CISCO SYSTEMS, INC. Posts Year-Over-Year Profit-to-Profit Gains Across Revenue, Operating Income, Net Income, and Diluted EPS

Bottom line

Across the twelve-month reporting window covered by CISCO SYSTEMS, INC.'s period-ended-2026-07-25 Annual Report on Form 10-K, filed under accession 0000858877-26-000132 by CIK 0000858877 and traded as CSCO, the top-line and bottom-line figures each moved higher than the prior-year twelve-month comparative, with management characterizing the year as one of profit on both ends of the comparison. Concretely, Revenue from Contract with Customer, Excluding Assessed Tax was $63,325,000,000 USD for the twelve-month period of the twelve months ended July 25, 2026, compared with $56,654,000,000 USD for the twelve months ended July 26, 2025 — a higher top line in the current window than in the prior-year period, in line with the authorized direction of increase. Operating Income (Loss) registered at $15,368,000,000 USD for the twelve-month period of the twelve months ended July 25, 2026, against $11,760,000,000 USD for the twelve months ended July 26, 2025; both periods were profitable, so the year-over-year comparison is a profit-to-profit transition, with the current-period operating result higher than the prior-period figure per the authorized direction of increase. Net Income (Loss) Attributable to Parent came in at $13,267,000,000 USD for the twelve months ended July 25, 2026, versus $10,180,000,000 USD for the twelve months ended July 26, 2025 — again a profit-to-profit transition, with the current period higher than the prior-year comparative on the authorized direction of increase. Earnings Per Share, Diluted was $3.33 per diluted share USD/SHARES for the twelve-month period of the twelve months ended July 25, 2026, against $2.55 per diluted share USD/SHARES for the twelve months ended July 26, 2025, also a profit-to-profit transition with the current diluted EPS higher than the prior-year figure per the authorized direction of increase.

Management frames the year as one in which customers face three stated priorities — building modern infrastructure, protecting against cyber threats, and harnessing AI and data — and positions Cisco's platform of hardware, software, and AI-powered digital infrastructure across Networking, Security, Collaboration and Observability as the response, with results organized into the Americas, EMEA, and APJC geographic segments described in the cited note Note 18.

No segment-level revenue, operating income, net income or diluted EPS breakdown is disclosed at the dimension this section is asked to cover, so any attempt to allocate the company-wide change to a region or product family would rely on information not present in the filing evidence: The filing evidence does not disclose segment-level detail for this dimension..

No single driver is identified by the filing as the cause of the year-over-year increase on any of the four metrics cited above, so the change should be read as a reported improvement in aggregate rather than as the result of any named mix shift, pricing action, cost program or acquisition: The filing evidence does not attribute this change to any single cause..

No peer or industry benchmark is included in the filing evidence, so the magnitude of the year-over-year improvement cannot be sized against other issuers filing comparable annual reports within the same observation window: The filing evidence contains no peer or industry comparison..

The cited note covering controls and procedures Item 9A is referenced here for source-scope completeness, alongside the financial-statement reference Item 8; this section does not separately analyze either item. Readers cross-checking the same set of four full-year metrics for a peer issuer can compare with the parallel write-up at Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in the reporting period Filing.

Financial performance

- For the twelve-month period, CISCO SYSTEMS, INC. recorded Revenue from Contract with Customer, Excluding Assessed Tax of $63,325,000,000 USD, compared with $56,654,000,000 USD in the prior-year comparative for the twelve-month period the twelve months ended July 26, 2025. The authorized direction between the two periods is an increase.

- Operating Income (Loss) for the twelve-month period was $15,368,000,000 USD, against $11,760,000,000 USD in the prior-year comparative. The authorized direction is an increase, and both windows present a profit rather than a loss. - Net Income (Loss) Attributable to Parent for the twelve-month period reached $13,267,000,000 USD, compared with $10,180,000,000 USD in the prior-year comparative.

The authorized direction is an increase, and the transition is profit to profit. 55 per diluted share USD/SHARES in the prior-year comparative. The authorized direction is an increase.

- The filing evidence does not attribute this change to any single cause. - The filing on 10-K for period-ended-2026-07-25, filed under accession 0000858877-26-000132 by entity 0000858877 and traded as CSCO, frames the twelve-month results inside its discussion of strategy and priorities, including AI-ready data centers, future-proofed workplaces, and digital resilience, with the consolidated income statement presented under Item 8 and related notes such as Note 18. - Market-risk and accounting-policy context referenced by management is housed in Item 7A, while governance and control disclosures appear under Item 9A and related items.

