and marketing staff—25,000 strong across 90 countries. Overall, Cisco employees 80,000 employees and sells its products globally.

Cisco Systems (XSGO:CSCO) Headlines