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Shares of Common Stock | Common Stock and Additional Paid-In Capital | Retained Earnings | Total Cisco Shareholders’ Equity | |||||||||||
Repurchases of common stock under the repurchase program | 4,536 | $ | 23,416 | $ | 71,732 | $ | 95,148 |
|
1. | Basis of Presentation |
|
2. | Recent Accounting Pronouncements |
|
3. | Acquisitions and Divestitures |
Purchase Consideration | Net Liabilities Assumed | Purchased Intangible Assets | Goodwill | ||||||||||||
MaintenanceNet | $ | 105 | $ | (21 | ) | $ | 65 | $ | 61 | ||||||
OpenDNS | 545 | (9 | ) | 61 | 493 | ||||||||||
Lancope | 410 | (34 | ) | 121 | 323 | ||||||||||
Others (four in total) | 108 | (17 | ) | 62 | 63 | ||||||||||
Total | $ | 1,168 | $ | (81 | ) | $ | 309 | $ | 940 |
|
4. | Goodwill and Purchased Intangible Assets |
(a) | Goodwill |
Balance at | Balance at | ||||||||||||||||||
July 25, 2015 | Acquisitions | Divestiture | Other | January 23, 2016 | |||||||||||||||
Americas | $ | 15,212 | $ | 672 | $ | (126 | ) | $ | (194 | ) | $ | 15,564 | |||||||
EMEA | 5,791 | 195 | (12 | ) | (73 | ) | 5,901 | ||||||||||||
APJC | 3,466 | 73 | (3 | ) | (43 | ) | 3,493 | ||||||||||||
Total | $ | 24,469 | $ | 940 | $ | (141 | ) | $ | (310 | ) | $ | 24,958 |
(b) | Purchased Intangible Assets |
FINITE LIVES | INDEFINITE LIVES | TOTAL | |||||||||||||||||||||||
TECHNOLOGY | CUSTOMER RELATIONSHIPS | OTHER | IPR&D | ||||||||||||||||||||||
Weighted- Average Useful Life (in Years) | Amount | Weighted- Average Useful Life (in Years) | Amount | Weighted- Average Useful Life (in Years) | Amount | Amount | Amount | ||||||||||||||||||
MaintenanceNet | 5.0 | $ | 50 | 5.0 | $ | 2 | 2.0 | $ | 2 | $ | 11 | $ | 65 | ||||||||||||
OpenDNS | 5.0 | 43 | 7.0 | 15 | 1.0 | 2 | 1 | 61 | |||||||||||||||||
Lancope | 5.0 | 79 | 6.0 | 29 | 3.0 | 3 | 10 | 121 | |||||||||||||||||
Others (four in total) | 4.2 | 56 | 6.3 | 6 | 0.0 | — | — | 62 | |||||||||||||||||
Total | $ | 228 | $ | 52 | $ | 7 | $ | 22 | $ | 309 |
January 23, 2016 | Gross | Accumulated Amortization | Net | |||||||||
Purchased intangible assets with finite lives: | ||||||||||||
Technology | $ | 2,842 | $ | (1,232 | ) | $ | 1,610 | |||||
Customer relationships | 1,740 | (1,093 | ) | 647 | ||||||||
Other | 61 | (31 | ) | 30 | ||||||||
Total purchased intangible assets with finite lives | 4,643 | (2,356 | ) | 2,287 | ||||||||
In-process research and development, with indefinite lives | 35 | — | 35 | |||||||||
Total | $ | 4,678 | $ | (2,356 | ) | $ | 2,322 |
July 25, 2015 | Gross | Accumulated Amortization | Net | |||||||||
Purchased intangible assets with finite lives: | ||||||||||||
Technology | $ | 3,418 | $ | (1,818 | ) | $ | 1,600 | |||||
Customer relationships | 1,699 | (971 | ) | 728 | ||||||||
Other | 55 | (24 | ) | 31 | ||||||||
Total purchased intangible assets with finite lives | 5,172 | (2,813 | ) | 2,359 | ||||||||
In-process research and development, with indefinite lives | 17 | — | 17 | |||||||||
Total | $ | 5,189 | $ | (2,813 | ) | $ | 2,376 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Amortization of purchased intangible assets: | |||||||||||||||
Cost of sales | $ | 139 | $ | 242 | $ | 285 | $ | 431 | |||||||
Operating expenses | 71 | 72 | 140 | 143 | |||||||||||
Total | $ | 210 | $ | 314 | $ | 425 | $ | 574 |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 386 | |
2017 | 663 | ||
2018 | 519 | ||
2019 | 435 | ||
2020 | 209 | ||
Thereafter | 75 | ||
Total | $ | 2,287 |
|
5. | Restructuring and Other Charges |
FISCAL 2014 PLAN | FISCAL 2015 PLAN | |||||||||||||||||||
Employee Severance | Other | Employee Severance | Other | Total | ||||||||||||||||
Liability as of July 25, 2015 | $ | 11 | $ | 14 | $ | 49 | $ | 15 | $ | 89 | ||||||||||
Charges | — | — | 206 | 32 | 238 | |||||||||||||||
Cash payments | (10 | ) | (2 | ) | (177 | ) | (8 | ) | (197 | ) | ||||||||||
Non-cash items | — | — | — | (21 | ) | (21 | ) | |||||||||||||
Liability as of January 23, 2016 | $ | 1 | $ | 12 | $ | 78 | $ | 18 | $ | 109 |
|
6. | Balance Sheet Details |
January 23, 2016 | July 25, 2015 | |||||||
Inventories: | ||||||||
Raw materials | $ | 99 | $ | 114 | ||||
Work in process | 1 | 2 | ||||||
Finished goods: | ||||||||
Distributor inventory and deferred cost of sales | 564 | 610 | ||||||
Manufactured finished goods | 446 | 593 | ||||||
Total finished goods | 1,010 | 1,203 | ||||||
Service-related spares | 224 | 258 | ||||||
Demonstration systems | 28 | 50 | ||||||
Total | $ | 1,362 | $ | 1,627 |
Property and equipment, net: | ||||||||
Gross property and equipment: | ||||||||
Land, buildings, and building and leasehold improvements | $ | 4,573 | $ | 4,495 | ||||
Computer equipment and related software | 1,344 | 1,310 | ||||||
Production, engineering, and other equipment | 5,640 | 5,753 | ||||||
Operating lease assets | 324 | 372 | ||||||
Furniture and fixtures | 501 | 497 | ||||||
Total gross property and equipment | 12,382 | 12,427 | ||||||
Less: accumulated depreciation and amortization | (8,996 | ) | (9,095 | ) | ||||
Total | $ | 3,386 | $ | 3,332 |
Other assets: | ||||||||
Deferred tax assets | $ | 1,371 | $ | 1,648 | ||||
Investments in privately held companies | 964 | 897 | ||||||
Other | 733 | 618 | ||||||
Total | $ | 3,068 | $ | 3,163 |
Deferred revenue: | ||||||||
Service | $ | 9,657 | $ | 9,757 | ||||
Product: | ||||||||
Unrecognized revenue on product shipments and other deferred revenue | 4,974 | 4,766 | ||||||
Cash receipts related to unrecognized revenue from two-tier distributors | 554 | 660 | ||||||
Total product deferred revenue | 5,528 | 5,426 | ||||||
Total | $ | 15,185 | $ | 15,183 | ||||
Reported as: | ||||||||
Current | $ | 9,796 | $ | 9,824 | ||||
Noncurrent | 5,389 | 5,359 | ||||||
Total | $ | 15,185 | $ | 15,183 |
|
7. | Financing Receivables and Operating Leases |
(a) | Financing Receivables |
January 23, 2016 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Gross | $ | 3,176 | $ | 2,177 | $ | 3,405 | $ | 8,758 | |||||||
Residual value | 201 | — | — | 201 | |||||||||||
Unearned income | (177 | ) | — | — | (177 | ) | |||||||||
Allowance for credit loss | (248 | ) | (80 | ) | (37 | ) | (365 | ) | |||||||
Total, net | $ | 2,952 | $ | 2,097 | $ | 3,368 | $ | 8,417 | |||||||
Reported as: | |||||||||||||||
Current | $ | 1,460 | $ | 978 | $ | 2,076 | $ | 4,514 | |||||||
Noncurrent | 1,492 | 1,119 | 1,292 | 3,903 | |||||||||||
Total, net | $ | 2,952 | $ | 2,097 | $ | 3,368 | $ | 8,417 |
July 25, 2015 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Gross | $ | 3,361 | $ | 1,763 | $ | 3,573 | $ | 8,697 | |||||||
Residual value | 224 | — | — | 224 | |||||||||||
Unearned income | (190 | ) | — | — | (190 | ) | |||||||||
Allowance for credit loss | (259 | ) | (87 | ) | (36 | ) | (382 | ) | |||||||
Total, net | $ | 3,136 | $ | 1,676 | $ | 3,537 | $ | 8,349 | |||||||
Reported as: | |||||||||||||||
Current | $ | 1,468 | $ | 856 | $ | 2,167 | $ | 4,491 | |||||||
Noncurrent | 1,668 | 820 | 1,370 | 3,858 | |||||||||||
Total, net | $ | 3,136 | $ | 1,676 | $ | 3,537 | $ | 8,349 |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 822 | |
2017 | 1,234 | ||
2018 | 693 | ||
2019 | 316 | ||
2020 | 104 | ||
Thereafter | 7 | ||
Total | $ | 3,176 |
(b) | Credit Quality of Financing Receivables |
INTERNAL CREDIT RISK RATING | |||||||||||||||
January 23, 2016 | 1 to 4 | 5 to 6 | 7 and Higher | Total | |||||||||||
Lease receivables | $ | 1,640 | $ | 1,245 | $ | 114 | $ | 2,999 | |||||||
Loan receivables | 1,224 | 811 | 142 | 2,177 | |||||||||||
Financed service contracts and other | 2,156 | 1,204 | 45 | 3,405 | |||||||||||
Total | $ | 5,020 | $ | 3,260 | $ | 301 | $ | 8,581 |
INTERNAL CREDIT RISK RATING | |||||||||||||||
July 25, 2015 | 1 to 4 | 5 to 6 | 7 and Higher | Total | |||||||||||
Lease receivables | $ | 1,688 | $ | 1,342 | $ | 141 | $ | 3,171 | |||||||
Loan receivables | 788 | 823 | 152 | 1,763 | |||||||||||
Financed service contracts and other | 2,133 | 1,389 | 51 | 3,573 | |||||||||||
Total | $ | 4,609 | $ | 3,554 | $ | 344 | $ | 8,507 |
DAYS PAST DUE (INCLUDES BILLED AND UNBILLED) | |||||||||||||||||||||||||||||||
January 23, 2016 | 31-60 | 61-90 | 91+ | Total Past Due | Current | Total | Nonaccrual Financing Receivables | Impaired Financing Receivables | |||||||||||||||||||||||
Lease receivables | $ | 93 | $ | 41 | $ | 176 | $ | 310 | $ | 2,689 | $ | 2,999 | $ | 71 | $ | 64 | |||||||||||||||
Loan receivables | 91 | 40 | 48 | 179 | 1,998 | 2,177 | 43 | 43 | |||||||||||||||||||||||
Financed service contracts and other | 245 | 45 | 171 | 461 | 2,944 | 3,405 | 29 | 9 | |||||||||||||||||||||||
Total | $ | 429 | $ | 126 | $ | 395 | $ | 950 | $ | 7,631 | $ | 8,581 | $ | 143 | $ | 116 |
DAYS PAST DUE (INCLUDES BILLED AND UNBILLED) | |||||||||||||||||||||||||||||||
July 25, 2015 | 31-60 | 61-90 | 91+ | Total Past Due | Current | Total | Nonaccrual Financing Receivables | Impaired Financing Receivables | |||||||||||||||||||||||
Lease receivables | $ | 90 | $ | 27 | $ | 185 | $ | 302 | $ | 2,869 | $ | 3,171 | $ | 73 | $ | 73 | |||||||||||||||
Loan receivables | 21 | 3 | 25 | 49 | 1,714 | 1,763 | 32 | 32 | |||||||||||||||||||||||
