CSCO · 10-K · 2025A · Full report
Remaining Performance Obligations
CISCO SYSTEMS, INC. · 2025-09-03 · Importance 65 · Surprise 32
Total remaining performance obligations increased 6% year-over-year to $43,533 million in fiscal 2025, with product RPO up 8% to $21,572 million and services RPO up 5% to $21,961 million. Approximately 50% of total RPO is expected to be recognized as revenue over the next 12 months, indicating near-term revenue visibility from both product and services contracts. The product-side RPO increase aligns with the higher inventory purchase commitments for Cisco Silicon One and other products targeting webscale and other customers. Overall, the RPO growth supports the MD&A narrative of strengthening demand and backlog for product and service offerings.
Key facts
- Cisco expects approximately 50% of total remaining performance obligations to be recognized as revenue over the next 12 months.
- Total remaining performance obligations as of July 26, 2025: $43,533 million, an increase of $2,485 million (6%) from $41,048 million as of July 27, 2024.
- Remaining performance obligations for product as of July 26, 2025: $21,572 million, up $1,517 million (8%) from $20,055 million as of July 27, 2024.
- Remaining performance obligations for services as of July 26, 2025: $21,961 million, up $968 million (5%) from $20,993 million as of July 27, 2024.
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | probable | +2.0% | Total remaining performance obligations as of July 26, 2025: $43,533 million, an increase of $2,485 million (6%) from $41,048 million as… |
| revenue | positive | probable | +1.3% | Remaining performance obligations for product as of July 26, 2025: $21,572 million, up $1,517 million (8%) from $20,055 million as of July… |
| revenue | positive | probable | +0.8% | Remaining performance obligations for services as of July 26, 2025: $21,961 million, up $968 million (5%) from $20,993 million as of July… |
| revenue | positive | probable | — | Cisco expects approximately 50% of total remaining performance obligations to be recognized as revenue over the next 12 months. |