Form 4: Cisco EVP Subaiya Reports RSU Vesting and Tax Withholding

Cisco Systems' EVP of Operations, Thimaya K. Subaiya, reported the vesting of performance-based restricted stock units and subsequent tax-related share disposition.

Summary

• Thimaya K. Subaiya, EVP of Operations at Cisco Systems, Inc., acquired 60,895.21 shares of common stock on November 10, 2025, at a price of $0.
• This acquisition represents the settlement of two performance-based restricted stock unit (PRSU) awards granted on October 11, 2022, following the satisfaction of performance metrics over a three-year period, along with accrued dividend equivalents.
• Following this acquisition, Subaiya's beneficial ownership increased to 290,922.928 shares, which includes 3,959.002 dividend equivalents on unvested restricted stock units.
• On the same date, Subaiya disposed of 55,105.324 shares of common stock at a price of $71.07.
• This disposition was for the payment of tax liability arising from the settlement of the PRSU awards, partial settlement of other restricted stock unit awards, and settlement of associated dividend equivalents.
• After the disposition, Subaiya's beneficial ownership stands at 235,817.604 shares, including 2,752.958 dividend equivalents on unvested restricted stock units.

Sentiment

Score: 7

Explanation: The filing reports a standard executive compensation event involving the vesting of performance-based restricted stock units and subsequent tax withholding. The vesting indicates successful achievement of performance metrics, which is positive, and the tax withholding is a neutral, routine event. No negative voluntary sales were reported.

Positives

• The vesting of 60,895.21 performance-based restricted stock units indicates the achievement of performance metrics over the three-year period, reflecting positively on the company's operational performance and management's execution.
• The executive's continued significant beneficial ownership of 235,817.604 shares aligns management's interests with those of shareholders.

Negatives

• The disposition of 55,105.324 shares was solely for tax withholding purposes, which is a standard practice and does not reflect a voluntary sale by the executive.

Future Outlook

na

Industry Context

This transaction is a routine executive compensation event, common across the technology and broader corporate sectors, where performance-based equity awards are a standard component of executive remuneration. It reflects the company's commitment to aligning executive incentives with long-term shareholder value creation and performance.

Related Party Transactions

• The reported transactions involve an executive (Thimaya K. Subaiya) and the company (Cisco Systems, Inc.), which are inherently related party transactions as per SEC regulations for insider reporting.

Stakeholder Impact

• Shareholders: The vesting of performance-based awards suggests that the company met its performance targets, which is generally positive for shareholder value. The executive's continued significant ownership aligns interests.
• Employees: The compensation structure, including performance-based equity, can serve as a model for employee incentive programs, potentially impacting morale and retention.
• Management: The successful vesting of PRSUs indicates effective performance by the executive and the operational team, reinforcing confidence in management.

Key Dates

Keywords

Cisco Systems, CSCO, Form 4, Insider Transaction, Restricted Stock Units, RSU, Performance-Based RSU, PRSU, Executive Compensation, Thimaya K. Subaiya, Stock Vesting, Tax Withholding