Financed service contracts and other | 396 | 152 | 414 | 962 | 2,611 | 3,573 | 29 | 9 | |||||||||||||||||||||||
Total | $ | 507 | $ | 182 | $ | 624 | $ | 1,313 | $ | 7,194 | $ | 8,507 | $ | 134 | $ | 114 |
(c) | Allowance for Credit Loss Rollforward |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Three months ended January 23, 2016 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of October 24, 2015 | $ | 255 | $ | 90 | $ | 33 | $ | 378 | |||||||
Provisions | (4 | ) | (10 | ) | 5 | (9 | ) | ||||||||
Recoveries (write-offs), net | — | — | (1 | ) | (1 | ) | |||||||||
Foreign exchange and other | (3 | ) | — | — | (3 | ) | |||||||||
Allowance for credit loss as of January 23, 2016 | $ | 248 | $ | 80 | $ | 37 | $ | 365 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Six months ended January 23, 2016 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of July 25, 2015 | $ | 259 | $ | 87 | $ | 36 | $ | 382 | |||||||
Provisions | (4 | ) | (6 | ) | 5 | (5 | ) | ||||||||
Recoveries (write-offs), net | (4 | ) | — | (4 | ) | (8 | ) | ||||||||
Foreign exchange and other | (3 | ) | (1 | ) | — | (4 | ) | ||||||||
Allowance for credit loss as of January 23, 2016 | $ | 248 | $ | 80 | $ | 37 | $ | 365 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Three months ended January 24, 2015 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of October 25, 2014 | $ | 248 | $ | 84 | $ | 36 | $ | 368 | |||||||
Provisions | 7 | 3 | 4 | 14 | |||||||||||
Recoveries (write-offs), net | (1 | ) | — | — | (1 | ) | |||||||||
Foreign exchange and other | (4 | ) | (2 | ) | — | (6 | ) | ||||||||
Allowance for credit loss as of January 24, 2015 | $ | 250 | $ | 85 | $ | 40 | $ | 375 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Six months ended January 24, 2015 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of July 26, 2014 | $ | 233 | $ | 98 | $ | 18 | $ | 349 | |||||||
Provisions | 29 | (10 | ) | 23 | 42 | ||||||||||
Recoveries (write-offs), net | (5 | ) | 1 | — | (4 | ) | |||||||||
Foreign exchange and other | (7 | ) | (4 | ) | (1 | ) | (12 | ) | |||||||
Allowance for credit loss as of January 24, 2015 | $ | 250 | $ | 85 | $ | 40 | $ | 375 |
(d) | Operating Leases |
January 23, 2016 | July 25, 2015 | ||||||
Operating lease assets | $ | 324 | $ | 372 | |||
Accumulated depreciation | (181 | ) | (205 | ) | |||
Operating lease assets, net | $ | 143 | $ | 167 |
|
8. | Investments |
(a) | Summary of Available-for-Sale Investments |
January 23, 2016 | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||
Fixed income securities: | |||||||||||||||
U.S. government securities | $ | 28,242 | $ | 18 | $ | (16 | ) | $ | 28,244 | ||||||
U.S. government agency securities | 3,492 | 3 | (2 | ) | 3,493 | ||||||||||
Non-U.S. government and agency securities | 1,152 | 1 | (1 | ) | 1,152 | ||||||||||
Corporate debt securities | 18,410 | 29 | (158 | ) | 18,281 | ||||||||||
U.S. agency mortgage-backed securities | 1,452 | 9 | (1 | ) | 1,460 | ||||||||||
Total fixed income securities | 52,748 | 60 | (178 | ) | 52,630 | ||||||||||
Publicly traded equity securities | 1,318 | 176 | (63 | ) | 1,431 | ||||||||||
Total | $ | 54,066 | $ | 236 | $ | (241 | ) | $ | 54,061 |
July 25, 2015 | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||
Fixed income securities: | |||||||||||||||
U.S. government securities | $ | 29,904 | $ | 41 | $ | (6 | ) | $ | 29,939 | ||||||
U.S. government agency securities | 3,662 | 2 | (1 | ) | 3,663 | ||||||||||
Non-U.S. government and agency securities | 1,128 | 1 | (1 | ) | 1,128 | ||||||||||
Corporate debt securities | 15,802 | 34 | (53 | ) | 15,783 | ||||||||||
U.S. agency mortgage-backed securities | 1,456 | 8 | (3 | ) | 1,461 | ||||||||||
Total fixed income securities | 51,952 | 86 | (64 | ) | 51,974 | ||||||||||
Publicly traded equity securities | 1,092 | 480 | (7 | ) | 1,565 | ||||||||||
Total | $ | 53,044 | $ | 566 | $ | (71 | ) | $ | 53,539 |
(b) | Gains and Losses on Available-for-Sale Investments |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Gross realized gains | $ | 16 | $ | 92 | $ | 51 | $ | 113 | |||||||
Gross realized losses | (35 | ) | (23 | ) | (71 | ) | (37 | ) | |||||||
Total | $ | (19 | ) | $ | 69 | $ | (20 | ) | $ | 76 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Net gains/(losses) on investments in publicly traded equity securities | $ | 2 | $ | 60 | $ | (7 | ) | $ | 56 | ||||||
Net gains/(losses) on investments in fixed income securities | (21 | ) | 9 | (13 | ) | 20 | |||||||||
Total | $ | (19 | ) | $ | 69 | $ | (20 | ) | $ | 76 |
UNREALIZED LOSSES LESS THAN 12 MONTHS | UNREALIZED LOSSES 12 MONTHS OR GREATER | TOTAL | |||||||||||||||||||||
January 23, 2016 | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. government securities | $ | 15,432 | $ | (16 | ) | $ | 3 | $ | — | $ | 15,435 | $ | (16 | ) | |||||||||
U.S. government agency securities | 1,793 | (2 | ) | — | — | 1,793 | (2 | ) | |||||||||||||||
Non-U.S. government and agency securities | 645 | (1 | ) | 17 | — | 662 | (1 | ) | |||||||||||||||
Corporate debt securities | 11,565 | (136 | ) | 1,252 | (22 | ) | 12,817 | (158 | ) | ||||||||||||||
U.S. agency mortgage-backed securities | 387 | (1 | ) | — | — | 387 | (1 | ) | |||||||||||||||
Total fixed income securities | 29,822 | (156 | ) | 1,272 | (22 | ) | 31,094 | (178 | ) | ||||||||||||||
Publicly traded equity securities | 694 | (62 | ) | 2 | (1 | ) | 696 | (63 | ) | ||||||||||||||
Total | $ | 30,516 | $ | (218 | ) | $ | 1,274 | $ | (23 | ) | $ | 31,790 | $ | (241 | ) |
UNREALIZED LOSSES LESS THAN 12 MONTHS | UNREALIZED LOSSES 12 MONTHS OR GREATER | TOTAL | |||||||||||||||||||||
July 25, 2015 | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. government securities | $ | 6,412 | $ | (6 | ) | $ | — | $ | — | $ | 6,412 | $ | (6 | ) | |||||||||
U.S. government agency securities | 1,433 | (1 | ) | — | — | 1,433 | (1 | ) | |||||||||||||||
Non-U.S. government and agency securities | 515 | (1 | ) | 4 | — | 519 | (1 | ) | |||||||||||||||
Corporate debt securities | 9,552 | (49 | ) | 312 | (4 | ) | 9,864 | (53 | ) | ||||||||||||||
U.S. agency mortgage-backed securities | 579 | (3 | ) | — | — | 579 | (3 | ) | |||||||||||||||
Total fixed income securities | 18,491 | (60 | ) | 316 | (4 | ) | 18,807 | (64 | ) | ||||||||||||||
Publicly traded equity securities | 108 | (7 | ) | 2 | — | 110 | (7 | ) | |||||||||||||||
Total | $ | 18,599 | $ | (67 | ) | $ | 318 | $ | (4 | ) | $ | 18,917 | $ | (71 | ) |
(c) | Maturities of Fixed Income Securities |
Amortized Cost | Fair Value | ||||||
Less than 1 year | $ | 17,569 | $ | 17,555 | |||
Due in 1 to 2 years | 16,105 | 16,081 | |||||
Due in 2 to 5 years | 17,423 | 17,345 | |||||
Due after 5 years | 1,651 | 1,649 | |||||
Total | $ | 52,748 | $ | 52,630 |
(d) | Securities Lending |
(e) | Investments in Privately Held Companies |
January 23, 2016 | July 25, 2015 | ||||||
Equity method investments | $ | 605 | $ | 578 | |||
Cost method investments | 359 | 319 | |||||
Total | $ | 964 | $ | 897 |
|
9. | Fair Value |
(a) | Fair Value Hierarchy |
(b) | Assets and Liabilities Measured at Fair Value on a Recurring Basis |
JANUARY 23, 2016 FAIR VALUE MEASUREMENTS | JULY 25, 2015 FAIR VALUE MEASUREMENTS | ||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total Balance | Level 1 | Level 2 | Level 3 | Total Balance | ||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||||||||||||
Money market funds | $ | 4,731 | $ | — | $ | — | $ | 4,731 | $ | 5,336 | $ | — | $ | — | $ | 5,336 | |||||||||||||||
Corporate debt securities | — | 9 | — | 9 | — | 14 | — | 14 | |||||||||||||||||||||||
U.S. government securities | — | 31 | — | 31 | — | — | — | — | |||||||||||||||||||||||
Available-for-sale investments: | |||||||||||||||||||||||||||||||
U.S. government securities | — | 28,244 | — | 28,244 | — | 29,939 | — | 29,939 | |||||||||||||||||||||||
U.S. government agency securities | — | 3,493 | — | 3,493 | — | 3,663 | — | 3,663 | |||||||||||||||||||||||
Non-U.S. government and agency securities | — | 1,152 | — | 1,152 | — | 1,128 | — | 1,128 | |||||||||||||||||||||||
Corporate debt securities | — | 18,281 | — | 18,281 | — | 15,783 | — | 15,783 | |||||||||||||||||||||||
U.S. agency mortgage-backed securities | — | 1,460 | — | 1,460 | — | 1,461 | — | 1,461 | |||||||||||||||||||||||
Publicly traded equity securities | 1,431 | — | — | 1,431 | 1,565 | — | — | 1,565 | |||||||||||||||||||||||
Derivative assets | — | 318 | 3 | 321 | — | 214 | 4 | 218 | |||||||||||||||||||||||
Total | $ | 6,162 | $ | 52,988 | $ | 3 | $ | 59,153 | $ | 6,901 | $ | 52,202 | $ | 4 | $ | 59,107 | |||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||
Derivative liabilities | $ | — | $ | 19 | $ | — | $ | 19 | $ | — | $ | 12 | $ | — | $ | 12 | |||||||||||||||
Total | $ | — | $ | 19 | $ | — | $ | 19 | $ | — | $ | 12 | $ | — | $ | 12 |
(c) | Assets Measured at Fair Value on a Nonrecurring Basis |
LOSSES FOR THE THREE MONTHS ENDED | LOSSES FOR THE SIX MONTHS ENDED | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Investments in privately held companies (impaired) | $ | (39 | ) | $ | (2 | ) | $ | (56 | ) | $ | (3 | ) | |||
