CSCO · 10-K · 2025A · Full report

Other Long-Term Liabilities (Income Taxes)

CISCO SYSTEMS, INC. · 2025-09-03 · Importance 32 · Surprise 24

Other long-term liabilities include noncurrent income taxes payable, accrued deferred compensation, deferred tax liabilities and other items, with noncurrent income taxes payable approximately $2.2 billion as of July 26, 2025. Deferred tax liabilities included in that aggregation were approximately $75 million, and due to timing uncertainty these amounts were aggregated and presented as a single line in the contractual obligations table. Cisco’s noncurrent income taxes payable include uncertain tax positions and relate to the Company’s long-term tax obligations reflected on the balance sheet. The company references Note 18 for further information on these tax-related liabilities.

Key facts

• For annual goodwill impairment testing in fiscal 2025, excess of fair value over carrying value by reporting unit: Americas $56.5 billion, EMEA $80.1 billion, APJC $32.9 billion.
• Other long-term liabilities shown in the contractual obligations table total $1,745 million, with $1,226 million classified in the 1 to 3 years column and an additional $2,240 million presented separately as other long-term liabilities with uncertainty in timing of future payments.
• Cisco's noncurrent income taxes payable of approximately $2.2 billion and deferred tax liabilities of $75 million were presented as one aggregated amount in the total column due to uncertainty in timing of future payments.
• Sensitivity analysis performed in Q4 fiscal 2025 showed a hypothetical 10% decline in fair value of each reporting unit would not result in goodwill impairment for any reporting unit.
• Goodwill impairment: no impairment of goodwill in fiscal 2025, 2024, and 2023.