Forward-looking commentary throughout the filing is qualified by the safe-harbor language in Item 1A, reminding readers that actual results may differ materially from any forward-looking statements. - A parallel pattern of year-over-year profit-to-profit growth on revenue, operating income, net income, and diluted EPS appears in the interim filing discussed in Comfort Systems USA Posts Higher Revenue, Operating Income, Net Income, and Diluted EPS Year-Over-Year in Filing, offering a useful external comparator for the trajectory shown here.

- The filing evidence contains no peer or industry comparison. - The filing evidence does not disclose segment-level detail for this dimension. - Forward guidance is presented through management's strategic narrative rather than a numerical outlook, so expectations for the next reporting window are framed qualitatively around customer priorities and the One Cisco portfolio rather than as quantified targets.

Operating drivers and segments

Across the twelve-month period ending the twelve months ended July 25, 2026, CISCO SYSTEMS, INC. (CSCO) reported Revenue from Contract with Customer, Excluding Assessed Tax of $63,325,000,000 USD, against $56,654,000,000 USD for the prior-year comparative ending the twelve months ended July 26, 2025 — an authorized increase from a positive base. Operating Income (Loss) for the period was $15,368,000,000 USD, higher than the prior-year reading of $11,760,000,000 USD; the authorized transition is profit to profit with a higher current result. The catalog supplied for this section names only these two full-year consolidated metrics, so no segment-level split by Americas, EMEA, or APJC, and no product-family split across Networking, Security, Collaboration and Observability, can be quoted here with numbers.

The filing frames Cisco as a hardware, software, and AI-powered digital-infrastructure provider organized into three geographic segments — Americas; Europe, Middle East, and Africa (EMEA); and Asia Pacific, Japan, and China (APJC) — with products grouped into Networking, Security, Collaboration, and Observability, complemented by lifecycle services and technical-support offerings. Management describes the customer base as not limited to any specific industry, geography, or market segment and lists businesses of all sizes, public institutions, governments, and service providers, including hyperscalers. The stated strategy is to "securely connect everything," and management cites three customer priorities: build modern infrastructure, protect against the cyber threats of today and tomorrow, and harness the power of AI and data. The narrative also reiterates that AI is being incorporated across networking, security, collaboration, and observability portfolios and that products are being integrated more tightly into a platform. Forward-looking-statement boilerplate around Item 1A risk factors is included without attributing the year-over-year movements to specific drivers.

The filing evidence does not attribute this change to any single cause.

Independent commentary on margins or segment mix is not supported by this section's catalog: the only quantitative anchors are the consolidated revenue and operating-income lines above, and the segment disclosures referenced narratively are not represented in the FACT keys supplied for this section. The filing also warns that actual results may differ materially and adversely from any forward-looking statements, a caveat that applies to management's strategic claims about AI integration and platform consolidation. Readers looking for a peer-frame on these results can compare the headline read against Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in Filing and the prior Cisco write-up Cisco Systems Posts Profit-to-Profit Growth on Revenue, Operating Income, Net Income, and Diluted EPS Across Both Reporting Windows, though no peer margin, share, or growth figure is asserted in this section. The filing evidence does not attribute this change to any single cause. The filing evidence contains no peer or industry comparison.

Cash flow and capital

- Operating cash generation remained the engine of the period. Net Cash Provided by (Used in) Operating Activities for the twelve-month period the twelve months ended July 25, 2026 came in at $14,177,000,000 USD, which is a decrease relative to the prior-year comparative of $14,193,000,000 USD for the twelve months ended July 26, 2025. The direction of that move is the only change the filing evidence supports; The filing evidence does not attribute this change to any single cause.

- Investing activity flipped sides of the ledger between the two windows. Net Cash Provided by (Used in) Investing Activities shifted from a positive $1,733,000,000 USD for the prior-year comparative to a negative -$3,484,000,000 USD for the twelve-month period the twelve months ended July 25, 2026. The catalog marks that as a decrease from a positive base to a negative base; The filing evidence does not attribute this change to any single cause.

- Financing activity stayed in cash-out territory but the size of the outflow eased. Net Cash Provided by (Used in) Financing Activities was a negative -$15,815,000,000 USD for the prior comparative and a negative -$12,347,000,000 USD for the current twelve-month period, which the catalog records as an increase (a smaller absolute use of cash). The filing evidence does not attribute this change to any single cause.

- Capital expenditure intensity rose. Payments to Acquire Property, Plant, and Equipment grew from $905,000,000 USD for the twelve months ended July 26, 2025 to $1,410,000,000 USD for the twelve months ended July 25, 2026, consistent with the broader push into campus switching, data-center switching, and AI-ready infrastructure described in the filing narrative. The direction is the only thing the catalog authorizes; The filing evidence does not attribute this change to any single cause.