Purchased intangible assets (impaired) | (37 | ) | (56 | ) | (37 | ) | (56 | ) | |||||||
Total | $ | (76 | ) | $ | (58 | ) | $ | (93 | ) | $ | (59 | ) |
(d) | Other Fair Value Disclosures |
|
10. | Borrowings |
(a) | Short-Term Debt |
January 23, 2016 | July 25, 2015 | ||||||||||||
Amount | Effective Rate | Amount | Effective Rate | ||||||||||
Current portion of long-term debt | $ | 3,006 | 3.12 | % | $ | 3,894 | 2.48 | % | |||||
Other short-term debt | 2 | 2.08 | % | 3 | 2.44 | % | |||||||
Total | $ | 3,008 | $ | 3,897 |
(b) | Long-Term Debt |
January 23, 2016 | July 25, 2015 | ||||||||||||
Maturity Date | Amount | Effective Rate | Amount | Effective Rate | |||||||||
Senior notes: | |||||||||||||
Floating-rate notes: | |||||||||||||
Three-month LIBOR plus 0.05% | September 3, 2015 | $ | — | — | $ | 850 | 0.43% | ||||||
Three-month LIBOR plus 0.28% | March 3, 2017 | 1,000 | 0.77% | 1,000 | 0.63% | ||||||||
Three-month LIBOR plus 0.31% | June 15, 2018 | 900 | 0.89% | 900 | 0.65% | ||||||||
Three-month LIBOR plus 0.50% | March 1, 2019 | 500 | 0.97% | 500 | 0.84% | ||||||||
Fixed-rate notes: | |||||||||||||
5.50% | February 22, 2016 | 3,000 | 3.12% | 3,000 | 3.07% | ||||||||
1.10% | March 3, 2017 | 2,400 | 0.83% | 2,400 | 0.59% | ||||||||
3.15% | March 14, 2017 | 750 | 1.07% | 750 | 0.85% | ||||||||
1.65% | June 15, 2018 | 1,600 | 1.72% | 1,600 | 1.72% | ||||||||
4.95% | February 15, 2019 | 2,000 | 4.76% | 2,000 | 4.70% | ||||||||
2.125% | March 1, 2019 | 1,750 | 1.04% | 1,750 | 0.80% | ||||||||
4.45% | January 15, 2020 | 2,500 | 3.20% | 2,500 | 3.01% | ||||||||
2.45% | June 15, 2020 | 1,500 | 2.54% | 1,500 | 2.54% | ||||||||
2.90% | March 4, 2021 | 500 | 1.20% | 500 | 0.96% | ||||||||
3.00% | June 15, 2022 | 500 | 1.45% | 500 | 1.21% | ||||||||
3.625% | March 4, 2024 | 1,000 | 1.32% | 1,000 | 1.08% | ||||||||
3.50% | June 15, 2025 | 500 | 1.61% | 500 | 1.37% | ||||||||
5.90% | February 15, 2039 | 2,000 | 6.11% | 2,000 | 6.11% | ||||||||
5.50% | January 15, 2040 | 2,000 | 5.67% | 2,000 | 5.67% | ||||||||
Other long-term debt | — | 1 | 2.08% | ||||||||||
Total | 24,400 | 25,251 | |||||||||||
Unaccreted discount/issuance costs | (123 | ) | (131 | ) | |||||||||
Hedge accounting fair value adjustments | 320 | 231 | |||||||||||
Total | $ | 24,597 | $ | 25,351 | |||||||||
Reported as: | |||||||||||||
Current portion of long-term debt | $ | 3,006 | $ | 3,894 | |||||||||
Long-term debt | 21,591 | 21,457 | |||||||||||
Total | $ | 24,597 | $ | 25,351 |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 3,000 | |
2017 | 4,150 | ||
2018 | 2,500 | ||
2019 | 4,250 | ||
2020 | 4,000 | ||
Thereafter | 6,500 | ||
Total | $ | 24,400 |
(c) | Credit Facility |
|
11. | Derivative Instruments |
(a) | Summary of Derivative Instruments |
DERIVATIVE ASSETS | DERIVATIVE LIABILITIES | ||||||||||||||||||
Balance Sheet Line Item | January 23, 2016 | July 25, 2015 | Balance Sheet Line Item | January 23, 2016 | July 25, 2015 | ||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||
Foreign currency derivatives | Other current assets | $ | 1 | $ | 10 | Other current liabilities | $ | 16 | $ | 11 | |||||||||
Interest rate derivatives | Other assets | 313 | 202 | Other long-term liabilities | — | — | |||||||||||||
Total | 314 | 212 | 16 | 11 | |||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||
Foreign currency derivatives | Other current assets | 4 | 2 | Other current liabilities | 3 | 1 | |||||||||||||
Equity derivatives | Other assets | 3 | 4 | Other long-term liabilities | — | — | |||||||||||||
Total | 7 | 6 | 3 | 1 | |||||||||||||||
Total | $ | 321 | $ | 218 | $ | 19 | $ | 12 |
GAINS (LOSSES) RECOGNIZED IN OCI ON DERIVATIVES FOR THE THREE MONTHS ENDED (EFFECTIVE PORTION) | GAINS (LOSSES) RECLASSIFIED FROM AOCI INTO INCOME FOR THE THREE MONTHS ENDED (EFFECTIVE PORTION) | |||||||||||||||||
January 23, 2016 | January 24, 2015 | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | ||||||||||||||
Derivatives designated as cash flow hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | (20 | ) | $ | (75 | ) | Operating expenses | $ | (4 | ) | $ | (21 | ) | |||||
Cost of sales—service | (1 | ) | (5 | ) | ||||||||||||||
Total | $ | (20 | ) | $ | (75 | ) | $ | (5 | ) | $ | (26 | ) | ||||||
Derivatives designated as net investment hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | 11 | $ | 24 | Other income (loss), net | $ | — | $ | — |
GAINS (LOSSES) RECOGNIZED IN OCI ON DERIVATIVES FOR THE SIX MONTHS ENDED (EFFECTIVE PORTION) | GAINS (LOSSES) RECLASSIFIED FROM AOCI INTO INCOME FOR THE SIX MONTHS ENDED (EFFECTIVE PORTION) | |||||||||||||||||
January 23, 2016 | January 24, 2015 | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | ||||||||||||||
Derivatives designated as cash flow hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | (24 | ) | $ | (131 | ) | Operating expenses | $ | (6 | ) | $ | (24 | ) | |||||
Cost of sales—service | (2 | ) | (6 | ) | ||||||||||||||
Total | $ | (24 | ) | $ | (131 | ) | $ | (8 | ) | $ | (30 | ) | ||||||
Derivatives designated as net investment hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | 11 | $ | 44 | Other income (loss), net | $ | — | $ | — |
GAINS (LOSSES) ON DERIVATIVE INSTRUMENTS FOR THE THREE MONTHS ENDED | GAINS (LOSSES) RELATED TO HEDGED ITEMS FOR THE THREE MONTHS ENDED | |||||||||||||||||
Derivatives Designated as Fair Value Hedging Instruments | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||
Equity derivatives | Other income (loss), net | $ | — | $ | (18 | ) | $ | — | $ | 18 | ||||||||
Interest rate derivatives | Interest expense | (16 | ) | 61 | 18 | (61 | ) | |||||||||||
Total | $ | (16 | ) | $ | 43 | $ | 18 | $ | (43 | ) |
GAINS (LOSSES) ON DERIVATIVE INSTRUMENTS FOR THE SIX MONTHS ENDED | GAINS (LOSSES) RELATED TO HEDGED ITEMS FOR THE SIX MONTHS ENDED | |||||||||||||||||
Derivatives Designated as Fair Value Hedging Instruments | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||
Equity derivatives | Other income (loss), net | $ | — | $ | (12 | ) | $ | — | $ | 12 | ||||||||
Interest rate derivatives | Interest expense | 111 | 131 | (107 | ) | (134 | ) | |||||||||||
Total | $ | 111 | $ | 119 | $ | (107 | ) | $ | (122 | ) |
GAINS (LOSSES) FOR THE THREE MONTHS ENDED | GAINS (LOSSES) FOR THE SIX MONTHS ENDED | |||||||||||||||||
Derivatives Not Designated as Hedging Instruments | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||
Foreign currency derivatives | Other income (loss), net | $ | (58 | ) | $ | (51 | ) | $ | (54 | ) | $ | (109 | ) | |||||
Total return swaps—deferred compensation | Operating expenses | (38 | ) | 13 | (54 | ) | — | |||||||||||
Equity derivatives | Other income (loss), net | 3 | 8 | 13 | 4 | |||||||||||||
Total | $ | (93 | ) | $ | (30 | ) | $ | (95 | ) | $ | (105 | ) |
January 23, 2016 | July 25, 2015 | ||||||
Derivatives designated as hedging instruments: | |||||||
Foreign currency derivatives—cash flow hedges | $ | 684 | $ | 1,201 | |||
Interest rate derivatives | 11,400 | 11,400 | |||||
Net investment hedging instruments | 283 | 192 | |||||
Derivatives not designated as hedging instruments: | |||||||
Foreign currency derivatives | 2,469 | 2,023 | |||||
Total return swaps—deferred compensation | 432 | 462 | |||||
Total | $ | 15,268 | $ | 15,278 |
(b) | Offsetting of Derivative Instruments |
January 23, 2016 | |||||||||||||||||||||||
Gross Amounts Offset in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheets, but with Legal Rights to Offset | ||||||||||||||||||||||
Gross Amounts Recognized | Gross Amounts Offset | Net Amounts Presented | Gross Derivative Amounts | Cash Collateral | Net Amount | ||||||||||||||||||
Derivatives assets | $ | 321 | $ | — | $ | 321 | $ | (15 | ) | $ | (255 | ) | $ | 51 | |||||||||
Derivatives liabilities | $ | 19 | $ | — | $ | 19 | $ | (15 | ) | $ | — | $ | 4 |
July 25, 2015 | |||||||||||||||||||||||
Gross Amounts Offset in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheets, but with Legal Rights to Offset | ||||||||||||||||||||||
Gross Amounts Recognized | Gross Amounts Offset | Net Amounts Presented | Gross Derivative Amounts | Cash Collateral | Net Amount | ||||||||||||||||||
Derivatives assets | $ | 218 | $ | — | $ | 218 | $ | (12 | ) | $ | (124 | ) | $ | 82 | |||||||||
Derivatives liabilities | $ | 12 | $ | — | $ | 12 | $ | (12 | ) | $ | — | $ | — |
(c) | Foreign Currency Exchange Risk |
(d) | Interest Rate Risk |
(e) | Equity Price Risk |
(f) | Hedge Effectiveness |
(g) | Collateral and Credit-Risk-Related Contingent Features |
|
12. | Commitments and Contingencies |
(a) | Operating Leases |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 184 | |
2017 | 268 | ||
2018 | 204 | ||
2019 | 117 | ||
2020 | 96 | ||
Thereafter | 222 | ||
Total | $ | 1,091 |
(b) | Purchase Commitments with Contract Manufacturers and Suppliers |
(c) | Other Commitments |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Compensation expense related to acquisitions | $ | 71 | $ | 94 | $ | 144 | $ | 192 |
(d) | Product Warranties |
Six Months Ended | |||||||
January 23, 2016 | January 24, 2015 | ||||||
