Analyzing Cost of Revenue: Arista Networks, Inc. and CGI Inc.

Analyzing Cost of Revenue: Arista Networks, Inc. vs. CGI Inc.

In the ever-evolving tech industry, understanding the cost of revenue is crucial for assessing a company's financial health. Arista Networks, Inc. and CGI Inc., two giants in the field, have shown distinct trends over the past decade. From 2014 to 2023, Arista Networks experienced a staggering increase in its cost of revenue, growing over 1,000%, from approximately $192 million to $2.23 billion. This reflects its rapid expansion and scaling efforts. In contrast, CGI Inc. maintained a more stable trajectory, with its cost of revenue increasing by about 45% over the same period, from $8.26 billion to $11.98 billion. This stability suggests a mature business model with consistent operational costs. Notably, data for Arista Networks in 2024 is missing, indicating potential reporting delays or strategic shifts. These insights highlight the dynamic nature of financial management in tech companies.