Leases
We have operating leases for our facilities, land, data centers and certain equipment. Operating lease expense was $182 million, $187 million and $91 million for fiscal years 2025, 2024 and 2023, respectively.
Other operating lease information, which included the impact of VMware leases acquired on November 22, 2023, was as follows:
Fiscal Year
202520242023
(In millions)
Cash paid for leases included in operating cash flows
$277 $223 $90 
ROU assets obtained in exchange for lease liabilities
$220 $1,165 $28 
November 2,
2025
November 3,
2024
Weighted-average remaining lease term (in years)
1111
Weighted-average discount rate
4.78 %5.31 %
Supplemental balance sheet information related to operating leases was as follows:
Classification on the Consolidated Balance SheetsNovember 2,
2025
November 3,
2024
(In millions)
ROU assets
Other long-term assets$1,318 $1,325 
Short-term lease liabilities
Other current liabilities$144 $207 
Long-term lease liabilities
Other long-term liabilities$1,181 $1,143 
Future minimum operating lease payments under non-cancelable leases as of November 2, 2025 were as follows:
(In millions)
2026$212 
2027196 
2028168 
2029144 
2030128 
Thereafter877 
Total undiscounted liabilities1,725 
Less: interest(400)
Present value of lease liabilities$1,325 

Historical Timeline

Fiscal YearFiled
2025Dec 18, 2025Showing above
2024Dec 20, 2024
2023Dec 14, 2023
2022Dec 16, 2022
2021Dec 17, 2021
2020Dec 18, 2020

About Leases Disclosures

Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.

Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.