Balance at beginning of period | $ | 449 | $ | 446 | |||
Provision for warranties issued | 322 | 355 | |||||
Payments | (340 | ) | (327 | ) | |||
Acquisition/divestitures | (28 | ) | — | ||||
Balance at end of period | $ | 403 | $ | 474 |
(e) | Financing and Other Guarantees |
January 23, 2016 | July 25, 2015 | ||||||
Maximum potential future payments relating to financing guarantees: | |||||||
Channel partner | $ | 244 | $ | 288 | |||
End user | 113 | 129 | |||||
Total | $ | 357 | $ | 417 | |||
Deferred revenue associated with financing guarantees: | |||||||
Channel partner | $ | (100 | ) | $ | (127 | ) | |
End user | (90 | ) | (107 | ) | |||
Total | $ | (190 | ) | $ | (234 | ) | |
Maximum potential future payments relating to financing guarantees, net of associated deferred revenue | $ | 167 | $ | 183 |
(f) | Supplier Component Remediation Liability |
(g) | Indemnifications |
(h) | Legal Proceedings |
|
14. | Employee Benefit Plans |
(a) | Employee Stock Incentive Plans |
(b) | Employee Stock Purchase Plan |
(c) | Summary of Share-Based Compensation Expense |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Cost of sales—product | $ | 16 | $ | 11 | $ | 29 | $ | 22 | |||||||
Cost of sales—service | 35 | 34 | 73 | 71 | |||||||||||
Share-based compensation expense in cost of sales | 51 | 45 | 102 | 93 | |||||||||||
Research and development | 107 | 105 | 221 | 224 | |||||||||||
Sales and marketing | 126 | 114 | 265 | 261 | |||||||||||
General and administrative | 47 | 42 | 104 | 101 | |||||||||||
Restructuring and other charges | (1 | ) | 2 | 14 | (2 | ) | |||||||||
Share-based compensation expense in operating expenses | 279 | 263 | 604 | 584 | |||||||||||
Total share-based compensation expense | $ | 330 | $ | 308 | $ | 706 | $ | 677 | |||||||
Income tax benefit for share-based compensation | $ | 103 | $ | 85 | $ | 198 | $ | 179 |
(d) | Share-Based Awards Available for Grant |
Share-Based Awards Available for Grant | ||
BALANCE AT JULY 26, 2014 | 310 | |
Restricted stock, stock units, and other share-based awards granted | (101 | ) |
Share-based awards canceled/forfeited/expired | 40 | |
Shares withheld for taxes and not issued | 27 | |
BALANCE AT JULY 25, 2015 | 276 | |
Restricted stock, stock units, and other share-based awards granted | (64 | ) |
Share-based awards canceled/forfeited/expired | 18 | |
Shares withheld for taxes and not issued | 23 | |
Other | 2 | |
BALANCE AT JANUARY 23, 2016 | 255 |
(e) | Restricted Stock and Stock Unit Awards |
Restricted Stock/ Stock Units | Weighted-Average Grant Date Fair Value per Share | Aggregate Fair Value | ||||||||
UNVESTED BALANCE AT JULY 26, 2014 | 149 | $ | 19.54 | |||||||
Granted and assumed | 67 | 25.29 | ||||||||
Vested | (57 | ) | 19.82 | $ | 1,517 | |||||
Canceled/forfeited | (16 | ) | 20.17 | |||||||
UNVESTED BALANCE AT JULY 25, 2015 | 143 | 22.08 | ||||||||
Granted and assumed | 43 | 24.80 | ||||||||
Vested | (40 | ) | 20.24 | $ | 1,050 | |||||
Canceled/forfeited | (9 | ) | 22.57 | |||||||
UNVESTED BALANCE AT JANUARY 23, 2016 | 137 | $ | 23.45 |
(f) | Stock Option Awards |
STOCK OPTIONS OUTSTANDING | ||||||
Number Outstanding | Weighted-Average Exercise Price per Share | |||||
BALANCE AT JULY 26, 2014 | 187 | $ | 26.03 | |||
Assumed from acquisitions | 1 | 2.60 | ||||
Exercised | (71 | ) | 21.15 | |||
Canceled/forfeited/expired | (14 | ) | 29.68 | |||
BALANCE AT JULY 25, 2015 | 103 | 28.68 | ||||
Assumed from acquisitions | 5 | 2.07 | ||||
Exercised | (20 | ) | 21.63 | |||
Canceled/forfeited/expired | (10 | ) | 29.00 | |||
BALANCE AT JANUARY 23, 2016 | 78 | $ | 28.75 |
STOCK OPTIONS OUTSTANDING | STOCK OPTIONS EXERCISABLE | |||||||||||||||||||||||
Range of Exercise Prices | Number Outstanding | Weighted- Average Remaining Contractual Life (in Years) | Weighted- Average Exercise Price per Share | Aggregate Intrinsic Value | Number Exercisable | Weighted- Average Exercise Price per Share | Aggregate Intrinsic Value | |||||||||||||||||
$ 0.01 – 20.00 | 7 | 6.2 | $ | 3.32 | $ | 135 | 4 | $ | 4.01 | $ | 70 | |||||||||||||
$ 20.01 – 25.00 | 2 | 0.9 | 23.02 | 1 | 2 | 23.02 | 1 | |||||||||||||||||
$ 25.01 – 30.00 | 10 | 0.7 | 26.82 | — | 10 | 26.82 | — | |||||||||||||||||
$ 30.01 – 35.00 | 59 | 0.6 | 32.16 | — | 59 | 32.16 | — | |||||||||||||||||
Total | 78 | 1.1 | $ | 28.75 | $ | 136 | 75 | $ | 29.83 | $ | 71 |
(g) | Valuation of Employee Share-Based Awards |
RESTRICTED STOCK UNITS | PERFORMANCE RESTRICTED STOCK UNITS | ||||||||||||||
Three Months Ended | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||
Number of shares granted (in millions) | 27 | 1 | 1 | 1 | |||||||||||
Grant date fair value per share | $ | 25.25 | $ | 25.07 | $ | 25.32 | $ | 25.39 | |||||||
Weighted-average assumptions/inputs: | |||||||||||||||
Expected dividend yield | 3.1 | % | 2.8 | % | 3.1 | % | 2.8 | % | |||||||
Range of risk-free interest rates | 0.1% – 1.2% | 0.0% – 1.6% | 0.0% – 1.2% | 0.0% – 1.6% | |||||||||||
Range of expected volatilities for index | N/A | N/A | 15.3% – 54.3% | 14.4% – 63.7% |
RESTRICTED STOCK UNITS | PERFORMANCE RESTRICTED STOCK UNITS | ||||||||||||||
Six Months Ended | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||
Number of shares granted (in millions) | 36 | 11 | 5 | 7 | |||||||||||
Grant date fair value per share | $ | 24.93 | $ | 23.34 | $ | 24.71 | $ | 23.70 | |||||||
Weighted-average assumptions/inputs: | |||||||||||||||
Expected dividend yield | 3.1 | % | 3.0 | % | 3.2 | % | 3.0 | % | |||||||
Range of risk-free interest rates | 0.0% – 1.2% | 0.0% – 1.8% | 0.0% – 1.2% | 0.0% – 1.8% | |||||||||||
Range of expected volatilities for index | N/A | N/A | 15.3% – 54.3% | 14.4% – 70.0% |
|
15. | Comprehensive Income |
Net Unrealized Gains on Available-for-Sale Investments | Net Unrealized Losses Cash Flow Hedging Instruments | Cumulative Translation Adjustment and Actuarial Gains and Losses | Accumulated Other Comprehensive Income (Loss) | ||||||||||||
BALANCE AT JULY 25, 2015 | $ | 310 | $ | (16 | ) | $ | (233 | ) | $ | 61 | |||||
Other comprehensive income (loss) before reclassifications attributable to Cisco Systems, Inc. | (515 | ) | (24 | ) | (524 | ) | (1,063 | ) | |||||||
(Gains) losses reclassified out of AOCI | 20 | 8 | 1 | 29 | |||||||||||
Tax benefit (expense) | 198 | 2 | (34 | ) | 166 | ||||||||||
BALANCE AT JANUARY 23, 2016 | $ | 13 | $ | (30 | ) | $ | (790 | ) | $ | (807 | ) |
Net Unrealized Gains on Available-for-Sale Investments | Net Unrealized Losses Cash Flow Hedging Instruments | Cumulative Translation Adjustment and Actuarial Gains and Losses | Accumulated Other Comprehensive Income (Loss) | ||||||||||||
BALANCE AT JULY 26, 2014 | $ | 424 | $ | (12 | ) | $ | 265 | $ | 677 | ||||||
Other comprehensive income (loss) before reclassifications attributable to Cisco Systems, Inc. | (23 | ) | (131 | ) | (379 | ) | (533 | ) | |||||||
(Gains) losses reclassified out of AOCI | (76 | ) | 30 | — | (46 | ) | |||||||||
Tax benefit (expense) | 49 | 3 | 36 | 88 | |||||||||||
BALANCE AT JANUARY 24, 2015 | $ | 374 | $ | (110 | ) | $ | (78 | ) | $ | 186 |
Three Months Ended | Six Months Ended | |||||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||||
Comprehensive Income Components | Income Before Taxes | Income Before Taxes | Line Item in Statements of Operations | |||||||||||||||
Net unrealized gains on available-for-sale investments | ||||||||||||||||||
$ | (19 | ) | $ | 69 | $ | (20 | ) | $ | 76 | Other income (loss), net | ||||||||
Net unrealized losses on cash flow hedging instruments | ||||||||||||||||||
Foreign currency derivatives | (4 | ) | (21 | ) | (6 | ) | (24 | ) | Operating expenses | |||||||||
Foreign currency derivatives | (1 | ) | (5 | ) | (2 | ) | (6 | ) | Cost of sales—service | |||||||||
(5 | ) | (26 | ) | (8 | ) | (30 | ) | |||||||||||
Cumulative translation adjustment and actuarial gains and losses | ||||||||||||||||||
— | — | (1 | ) | — | Operating expenses | |||||||||||||
Total amounts reclassified out of AOCI | $ | (24 | ) | $ | 43 | $ | (29 | ) | $ | 46 |
|
16. | Income Taxes |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Income before provision for income taxes | $ | 3,306 | $ | 2,873 | $ | 6,443 | $ | 5,233 | |||||||
Provision for income taxes | $ | 159 | $ | 476 | $ | 866 | $ | 1,008 | |||||||
Effective tax rate | 4.8 | % | 16.6 | % | 13.4 | % | 19.3 | % |
|
17. | Segment Information and Major Customers |
(a) | Revenue and Gross Margin by Segment |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Revenue: | |||||||||||||||
Americas | $ | 6,912 | $ | 7,101 | $ | 14,711 | $ | 14,602 | |||||||
EMEA | 3,088 | 3,091 | 6,175 | 6,093 | |||||||||||
APJC | 1,927 | 1,744 | 3,723 | 3,486 | |||||||||||
Total | $ | 11,927 | $ | 11,936 | $ | 24,609 | $ | 24,181 | |||||||
Gross margin: | |||||||||||||||
Americas | $ | 4,412 | $ | 4,406 | $ | 9,362 | $ | 9,216 | |||||||
EMEA | 2,005 | 1,910 | 3,987 | 3,825 | |||||||||||
APJC | 1,189 | 1,052 | 2,267 | 2,077 | |||||||||||
Segment total | 7,606 | 7,368 | 15,616 | 15,118 | |||||||||||
Unallocated corporate items | (174 | ) | (278 | ) | (352 | ) | (695 | ) | |||||||
Total | $ | 7,432 | $ | 7,090 | $ | 15,264 | $ | 14,423 |
