Leases (Tables)

3 Months Ended

Oct. 31, 2024

The components of lease expense were as follows:


	Three Months Ended
(In millions)	October 31, 2024		October 31, 2023
Operating lease cost (1)	$	29	$	26

Variable lease cost	5		6
Sublease income	(3)		(3)
Total net lease cost	$	31	$	29

(1) Includes short-term leases, which were not material for each of the three months ended October 31, 2024 and 2023.

Supplemental cash flow information related to operating leases was as follows:


	Three Months Ended
(In millions)	October 31, 2024		October 31, 2023
Cash paid for amounts included in the measurement of operating lease liabilities	$	27	$	25
Right-of-use assets obtained in exchange for operating lease liabilities	$	150	$	14

Other information related to operating leases was as follows at the dates indicated:


	October 31, 2024		July 31, 2024
Weighted-average remaining lease term for operating leases	8.3 years		7.7 years
Weighted-average discount rate for operating leases	3.7	%	3.3	%

Supplemental balance sheet information related to operating leases was as follows at the dates indicated:


(In millions)	October 31, 2024		July 31, 2024

Operating lease right-of-use assets	$	538	$	411

Other current liabilities	$	65	$	71
Operating lease liabilities	592		458
Total operating lease liabilities	$	657	$	529

Schedule of Future Payments

Future minimum lease payments under non-cancellable operating leases as of October 31, 2024 were as follows:


(In millions)	Operating Leases (1)
Fiscal year ending July 31,
2025 (excluding the three months ended October 31, 2024)	$	59
2026	97
2027	95
2028	88
2029	91
Thereafter	347
Total future minimum lease payments	777
Less imputed interest	(120)
Present value of lease liabilities	$	657

(1) Non-cancellable sublease proceeds for the remainder of the fiscal year ending July 31, 2025 and the fiscal years ending July 31, 2026, 2027, 2028, 2029, and thereafter of $4 million, $3 million, $3 million, $2 million, $2 million, and $2 million, respectively, are not included in the table above.