- Shareholder returns were a heavier use of cash on both legs of the capital return program. Payments for Repurchase of Common Stock climbed from $6,000,000,000 USD in the prior-year window to $6,106,000,000 USD in the current twelve-month period, and Payments of Dividends rose from $6,437,000,000 USD to $6,553,000,000 USD. Readers comparing networks and security suppliers can place this against Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in the reporting period Filing, although that piece does not disclose its own capital return totals.

- The balance sheet endpoints anchor the picture. Cash and Cash Equivalents, at Carrying Value stood at $7,218,000,000 USD as of the balance sheet date of July 25, 2026, and Long-term Debt, Excluding Current Maturities was $19,372,000,000 USD on the same date. The filing narrative itself, spanning Item 7A market-risk disclosures and the consolidated statements presented under Item 8, does not break out a segment-level view of cash generation or capital deployment, so The filing evidence does not disclose segment-level detail for this dimension.

- Industry-relative cash-flow benchmarks are also absent from the filing evidence, so The filing evidence contains no peer or industry comparison. - Putting the three statements together: operating cash remained comfortably positive, capex ticked higher, and total returns to shareholders also stepped up, while the investing line moved from a net inflow to a net outflow and financing remained a use of cash but a less heavy one. The balance sheet continued to carry both a sizable cash position and a sizable long-term debt stack as of the reporting date.

No causal narrative is supplied beyond the directional moves the catalog authorizes.

Peer and historical context

Across the twelve months covered by 10-K for CISCO SYSTEMS, INC. (CSCO, accession 0000858877-26-000132, CIK 0000858877), every authorized year-over-year direction printed in the filing for the full-year window moves the same way: revenue, operating income, net income, diluted EPS, financing-activities outflows, investing-activities usage, operating-activities usage, share repurchases, dividends paid, and capital spending are reported as higher than the twelve months ended July 26, 2025. The peer set visible to us is narrow; the only directly comparable in-body candidate is Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in Filing, which describes the same direction pattern across revenue, operating income, and diluted EPS for a semiconductor-cycle neighbour. Read alongside the period-ended-2026-07-25 commentary for CISCO SYSTEMS, INC., that shared direction is consistent with a broader networking-and-infrastructure cycle in which product revenue, operating leverage, and capital return are all stepping up together rather than diverging by line. - The only authorized comparison inside the filing that does not fit the "higher than prior year" pattern is Net Cash Provided by (Used in) Operating Activities: the twelve-month current figure $14,177,000,000 sits below the twelve-month prior-year figure $14,193,000,000, so the profit-and-loss lines and the cash-conversion line point in opposite directions over the twelve months ended July 25, 2026 versus the twelve months ended July 26, 2025. - Underneath that, Net Cash Provided by (Used in) Investing Activities flipped from a positive figure in the twelve months ended July 26, 2025 to a negative figure in the twelve months ended July 25, 2026 (i.e. a net outflow rather than a net inflow), and Payments to Acquire Property, Plant, and Equipment rose. Those movements show that higher earnings did not translate one-to-one into higher cash from operations, even as capital intensity stepped up.

The filing evidence contains no peer or industry comparison.

The filing evidence does not attribute this change to any single cause.

Scenario analysis

In the base scenario, CISCO SYSTEMS, INC. delivers another year of revenue growth on top of the reported twelve-month revenue of $63,325,000,000 USD, which itself sits higher than the prior-year revenue of $56,654,000,000 USD for the twelve months ended July 26, 2025. Net income attributable to parent stays in profit-to-profit territory, with $13,267,000,000 USD for the twelve months ended July 25, 2026 exceeding $10,180,000,000 USD for the twelve months ended July 26, 2025. The base case assumes Cisco's enterprise, public sector, and service provider channels continue to absorb ThousandEyes network assurance, Cisco IQ support services, and the broader AI-embedded portfolio at roughly the cadence implied by the filing. Operating cash generation remains positive while investing cash flow stays negative and financing cash flow stays negative, consistent with continued share repurchases and dividend payments documented in the consolidated cash flow statement. Any softness that emerges is treated as macro or order-timing noise rather than a structural break.

The upside case layers additional AI-related demand from hyperscalers and large enterprises onto the same revenue base, lifting subscription and software recurring streams that complement the product book. Services attached to Cisco IQ drive attach-rate expansion as customers consolidate technical support contracts, and security, analytics, and professional services grow faster than the core networking portfolio. Margin expansion comes from mix shift toward software and services rather than aggressive pricing, and from operating leverage as the worldwide sales and marketing force scales against a larger installed base. Capital return continues at the elevated run-rate observed in the comparative periods, with both common stock repurchases and dividend payments increasing relative to the prior year. Operating cash flow remains positive and comfortably funds the higher investing outflows tied to data center, security, and AI infrastructure capacity.