(b) | Revenue for Groups of Similar Products and Services |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Revenue: | |||||||||||||||
Switching | $ | 3,483 | $ | 3,615 | $ | 7,505 | $ | 7,461 | |||||||
NGN Routing | 1,845 | 1,764 | 3,638 | 3,713 | |||||||||||
Collaboration | 1,019 | 991 | 2,134 | 1,941 | |||||||||||
Data Center | 822 | 846 | 1,681 | 1,538 | |||||||||||
Service Provider Video (1) | 662 | 776 | 1,512 | 1,647 | |||||||||||
Wireless | 613 | 611 | 1,258 | 1,216 | |||||||||||
Security | 462 | 416 | 947 | 871 | |||||||||||
Other | 77 | 59 | 152 | 126 | |||||||||||
Product | 8,983 | 9,078 | 18,827 | 18,513 | |||||||||||
Service | 2,944 | 2,858 | 5,782 | 5,668 | |||||||||||
Total | $ | 11,927 | $ | 11,936 | $ | 24,609 | $ | 24,181 |
(c) | Additional Segment Information |
January 23, 2016 | July 25, 2015 | ||||||
Property and equipment, net: | |||||||
United States | $ | 2,779 | $ | 2,733 | |||
International | 607 | 599 | |||||
Total | $ | 3,386 | $ | 3,332 |
|
(a) | Fair Value Hierarchy |
|
Shares of Common Stock | Common Stock and Additional Paid-In Capital | Retained Earnings | Total Cisco Shareholders’ Equity | |||||||||||
Repurchases of common stock under the repurchase program | 4,536 | $ | 23,416 | $ | 71,732 | $ | 95,148 |
|
Purchase Consideration | Net Liabilities Assumed | Purchased Intangible Assets | Goodwill | ||||||||||||
MaintenanceNet | $ | 105 | $ | (21 | ) | $ | 65 | $ | 61 | ||||||
OpenDNS | 545 | (9 | ) | 61 | 493 | ||||||||||
Lancope | 410 | (34 | ) | 121 | 323 | ||||||||||
Others (four in total) | 108 | (17 | ) | 62 | 63 | ||||||||||
Total | $ | 1,168 | $ | (81 | ) | $ | 309 | $ | 940 |
|
Balance at | Balance at | ||||||||||||||||||
July 25, 2015 | Acquisitions | Divestiture | Other | January 23, 2016 | |||||||||||||||
Americas | $ | 15,212 | $ | 672 | $ | (126 | ) | $ | (194 | ) | $ | 15,564 | |||||||
EMEA | 5,791 | 195 | (12 | ) | (73 | ) | 5,901 | ||||||||||||
APJC | 3,466 | 73 | (3 | ) | (43 | ) | 3,493 | ||||||||||||
Total | $ | 24,469 | $ | 940 | $ | (141 | ) | $ | (310 | ) | $ | 24,958 |
FINITE LIVES | INDEFINITE LIVES | TOTAL | |||||||||||||||||||||||
TECHNOLOGY | CUSTOMER RELATIONSHIPS | OTHER | IPR&D | ||||||||||||||||||||||
Weighted- Average Useful Life (in Years) | Amount | Weighted- Average Useful Life (in Years) | Amount | Weighted- Average Useful Life (in Years) | Amount | Amount | Amount | ||||||||||||||||||
MaintenanceNet | 5.0 | $ | 50 | 5.0 | $ | 2 | 2.0 | $ | 2 | $ | 11 | $ | 65 | ||||||||||||
OpenDNS | 5.0 | 43 | 7.0 | 15 | 1.0 | 2 | 1 | 61 | |||||||||||||||||
Lancope | 5.0 | 79 | 6.0 | 29 | 3.0 | 3 | 10 | 121 | |||||||||||||||||
Others (four in total) | 4.2 | 56 | 6.3 | 6 | 0.0 | — | — | 62 | |||||||||||||||||
Total | $ | 228 | $ | 52 | $ | 7 | $ | 22 | $ | 309 |
January 23, 2016 | Gross | Accumulated Amortization | Net | |||||||||
Purchased intangible assets with finite lives: | ||||||||||||
Technology | $ | 2,842 | $ | (1,232 | ) | $ | 1,610 | |||||
Customer relationships | 1,740 | (1,093 | ) | 647 | ||||||||
Other | 61 | (31 | ) | 30 | ||||||||
Total purchased intangible assets with finite lives | 4,643 | (2,356 | ) | 2,287 | ||||||||
In-process research and development, with indefinite lives | 35 | — | 35 | |||||||||
Total | $ | 4,678 | $ | (2,356 | ) | $ | 2,322 |
July 25, 2015 | Gross | Accumulated Amortization | Net | |||||||||
Purchased intangible assets with finite lives: | ||||||||||||
Technology | $ | 3,418 | $ | (1,818 | ) | $ | 1,600 | |||||
Customer relationships | 1,699 | (971 | ) | 728 | ||||||||
Other | 55 | (24 | ) | 31 | ||||||||
Total purchased intangible assets with finite lives | 5,172 | (2,813 | ) | 2,359 | ||||||||
In-process research and development, with indefinite lives | 17 | — | 17 | |||||||||
Total | $ | 5,189 | $ | (2,813 | ) | $ | 2,376 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Amortization of purchased intangible assets: | |||||||||||||||
Cost of sales | $ | 139 | $ | 242 | $ | 285 | $ | 431 | |||||||
Operating expenses | 71 | 72 | 140 | 143 | |||||||||||
Total | $ | 210 | $ | 314 | $ | 425 | $ | 574 |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 386 | |
2017 | 663 | ||
2018 | 519 | ||
2019 | 435 | ||
2020 | 209 | ||
Thereafter | 75 | ||
Total | $ | 2,287 |
|
FISCAL 2014 PLAN | FISCAL 2015 PLAN | |||||||||||||||||||
Employee Severance | Other | Employee Severance | Other | Total | ||||||||||||||||
Liability as of July 25, 2015 | $ | 11 | $ | 14 | $ | 49 | $ | 15 | $ | 89 | ||||||||||
Charges | — | — | 206 | 32 | 238 | |||||||||||||||
Cash payments | (10 | ) | (2 | ) | (177 | ) | (8 | ) | (197 | ) | ||||||||||
Non-cash items | — | — | — | (21 | ) | (21 | ) | |||||||||||||
Liability as of January 23, 2016 | $ | 1 | $ | 12 | $ | 78 | $ | 18 | $ | 109 |
|
January 23, 2016 | July 25, 2015 | |||||||
Inventories: | ||||||||
Raw materials | $ | 99 | $ | 114 | ||||
Work in process | 1 | 2 | ||||||
Finished goods: | ||||||||
Distributor inventory and deferred cost of sales | 564 | 610 | ||||||
Manufactured finished goods | 446 | 593 | ||||||
Total finished goods | 1,010 | 1,203 | ||||||
Service-related spares | 224 | 258 | ||||||
Demonstration systems | 28 | 50 | ||||||
Total | $ | 1,362 | $ | 1,627 |
Property and equipment, net: | ||||||||
Gross property and equipment: | ||||||||
Land, buildings, and building and leasehold improvements | $ | 4,573 | $ | 4,495 | ||||
Computer equipment and related software | 1,344 | 1,310 | ||||||
Production, engineering, and other equipment | 5,640 | 5,753 | ||||||
Operating lease assets | 324 | 372 | ||||||
Furniture and fixtures | 501 | 497 | ||||||
Total gross property and equipment | 12,382 | 12,427 | ||||||
Less: accumulated depreciation and amortization | (8,996 | ) | (9,095 | ) | ||||
Total | $ | 3,386 | $ | 3,332 |
Other assets: | ||||||||
Deferred tax assets | $ | 1,371 | $ | 1,648 | ||||
Investments in privately held companies | 964 | 897 | ||||||
Other | 733 | 618 | ||||||
Total | $ | 3,068 | $ | 3,163 |
Deferred revenue: | ||||||||
Service | $ | 9,657 | $ | 9,757 | ||||
Product: | ||||||||
Unrecognized revenue on product shipments and other deferred revenue | 4,974 | 4,766 | ||||||
Cash receipts related to unrecognized revenue from two-tier distributors | 554 | 660 | ||||||
Total product deferred revenue | 5,528 | 5,426 | ||||||
Total | $ | 15,185 | $ | 15,183 | ||||
Reported as: | ||||||||
Current | $ | 9,796 | $ | 9,824 | ||||
Noncurrent | 5,389 | 5,359 | ||||||
Total | $ | 15,185 | $ | 15,183 |
|
January 23, 2016 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Gross | $ | 3,176 | $ | 2,177 | $ | 3,405 | $ | 8,758 | |||||||
Residual value | 201 | — | — | 201 | |||||||||||
Unearned income | (177 | ) | — | — | (177 | ) | |||||||||
Allowance for credit loss | (248 | ) | (80 | ) | (37 | ) | (365 | ) | |||||||
Total, net | $ | 2,952 | $ | 2,097 | $ | 3,368 | $ | 8,417 | |||||||
Reported as: | |||||||||||||||
Current | $ | 1,460 | $ | 978 | $ | 2,076 | $ | 4,514 | |||||||
Noncurrent | 1,492 | 1,119 | 1,292 | 3,903 | |||||||||||
Total, net | $ | 2,952 | $ | 2,097 | $ | 3,368 | $ | 8,417 |
July 25, 2015 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Gross | $ | 3,361 | $ | 1,763 | $ | 3,573 | $ | 8,697 | |||||||
Residual value | 224 | — | — | 224 | |||||||||||
Unearned income | (190 | ) | — | — | (190 | ) | |||||||||
Allowance for credit loss | (259 | ) | (87 | ) | (36 | ) | (382 | ) | |||||||
Total, net | $ | 3,136 | $ | 1,676 | $ | 3,537 | $ | 8,349 | |||||||
Reported as: | |||||||||||||||
Current | $ | 1,468 | $ | 856 | $ | 2,167 | $ | 4,491 | |||||||
Noncurrent | 1,668 | 820 | 1,370 | 3,858 | |||||||||||
Total, net | $ | 3,136 | $ | 1,676 | $ | 3,537 | $ | 8,349 |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 822 | |
2017 | 1,234 | ||
2018 | 693 | ||
2019 | 316 | ||
2020 | 104 | ||
Thereafter | 7 | ||
Total | $ | 3,176 |
INTERNAL CREDIT RISK RATING | |||||||||||||||
January 23, 2016 | 1 to 4 | 5 to 6 | 7 and Higher | Total | |||||||||||
Lease receivables | $ | 1,640 | $ | 1,245 | $ | 114 | $ | 2,999 | |||||||
Loan receivables | 1,224 | 811 | 142 | 2,177 | |||||||||||
Financed service contracts and other | 2,156 | 1,204 | 45 | 3,405 | |||||||||||
Total | $ | 5,020 | $ | 3,260 | $ | 301 | $ | 8,581 |
INTERNAL CREDIT RISK RATING | |||||||||||||||
July 25, 2015 | 1 to 4 | 5 to 6 | 7 and Higher | Total | |||||||||||
Lease receivables | $ | 1,688 | $ | 1,342 | $ | 141 | $ | 3,171 | |||||||
Loan receivables | 788 | 823 | 152 | 1,763 | |||||||||||
Financed service contracts and other | 2,133 | 1,389 | 51 | 3,573 | |||||||||||
Total | $ | 4,609 | $ | 3,554 | $ | 344 | $ | 8,507 |
DAYS PAST DUE (INCLUDES BILLED AND UNBILLED) | |||||||||||||||||||||||||||||||
January 23, 2016 | 31-60 | 61-90 | 91+ | Total Past Due | Current | Total | Nonaccrual Financing Receivables | Impaired Financing Receivables | |||||||||||||||||||||||
Lease receivables | $ | 93 | $ | 41 | $ | 176 | $ | 310 | $ | 2,689 | $ | 2,999 | $ | 71 | $ | 64 | |||||||||||||||
Loan receivables | 91 | 40 | 48 | 179 | 1,998 | 2,177 | 43 | 43 | |||||||||||||||||||||||
Financed service contracts and other | 245 | 45 | 171 | 461 | 2,944 | 3,405 | 29 | 9 | |||||||||||||||||||||||
