Assets are depreciated to their estimated residual value using the straight-line method over their estimated useful lives as follows: 
Owned buildings
20 - 50 years
Leasehold improvementsUp to period of lease
Plant and machinery
10 years
Computer hardware
3 - 5 years
Furniture, fixtures, equipment
5 - 7 years
Vehicles
4 years
Property, plant and equipment consisted of the following:
As of July 31,
(In millions)20252024
Land$399 $388 
Buildings1,206 1,185 
Leasehold improvements719 618 
Plant and machinery1,012 927 
Other equipment173 166 
Property, plant and equipment3,509 3,284 
Less: Accumulated depreciation(1,663)(1,532)
Property, plant and equipment, net$1,846 $1,752 

Historical Timeline

Fiscal YearFiled
2025Sep 26, 2025Showing above
2024Sep 25, 2024

About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.