The downside case reflects demand softening across enterprise and service provider customers, lengthened sales cycles for higher-ticket networking refreshes, and increased competitive pressure on pricing and on subscription renewals. Revenue growth stalls or reverses relative to the $63,325,000,000 USD reading, and although the filing shows the company remaining profitable on a full-year basis, the margin profile compresses as services mix softens alongside product volumes. The filing evidence does not attribute this shift to any single cause, so any further narration of drivers must rely on The filing evidence does not attribute this change to any single cause.. Capital return pacing would likely slow even though reported dividends and repurchases increased year over year, and operating cash flow would tighten against still-negative investing and financing outflows. The peer-comparison dimension is not available in this filing, so relative positioning against other networking, security, and AI-infrastructure vendors cannot be assessed from the filing evidence and falls under The filing evidence contains no peer or industry comparison.. Readers comparing this scenario against a competitor with stronger product-line overlap can cross-check the directional read with Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in Filing as a separate reference point rather than a like-for-like substitute.

Risks and what to watch

- Reported facts: For the twelve months ended July 25, 2026, Revenue from Contract with Customer, Excluding Assessed Tax was $63,325,000,000 USD, compared with $56,654,000,000 USD for the twelve months ended July 26, 2025. For the same twelve-month windows, Net Income (Loss) Attributable to Parent was $13,267,000,000 USD in the current period and $10,180,000,000 USD in the prior-year period. 's filing identified by 10-K for period-ended-2026-07-25 under accession 0000858877-26-000132.

- Management explanations: Management attributes the underlying demand environment to a customer base spanning businesses, governments, utilities, service providers, and consumers buying data, voice, video, and mobile/wireless products, and states that service providers and cloud customers rely on Cisco data center, virtualization, and collaboration technologies. Management describes a hybrid go-to-market in which a substantial portion of products and services move through channel partners — systems integrators, service providers, other resellers, and distributors — with the remainder sold direct, and where distributors may be granted return, price-change credit, rebate, and cooperative-marketing terms.

Management frames Cisco Capital financing as a competitive advantage for winning infrastructure projects, and describes ongoing acquisitions and investments in privately held companies as a way to broaden talent, technology, and market access. - Analyst inference: The filings on these pages are full-year results, so any cadence commentary drawn from a single annual snapshot will be inherently limited, and the segment mix between direct sales and two-tier distribution is a key swing factor given the return-and-credit mechanics that distributors enjoy.

Capital-return items referenced elsewhere in the filing — Payments of Dividends, Payments for Repurchase of Common Stock, and Payments to Acquire Property, Plant, and Equipment — all sit in a "higher than the prior period" authorized direction, so cash deployment is unambiguously stepped up year over year on top of the operating result; readers should weigh whether free cash flow can absorb that pace. A peer benchmark against Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in Filing or Comfort Systems USA Posts Higher Revenue, Operating Income, Net Income, and Diluted EPS Year-Over-Year in Filing is one way to test whether the topline and earnings improvement is company-specific or industry-wide.

- Counter-evidence: Management itself flags, under Item 1A, that disruption of or changes in the distribution model, complexity of two-tier distribution inventory, unfavorable economic and geopolitical conditions, exposure to currency fluctuations, and cyber attacks or data breaches on Cisco systems or third-party products could each independently harm results of operations or financial condition; the acquisition program is likewise flagged as carrying execution risk in the same Risk Factors section. None of these factors is quantified in the cited passages.

- Unknowns: Whether the year-over-year change in revenue or in net income reflects price, volume, mix, or currency is not attributed in the filing evidence. The filing does not provide a peer or industry comparison, so the broader market context for the topline and earnings moves cannot be inferred from this document alone. The filing evidence does not attribute this change to any single cause..

The filing evidence contains no peer or industry comparison.. - Metrics to watch next period: Readers should focus on the continuation or reversal of the Revenue from Contract with Customer, Excluding Assessed Tax line into the next reporting window; the trajectory of Net Income (Loss) Attributable to Parent; the Authorized direction comparisons for Net Cash Provided by (Used in) Operating Activities, Investing Activities, and Financing Activities disclosed elsewhere in the filing; the pace of Payments for Repurchase of Common Stock and Payments of Dividends relative to operating cash generation; and any disclosure updates under Item 7A and Item 9A that bear on market risk and controls.