Total | $ | 429 | $ | 126 | $ | 395 | $ | 950 | $ | 7,631 | $ | 8,581 | $ | 143 | $ | 116 |
DAYS PAST DUE (INCLUDES BILLED AND UNBILLED) | |||||||||||||||||||||||||||||||
July 25, 2015 | 31-60 | 61-90 | 91+ | Total Past Due | Current | Total | Nonaccrual Financing Receivables | Impaired Financing Receivables | |||||||||||||||||||||||
Lease receivables | $ | 90 | $ | 27 | $ | 185 | $ | 302 | $ | 2,869 | $ | 3,171 | $ | 73 | $ | 73 | |||||||||||||||
Loan receivables | 21 | 3 | 25 | 49 | 1,714 | 1,763 | 32 | 32 | |||||||||||||||||||||||
Financed service contracts and other | 396 | 152 | 414 | 962 | 2,611 | 3,573 | 29 | 9 | |||||||||||||||||||||||
Total | $ | 507 | $ | 182 | $ | 624 | $ | 1,313 | $ | 7,194 | $ | 8,507 | $ | 134 | $ | 114 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Three months ended January 23, 2016 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of October 24, 2015 | $ | 255 | $ | 90 | $ | 33 | $ | 378 | |||||||
Provisions | (4 | ) | (10 | ) | 5 | (9 | ) | ||||||||
Recoveries (write-offs), net | — | — | (1 | ) | (1 | ) | |||||||||
Foreign exchange and other | (3 | ) | — | — | (3 | ) | |||||||||
Allowance for credit loss as of January 23, 2016 | $ | 248 | $ | 80 | $ | 37 | $ | 365 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Six months ended January 23, 2016 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of July 25, 2015 | $ | 259 | $ | 87 | $ | 36 | $ | 382 | |||||||
Provisions | (4 | ) | (6 | ) | 5 | (5 | ) | ||||||||
Recoveries (write-offs), net | (4 | ) | — | (4 | ) | (8 | ) | ||||||||
Foreign exchange and other | (3 | ) | (1 | ) | — | (4 | ) | ||||||||
Allowance for credit loss as of January 23, 2016 | $ | 248 | $ | 80 | $ | 37 | $ | 365 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Three months ended January 24, 2015 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of October 25, 2014 | $ | 248 | $ | 84 | $ | 36 | $ | 368 | |||||||
Provisions | 7 | 3 | 4 | 14 | |||||||||||
Recoveries (write-offs), net | (1 | ) | — | — | (1 | ) | |||||||||
Foreign exchange and other | (4 | ) | (2 | ) | — | (6 | ) | ||||||||
Allowance for credit loss as of January 24, 2015 | $ | 250 | $ | 85 | $ | 40 | $ | 375 |
CREDIT LOSS ALLOWANCES | |||||||||||||||
Six months ended January 24, 2015 | Lease Receivables | Loan Receivables | Financed Service Contracts and Other | Total | |||||||||||
Allowance for credit loss as of July 26, 2014 | $ | 233 | $ | 98 | $ | 18 | $ | 349 | |||||||
Provisions | 29 | (10 | ) | 23 | 42 | ||||||||||
Recoveries (write-offs), net | (5 | ) | 1 | — | (4 | ) | |||||||||
Foreign exchange and other | (7 | ) | (4 | ) | (1 | ) | (12 | ) | |||||||
Allowance for credit loss as of January 24, 2015 | $ | 250 | $ | 85 | $ | 40 | $ | 375 |
January 23, 2016 | July 25, 2015 | ||||||
Operating lease assets | $ | 324 | $ | 372 | |||
Accumulated depreciation | (181 | ) | (205 | ) | |||
Operating lease assets, net | $ | 143 | $ | 167 |
|
January 23, 2016 | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||
Fixed income securities: | |||||||||||||||
U.S. government securities | $ | 28,242 | $ | 18 | $ | (16 | ) | $ | 28,244 | ||||||
U.S. government agency securities | 3,492 | 3 | (2 | ) | 3,493 | ||||||||||
Non-U.S. government and agency securities | 1,152 | 1 | (1 | ) | 1,152 | ||||||||||
Corporate debt securities | 18,410 | 29 | (158 | ) | 18,281 | ||||||||||
U.S. agency mortgage-backed securities | 1,452 | 9 | (1 | ) | 1,460 | ||||||||||
Total fixed income securities | 52,748 | 60 | (178 | ) | 52,630 | ||||||||||
Publicly traded equity securities | 1,318 | 176 | (63 | ) | 1,431 | ||||||||||
Total | $ | 54,066 | $ | 236 | $ | (241 | ) | $ | 54,061 |
July 25, 2015 | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||
Fixed income securities: | |||||||||||||||
U.S. government securities | $ | 29,904 | $ | 41 | $ | (6 | ) | $ | 29,939 | ||||||
U.S. government agency securities | 3,662 | 2 | (1 | ) | 3,663 | ||||||||||
Non-U.S. government and agency securities | 1,128 | 1 | (1 | ) | 1,128 | ||||||||||
Corporate debt securities | 15,802 | 34 | (53 | ) | 15,783 | ||||||||||
U.S. agency mortgage-backed securities | 1,456 | 8 | (3 | ) | 1,461 | ||||||||||
Total fixed income securities | 51,952 | 86 | (64 | ) | 51,974 | ||||||||||
Publicly traded equity securities | 1,092 | 480 | (7 | ) | 1,565 | ||||||||||
Total | $ | 53,044 | $ | 566 | $ | (71 | ) | $ | 53,539 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Gross realized gains | $ | 16 | $ | 92 | $ | 51 | $ | 113 | |||||||
Gross realized losses | (35 | ) | (23 | ) | (71 | ) | (37 | ) | |||||||
Total | $ | (19 | ) | $ | 69 | $ | (20 | ) | $ | 76 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Net gains/(losses) on investments in publicly traded equity securities | $ | 2 | $ | 60 | $ | (7 | ) | $ | 56 | ||||||
Net gains/(losses) on investments in fixed income securities | (21 | ) | 9 | (13 | ) | 20 | |||||||||
Total | $ | (19 | ) | $ | 69 | $ | (20 | ) | $ | 76 |
UNREALIZED LOSSES LESS THAN 12 MONTHS | UNREALIZED LOSSES 12 MONTHS OR GREATER | TOTAL | |||||||||||||||||||||
January 23, 2016 | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. government securities | $ | 15,432 | $ | (16 | ) | $ | 3 | $ | — | $ | 15,435 | $ | (16 | ) | |||||||||
U.S. government agency securities | 1,793 | (2 | ) | — | — | 1,793 | (2 | ) | |||||||||||||||
Non-U.S. government and agency securities | 645 | (1 | ) | 17 | — | 662 | (1 | ) | |||||||||||||||
Corporate debt securities | 11,565 | (136 | ) | 1,252 | (22 | ) | 12,817 | (158 | ) | ||||||||||||||
U.S. agency mortgage-backed securities | 387 | (1 | ) | — | — | 387 | (1 | ) | |||||||||||||||
Total fixed income securities | 29,822 | (156 | ) | 1,272 | (22 | ) | 31,094 | (178 | ) | ||||||||||||||
Publicly traded equity securities | 694 | (62 | ) | 2 | (1 | ) | 696 | (63 | ) | ||||||||||||||
Total | $ | 30,516 | $ | (218 | ) | $ | 1,274 | $ | (23 | ) | $ | 31,790 | $ | (241 | ) |
UNREALIZED LOSSES LESS THAN 12 MONTHS | UNREALIZED LOSSES 12 MONTHS OR GREATER | TOTAL | |||||||||||||||||||||
July 25, 2015 | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. government securities | $ | 6,412 | $ | (6 | ) | $ | — | $ | — | $ | 6,412 | $ | (6 | ) | |||||||||
U.S. government agency securities | 1,433 | (1 | ) | — | — | 1,433 | (1 | ) | |||||||||||||||
Non-U.S. government and agency securities | 515 | (1 | ) | 4 | — | 519 | (1 | ) | |||||||||||||||
Corporate debt securities | 9,552 | (49 | ) | 312 | (4 | ) | 9,864 | (53 | ) | ||||||||||||||
U.S. agency mortgage-backed securities | 579 | (3 | ) | — | — | 579 | (3 | ) | |||||||||||||||
Total fixed income securities | 18,491 | (60 | ) | 316 | (4 | ) | 18,807 | (64 | ) | ||||||||||||||
Publicly traded equity securities | 108 | (7 | ) | 2 | — | 110 | (7 | ) | |||||||||||||||
Total | $ | 18,599 | $ | (67 | ) | $ | 318 | $ | (4 | ) | $ | 18,917 | $ | (71 | ) |
Amortized Cost | Fair Value | ||||||
Less than 1 year | $ | 17,569 | $ | 17,555 | |||
Due in 1 to 2 years | 16,105 | 16,081 | |||||
Due in 2 to 5 years | 17,423 | 17,345 | |||||
Due after 5 years | 1,651 | 1,649 | |||||
Total | $ | 52,748 | $ | 52,630 |
January 23, 2016 | July 25, 2015 | ||||||
Equity method investments | $ | 605 | $ | 578 | |||
Cost method investments | 359 | 319 | |||||
Total | $ | 964 | $ | 897 |
|
JANUARY 23, 2016 FAIR VALUE MEASUREMENTS | JULY 25, 2015 FAIR VALUE MEASUREMENTS | ||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total Balance | Level 1 | Level 2 | Level 3 | Total Balance | ||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||||||||||||
Money market funds | $ | 4,731 | $ | — | $ | — | $ | 4,731 | $ | 5,336 | $ | — | $ | — | $ | 5,336 | |||||||||||||||
Corporate debt securities | — | 9 | — | 9 | — | 14 | — | 14 | |||||||||||||||||||||||
U.S. government securities | — | 31 | — | 31 | — | — | — | — | |||||||||||||||||||||||
Available-for-sale investments: | |||||||||||||||||||||||||||||||
U.S. government securities | — | 28,244 | — | 28,244 | — | 29,939 | — | 29,939 | |||||||||||||||||||||||
U.S. government agency securities | — | 3,493 | — | 3,493 | — | 3,663 | — | 3,663 | |||||||||||||||||||||||
Non-U.S. government and agency securities | — | 1,152 | — | 1,152 | — | 1,128 | — | 1,128 | |||||||||||||||||||||||
Corporate debt securities | — | 18,281 | — | 18,281 | — | 15,783 | — | 15,783 | |||||||||||||||||||||||
U.S. agency mortgage-backed securities | — | 1,460 | — | 1,460 | — | 1,461 | — | 1,461 | |||||||||||||||||||||||
Publicly traded equity securities | 1,431 | — | — | 1,431 | 1,565 | — | — | 1,565 | |||||||||||||||||||||||
Derivative assets | — | 318 | 3 | 321 | — | 214 | 4 | 218 | |||||||||||||||||||||||
Total | $ | 6,162 | $ | 52,988 | $ | 3 | $ | 59,153 | $ | 6,901 | $ | 52,202 | $ | 4 | $ | 59,107 | |||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||
Derivative liabilities | $ | — | $ | 19 | $ | — | $ | 19 | $ | — | $ | 12 | $ | — | $ | 12 | |||||||||||||||
Total | $ | — | $ | 19 | $ | — | $ | 19 | $ | — | $ | 12 | $ | — | $ | 12 |
LOSSES FOR THE THREE MONTHS ENDED | LOSSES FOR THE SIX MONTHS ENDED | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Investments in privately held companies (impaired) | $ | (39 | ) | $ | (2 | ) | $ | (56 | ) | $ | (3 | ) | |||
Purchased intangible assets (impaired) | (37 | ) | (56 | ) | (37 | ) | (56 | ) | |||||||
Total | $ | (76 | ) | $ | (58 | ) | $ | (93 | ) | $ | (59 | ) |
|
January 23, 2016 | July 25, 2015 | ||||||||||||
Amount | Effective Rate | Amount | Effective Rate | ||||||||||
Current portion of long-term debt | $ | 3,006 | 3.12 | % | $ | 3,894 | 2.48 | % | |||||
Other short-term debt | 2 | 2.08 | % | 3 | 2.44 | % | |||||||
Total | $ | 3,008 | $ | 3,897 |
January 23, 2016 | July 25, 2015 | ||||||||||||
Maturity Date | Amount | Effective Rate | Amount | Effective Rate | |||||||||
Senior notes: | |||||||||||||
Floating-rate notes: | |||||||||||||
Three-month LIBOR plus 0.05% | September 3, 2015 | $ | — | — | $ | 850 | 0.43% | ||||||
Three-month LIBOR plus 0.28% | March 3, 2017 | 1,000 | 0.77% | 1,000 | 0.63% | ||||||||
Three-month LIBOR plus 0.31% | June 15, 2018 | 900 | 0.89% | 900 | 0.65% | ||||||||
Three-month LIBOR plus 0.50% | March 1, 2019 | 500 | 0.97% | 500 | 0.84% | ||||||||
Fixed-rate notes: | |||||||||||||
5.50% | February 22, 2016 | 3,000 | 3.12% | 3,000 | 3.07% | ||||||||
1.10% | March 3, 2017 | 2,400 | 0.83% | 2,400 | 0.59% | ||||||||
3.15% | March 14, 2017 | 750 | 1.07% | 750 | 0.85% | ||||||||
1.65% | June 15, 2018 | 1,600 | 1.72% | 1,600 | 1.72% | ||||||||
4.95% | February 15, 2019 | 2,000 | 4.76% | 2,000 | 4.70% | ||||||||
2.125% | March 1, 2019 | 1,750 | 1.04% | 1,750 | 0.80% | ||||||||
4.45% | January 15, 2020 | 2,500 | 3.20% | 2,500 | 3.01% | ||||||||
2.45% | June 15, 2020 | 1,500 | 2.54% | 1,500 | 2.54% | ||||||||
2.90% | March 4, 2021 | 500 | 1.20% | 500 | 0.96% | ||||||||
3.00% | June 15, 2022 | 500 | 1.45% | 500 | 1.21% | ||||||||
3.625% | March 4, 2024 | 1,000 | 1.32% | 1,000 | 1.08% | ||||||||
3.50% | June 15, 2025 | 500 | 1.61% | 500 | 1.37% | ||||||||
5.90% | February 15, 2039 | 2,000 | 6.11% | 2,000 | 6.11% | ||||||||
5.50% | January 15, 2040 | 2,000 | 5.67% | 2,000 | 5.67% | ||||||||
Other long-term debt | — | 1 | 2.08% | ||||||||||
Total | 24,400 | 25,251 | |||||||||||
Unaccreted discount/issuance costs | (123 | ) | (131 | ) | |||||||||
Hedge accounting fair value adjustments | 320 | 231 | |||||||||||
Total | $ | 24,597 | $ | 25,351 | |||||||||
Reported as: | |||||||||||||
Current portion of long-term debt | $ | 3,006 | $ | 3,894 | |||||||||
Long-term debt | 21,591 | 21,457 | |||||||||||
Total | $ | 24,597 | $ | 25,351 |
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 3,000 | |
2017 | 4,150 | ||
2018 | 2,500 | ||
2019 | 4,250 | ||
2020 | 4,000 | ||
Thereafter | 6,500 | ||
Total | $ | 24,400 |
|
DERIVATIVE ASSETS | DERIVATIVE LIABILITIES | ||||||||||||||||||
Balance Sheet Line Item | January 23, 2016 | July 25, 2015 | Balance Sheet Line Item | January 23, 2016 | July 25, 2015 | ||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||
Foreign currency derivatives | Other current assets | $ | 1 | $ | 10 | Other current liabilities | $ | 16 | $ | 11 | |||||||||
Interest rate derivatives | Other assets | 313 | 202 | Other long-term liabilities | — | — | |||||||||||||
Total | 314 | 212 | 16 | 11 | |||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||
Foreign currency derivatives | Other current assets | 4 | 2 | Other current liabilities | 3 | 1 | |||||||||||||
Equity derivatives | Other assets | 3 | 4 | Other long-term liabilities | — | — | |||||||||||||
Total | 7 | 6 | 3 | 1 | |||||||||||||||
Total | $ | 321 | $ | 218 | $ | 19 | $ | 12 |
GAINS (LOSSES) RECOGNIZED IN OCI ON DERIVATIVES FOR THE THREE MONTHS ENDED (EFFECTIVE PORTION) | GAINS (LOSSES) RECLASSIFIED FROM AOCI INTO INCOME FOR THE THREE MONTHS ENDED (EFFECTIVE PORTION) | |||||||||||||||||
January 23, 2016 | January 24, 2015 | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | ||||||||||||||
Derivatives designated as cash flow hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | (20 | ) | $ | (75 | ) | Operating expenses | $ | (4 | ) | $ | (21 | ) | |||||
Cost of sales—service | (1 | ) | (5 | ) | ||||||||||||||
Total | $ | (20 | ) | $ | (75 | ) | $ | (5 | ) | $ | (26 | ) | ||||||
Derivatives designated as net investment hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | 11 | $ | 24 | Other income (loss), net | $ | — | $ | — |
GAINS (LOSSES) RECOGNIZED IN OCI ON DERIVATIVES FOR THE SIX MONTHS ENDED (EFFECTIVE PORTION) | GAINS (LOSSES) RECLASSIFIED FROM AOCI INTO INCOME FOR THE SIX MONTHS ENDED (EFFECTIVE PORTION) | |||||||||||||||||
January 23, 2016 | January 24, 2015 | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | ||||||||||||||
Derivatives designated as cash flow hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | (24 | ) | $ | (131 | ) | Operating expenses | $ | (6 | ) | $ | (24 | ) | |||||
Cost of sales—service | (2 | ) | (6 | ) | ||||||||||||||
Total | $ | (24 | ) | $ | (131 | ) | $ | (8 | ) | $ | (30 | ) | ||||||
Derivatives designated as net investment hedging instruments: | ||||||||||||||||||
Foreign currency derivatives | $ | 11 | $ | 44 | Other income (loss), net | $ | — | $ | — |
GAINS (LOSSES) ON DERIVATIVE INSTRUMENTS FOR THE THREE MONTHS ENDED | GAINS (LOSSES) RELATED TO HEDGED ITEMS FOR THE THREE MONTHS ENDED | |||||||||||||||||
Derivatives Designated as Fair Value Hedging Instruments | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||
Equity derivatives | Other income (loss), net | $ | — | $ | (18 | ) | $ | — | $ | 18 | ||||||||
Interest rate derivatives | Interest expense | (16 | ) | 61 | 18 | (61 | ) | |||||||||||
Total | $ | (16 | ) | $ | 43 | $ | 18 | $ | (43 | ) |
GAINS (LOSSES) ON DERIVATIVE INSTRUMENTS FOR THE SIX MONTHS ENDED | GAINS (LOSSES) RELATED TO HEDGED ITEMS FOR THE SIX MONTHS ENDED | |||||||||||||||||
Derivatives Designated as Fair Value Hedging Instruments | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||
Equity derivatives | Other income (loss), net | $ | — | $ | (12 | ) | $ | — | $ | 12 | ||||||||
Interest rate derivatives | Interest expense | 111 | 131 | (107 | ) | (134 | ) | |||||||||||
Total | $ | 111 | $ | 119 | $ | (107 | ) | $ | (122 | ) |
GAINS (LOSSES) FOR THE THREE MONTHS ENDED | GAINS (LOSSES) FOR THE SIX MONTHS ENDED | |||||||||||||||||
Derivatives Not Designated as Hedging Instruments | Line Item in Statements of Operations | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||
Foreign currency derivatives | Other income (loss), net | $ | (58 | ) | $ | (51 | ) | $ | (54 | ) | $ | (109 | ) | |||||
Total return swaps—deferred compensation | Operating expenses | (38 | ) | 13 | (54 | ) | — | |||||||||||
Equity derivatives | Other income (loss), net | 3 | 8 | 13 | 4 | |||||||||||||
Total | $ | (93 | ) | $ | (30 | ) | $ | (95 | ) | $ | (105 | ) |
January 23, 2016 | July 25, 2015 | ||||||
Derivatives designated as hedging instruments: | |||||||
Foreign currency derivatives—cash flow hedges | $ | 684 | $ | 1,201 | |||
Interest rate derivatives | 11,400 | 11,400 | |||||
Net investment hedging instruments | 283 | 192 | |||||
Derivatives not designated as hedging instruments: | |||||||
Foreign currency derivatives | 2,469 | 2,023 | |||||
Total return swaps—deferred compensation | 432 | 462 | |||||
Total | $ | 15,268 | $ | 15,278 |
January 23, 2016 | |||||||||||||||||||||||
Gross Amounts Offset in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheets, but with Legal Rights to Offset | ||||||||||||||||||||||
Gross Amounts Recognized | Gross Amounts Offset | Net Amounts Presented | Gross Derivative Amounts | Cash Collateral | Net Amount | ||||||||||||||||||
Derivatives assets | $ | 321 | $ | — | $ | 321 | $ | (15 | ) | $ | (255 | ) | $ | 51 | |||||||||
Derivatives liabilities | $ | 19 | $ | — | $ | 19 | $ | (15 | ) | $ | — | $ | 4 |
July 25, 2015 | |||||||||||||||||||||||
Gross Amounts Offset in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheets, but with Legal Rights to Offset | ||||||||||||||||||||||
Gross Amounts Recognized | Gross Amounts Offset | Net Amounts Presented | Gross Derivative Amounts | Cash Collateral | Net Amount | ||||||||||||||||||
Derivatives assets | $ | 218 | $ | — | $ | 218 | $ | (12 | ) | $ | (124 | ) | $ | 82 | |||||||||
Derivatives liabilities | $ | 12 | $ | — | $ | 12 | $ | (12 | ) | $ | — | $ | — |
|
Fiscal Year | Amount | ||
2016 (remaining six months) | $ | 184 | |
2017 | 268 | ||
2018 | 204 | ||
2019 | 117 | ||
2020 | 96 | ||
Thereafter | 222 | ||
Total | $ | 1,091 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Compensation expense related to acquisitions | $ | 71 | $ | 94 | $ | 144 | $ | 192 |
Six Months Ended | |||||||
January 23, 2016 | January 24, 2015 | ||||||
Balance at beginning of period | $ | 449 | $ | 446 | |||
Provision for warranties issued | 322 | 355 | |||||
Payments | (340 | ) | (327 | ) | |||
Acquisition/divestitures | (28 | ) | — | ||||
Balance at end of period | $ | 403 | $ | 474 |
January 23, 2016 | July 25, 2015 | ||||||
Maximum potential future payments relating to financing guarantees: | |||||||
Channel partner | $ | 244 | $ | 288 | |||
End user | 113 | 129 | |||||
Total | $ | 357 | $ | 417 | |||
Deferred revenue associated with financing guarantees: | |||||||
Channel partner | $ | (100 | ) | $ | (127 | ) | |
End user | (90 | ) | (107 | ) | |||
Total | $ | (190 | ) | $ | (234 | ) | |
Maximum potential future payments relating to financing guarantees, net of associated deferred revenue | $ | 167 | $ | 183 |
|
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Cost of sales—product | $ | 16 | $ | 11 | $ | 29 | $ | 22 | |||||||
Cost of sales—service | 35 | 34 | 73 | 71 | |||||||||||
Share-based compensation expense in cost of sales | 51 | 45 | 102 | 93 | |||||||||||
Research and development | 107 | 105 | 221 | 224 | |||||||||||
Sales and marketing | 126 | 114 | 265 | 261 | |||||||||||
General and administrative | 47 | 42 | 104 | 101 | |||||||||||
Restructuring and other charges | (1 | ) | 2 | 14 | (2 | ) | |||||||||
Share-based compensation expense in operating expenses | 279 | 263 | 604 | 584 | |||||||||||
Total share-based compensation expense | $ | 330 | $ | 308 | $ | 706 | $ | 677 | |||||||
Income tax benefit for share-based compensation | $ | 103 | $ | 85 | $ | 198 | $ | 179 |
Share-Based Awards Available for Grant | ||
BALANCE AT JULY 26, 2014 | 310 | |
Restricted stock, stock units, and other share-based awards granted | (101 | ) |
Share-based awards canceled/forfeited/expired | 40 | |
Shares withheld for taxes and not issued | 27 | |
BALANCE AT JULY 25, 2015 | 276 | |
Restricted stock, stock units, and other share-based awards granted | (64 | ) |
Share-based awards canceled/forfeited/expired | 18 | |
Shares withheld for taxes and not issued | 23 | |
Other | 2 | |
BALANCE AT JANUARY 23, 2016 | 255 |
Restricted Stock/ Stock Units | Weighted-Average Grant Date Fair Value per Share | Aggregate Fair Value | ||||||||
UNVESTED BALANCE AT JULY 26, 2014 | 149 | $ | 19.54 | |||||||
Granted and assumed | 67 | 25.29 | ||||||||
Vested | (57 | ) | 19.82 | $ | 1,517 | |||||
Canceled/forfeited | (16 | ) | 20.17 | |||||||
UNVESTED BALANCE AT JULY 25, 2015 | 143 | 22.08 | ||||||||
Granted and assumed | 43 | 24.80 | ||||||||
Vested | (40 | ) | 20.24 | $ | 1,050 | |||||
Canceled/forfeited | (9 | ) | 22.57 | |||||||
UNVESTED BALANCE AT JANUARY 23, 2016 | 137 | $ | 23.45 |
STOCK OPTIONS OUTSTANDING | ||||||
Number Outstanding | Weighted-Average Exercise Price per Share | |||||
BALANCE AT JULY 26, 2014 | 187 | $ | 26.03 | |||
Assumed from acquisitions | 1 | 2.60 | ||||
Exercised | (71 | ) | 21.15 | |||
Canceled/forfeited/expired | (14 | ) | 29.68 | |||
BALANCE AT JULY 25, 2015 | 103 | 28.68 | ||||
Assumed from acquisitions | 5 | 2.07 | ||||
Exercised | (20 | ) | 21.63 | |||
Canceled/forfeited/expired | (10 | ) | 29.00 | |||
BALANCE AT JANUARY 23, 2016 | 78 | $ | 28.75 |
STOCK OPTIONS OUTSTANDING | STOCK OPTIONS EXERCISABLE | |||||||||||||||||||||||
Range of Exercise Prices | Number Outstanding | Weighted- Average Remaining Contractual Life (in Years) | Weighted- Average Exercise Price per Share | Aggregate Intrinsic Value | Number Exercisable | Weighted- Average Exercise Price per Share | Aggregate Intrinsic Value | |||||||||||||||||
$ 0.01 – 20.00 | 7 | 6.2 | $ | 3.32 | $ | 135 | 4 | $ | 4.01 | $ | 70 | |||||||||||||
$ 20.01 – 25.00 | 2 | 0.9 | 23.02 | 1 | 2 | 23.02 | 1 | |||||||||||||||||
$ 25.01 – 30.00 | 10 | 0.7 | 26.82 | — | 10 | 26.82 | — | |||||||||||||||||
$ 30.01 – 35.00 | 59 | 0.6 | 32.16 | — | 59 | 32.16 | — | |||||||||||||||||
Total | 78 | 1.1 | $ | 28.75 | $ | 136 | 75 | $ | 29.83 | $ | 71 |
RESTRICTED STOCK UNITS | PERFORMANCE RESTRICTED STOCK UNITS | ||||||||||||||
Three Months Ended | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||
Number of shares granted (in millions) | 27 | 1 | 1 | 1 | |||||||||||
Grant date fair value per share | $ | 25.25 | $ | 25.07 | $ | 25.32 | $ | 25.39 | |||||||
Weighted-average assumptions/inputs: | |||||||||||||||
Expected dividend yield | 3.1 | % | 2.8 | % | 3.1 | % | 2.8 | % | |||||||
Range of risk-free interest rates | 0.1% – 1.2% | 0.0% – 1.6% | 0.0% – 1.2% | 0.0% – 1.6% | |||||||||||
Range of expected volatilities for index | N/A | N/A | 15.3% – 54.3% | 14.4% – 63.7% |
RESTRICTED STOCK UNITS | PERFORMANCE RESTRICTED STOCK UNITS | ||||||||||||||
Six Months Ended | January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||
Number of shares granted (in millions) | 36 | 11 | 5 | 7 | |||||||||||
Grant date fair value per share | $ | 24.93 | $ | 23.34 | $ | 24.71 | $ | 23.70 | |||||||
Weighted-average assumptions/inputs: | |||||||||||||||
Expected dividend yield | 3.1 | % | 3.0 | % | 3.2 | % | 3.0 | % | |||||||
Range of risk-free interest rates | 0.0% – 1.2% | 0.0% – 1.8% | 0.0% – 1.2% | 0.0% – 1.8% | |||||||||||
Range of expected volatilities for index | N/A | N/A | 15.3% – 54.3% | 14.4% – 70.0% |
|
Net Unrealized Gains on Available-for-Sale Investments | Net Unrealized Losses Cash Flow Hedging Instruments | Cumulative Translation Adjustment and Actuarial Gains and Losses | Accumulated Other Comprehensive Income (Loss) | ||||||||||||
BALANCE AT JULY 25, 2015 | $ | 310 | $ | (16 | ) | $ | (233 | ) | $ | 61 | |||||
Other comprehensive income (loss) before reclassifications attributable to Cisco Systems, Inc. | (515 | ) | (24 | ) | (524 | ) | (1,063 | ) | |||||||
(Gains) losses reclassified out of AOCI | 20 | 8 | 1 | 29 | |||||||||||
Tax benefit (expense) | 198 | 2 | (34 | ) | 166 | ||||||||||
BALANCE AT JANUARY 23, 2016 | $ | 13 | $ | (30 | ) | $ | (790 | ) | $ | (807 | ) |
Net Unrealized Gains on Available-for-Sale Investments | Net Unrealized Losses Cash Flow Hedging Instruments | Cumulative Translation Adjustment and Actuarial Gains and Losses | Accumulated Other Comprehensive Income (Loss) | ||||||||||||
BALANCE AT JULY 26, 2014 | $ | 424 | $ | (12 | ) | $ | 265 | $ | 677 | ||||||
Other comprehensive income (loss) before reclassifications attributable to Cisco Systems, Inc. | (23 | ) | (131 | ) | (379 | ) | (533 | ) | |||||||
(Gains) losses reclassified out of AOCI | (76 | ) | 30 | — | (46 | ) | |||||||||
Tax benefit (expense) | 49 | 3 | 36 | 88 | |||||||||||
BALANCE AT JANUARY 24, 2015 | $ | 374 | $ | (110 | ) | $ | (78 | ) | $ | 186 |
Three Months Ended | Six Months Ended | |||||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | |||||||||||||||
Comprehensive Income Components | Income Before Taxes | Income Before Taxes | Line Item in Statements of Operations | |||||||||||||||
Net unrealized gains on available-for-sale investments | ||||||||||||||||||
$ | (19 | ) | $ | 69 | $ | (20 | ) | $ | 76 | Other income (loss), net | ||||||||
Net unrealized losses on cash flow hedging instruments | ||||||||||||||||||
Foreign currency derivatives | (4 | ) | (21 | ) | (6 | ) | (24 | ) | Operating expenses | |||||||||
Foreign currency derivatives | (1 | ) | (5 | ) | (2 | ) | (6 | ) | Cost of sales—service | |||||||||
(5 | ) | (26 | ) | (8 | ) | (30 | ) | |||||||||||
Cumulative translation adjustment and actuarial gains and losses | ||||||||||||||||||
— | — | (1 | ) | — | Operating expenses | |||||||||||||
Total amounts reclassified out of AOCI | $ | (24 | ) | $ | 43 | $ | (29 | ) | $ | 46 |
|
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Income before provision for income taxes | $ | 3,306 | $ | 2,873 | $ | 6,443 | $ | 5,233 | |||||||
Provision for income taxes | $ | 159 | $ | 476 | $ | 866 | $ | 1,008 | |||||||
Effective tax rate | 4.8 | % | 16.6 | % | 13.4 | % | 19.3 | % |
|
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Revenue: | |||||||||||||||
Americas | $ | 6,912 | $ | 7,101 | $ | 14,711 | $ | 14,602 | |||||||
EMEA | 3,088 | 3,091 | 6,175 | 6,093 | |||||||||||
APJC | 1,927 | 1,744 | 3,723 | 3,486 | |||||||||||
Total | $ | 11,927 | $ | 11,936 | $ | 24,609 | $ | 24,181 | |||||||
Gross margin: | |||||||||||||||
Americas | $ | 4,412 | $ | 4,406 | $ | 9,362 | $ | 9,216 | |||||||
EMEA | 2,005 | 1,910 | 3,987 | 3,825 | |||||||||||
APJC | 1,189 | 1,052 | 2,267 | 2,077 | |||||||||||
Segment total | 7,606 | 7,368 | 15,616 | 15,118 | |||||||||||
Unallocated corporate items | (174 | ) | (278 | ) | (352 | ) | (695 | ) | |||||||
Total | $ | 7,432 | $ | 7,090 | $ | 15,264 | $ | 14,423 |
Three Months Ended | Six Months Ended | ||||||||||||||
January 23, 2016 | January 24, 2015 | January 23, 2016 | January 24, 2015 | ||||||||||||
Revenue: | |||||||||||||||
Switching | $ | 3,483 | $ | 3,615 | $ | 7,505 | $ | 7,461 | |||||||
NGN Routing | 1,845 | 1,764 | 3,638 | 3,713 | |||||||||||
Collaboration | 1,019 | 991 | 2,134 | 1,941 | |||||||||||
Data Center | 822 | 846 | 1,681 | 1,538 | |||||||||||
Service Provider Video (1) | 662 | 776 | 1,512 | 1,647 | |||||||||||
Wireless | 613 | 611 | 1,258 | 1,216 | |||||||||||
Security | 462 | 416 | 947 | 871 | |||||||||||
Other | 77 | 59 | 152 | 126 | |||||||||||
Product | 8,983 | 9,078 | 18,827 | 18,513 | |||||||||||
Service | 2,944 | 2,858 | 5,782 | 5,668 | |||||||||||
Total | $ | 11,927 | $ | 11,936 | $ | 24,609 | $ | 24,181 |
January 23, 2016 | July 25, 2015 | ||||||
Property and equipment, net: | |||||||
United States | $ | 2,779 | $ | 2,733 | |||
International | 607 | 599 | |||||
Total | $ | 3,386 | $ | 3,332 |
|
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