The following table presents cash and cash equivalents as reported in our condensed consolidated balance sheets, as well as the sum of cash, cash equivalents and restricted cash as reported on our condensed consolidated statements of cash flows:


	July 28, 2023		April 28, 2023
Cash and cash equivalents	$	2,020	$	2,316
Restricted cash		6		6
Cash, cash equivalents and restricted cash	$	2,026	$	2,322

Inventories (in millions):


	July 28, 2023		April 28, 2023
Purchased components	$	69	$	65
Finished goods		62		102
Inventories	$	131	$	167

Property and equipment, net (in millions):


	July 28, 2023			April 28, 2023
Land	$	46		$	46
Buildings and improvements		361			359
Leasehold improvements		82			91
Computer, production, engineering and other equipment		1,070			1,053
Computer software		329			325
Furniture and fixtures		78			84
Construction-in-progress		67			55
		2,033			2,013
Accumulated depreciation and amortization		(1,392	)		(1,363	)
Property and equipment, net	$	641		$	650

Other non-current assets (in millions):


	July 28, 2023		April 28, 2023
Deferred tax assets	$	954	$	948
Operating lease ROU assets		270		281
Other assets		320		319
Other non-current assets	$	1,544	$	1,548

Other non-current assets as of July 28, 2023 and April 28, 2023 include $82 million and $80 million, respectively, for our 49% non-controlling equity interest in Lenovo NetApp Technology Limited (LNTL), a China-based entity that we formed with Lenovo (Beijing) Information Technology Ltd. in fiscal 2019. LNTL is integral to our sales channel strategy in China, acting as a distributor of our offerings to customers headquartered there, and involved in certain OEM sales to Lenovo. LNTL is also focused on localizing our products and services, and developing new joint offerings for the China market by leveraging NetApp and Lenovo technologies. Our sales to LNTL are conducted on terms equivalent to those prevailing in an arm’s length transaction.

Accrued expenses (in millions):


	July 28, 2023		April 28, 2023
Accrued compensation and benefits	$	314	$	363
Product warranty liabilities		18		17
Operating lease liabilities		44		47
Other current liabilities		402		430
Accrued expenses	$	778	$	857

Other long-term liabilities (in millions):


	July 28, 2023		April 28, 2023
Liability for uncertain tax positions	$	145	$	144
Income taxes payable		215		215
Product warranty liabilities		9		8
Operating lease liabilities		238		248
Other liabilities		96		93
Other long-term liabilities	$	703	$	708

The following table summarizes the components of our deferred revenue and financed unearned services revenue balance as reported in our condensed consolidated balance sheets (in millions):


	July 28, 2023		April 28, 2023
Deferred product revenue	$	21	$	18
Deferred services revenue		4,119		4,247
Financed unearned services revenue		42		48
Total	$	4,182	$	4,313


Reported as:
Short-term	$	2,127	$	2,218
Long-term		2,055		2,095
Total	$	4,182	$	4,313

Deferred product revenue represents unrecognized revenue related to undelivered product commitments and other product deliveries that have not met all revenue recognition criteria. Deferred services revenue represents customer payments made in advance for services, which include software and hardware support contracts, certain public cloud services and other services. Financed unearned services revenue represents undelivered services for which cash has been received under certain third-party financing arrangements. See Note 15 – Commitments and Contingencies for additional information related to these arrangements.

During the three months ended July 28, 2023 and July 29, 2022, we recognized revenue of $658 million and $706 million, respectively, that was included in the deferred revenue and financed unearned services revenue balance at the beginning of the respective periods.

As of July 28, 2023, the aggregate amount of the transaction price allocated to the remaining performance obligations related to customer contracts that are unsatisfied or partially unsatisfied approximated our deferred revenue and unearned services revenue balance. Because customer orders are typically placed on an as-needed basis, and cancellable without penalty prior to shipment, orders in backlog may not be a meaningful indicator of future revenue and have not been included in this amount. We expect to recognize as revenue approximately 51% of our deferred revenue and financed unearned services revenue balance in the next 12 months, approximately 24% in the next 13 to 24 months, and the remainder thereafter.

The following table summarizes deferred commissions balances as reported in our condensed consolidated balance sheets (in millions):


	July 28, 2023		April 28, 2023
Other current assets	$	65	$	64
Other non-current assets		96		99
Total deferred commissions	$	161	$	163

Other income, net (in millions):


	Three Months Ended
	July 28, 2023			July 29, 2022
Interest income	$	28		$	7
Interest expense		(16	)		(18	)
Other, net		(4	)		26
Total other income, net	$	8		$	15

In the three months ended July 29, 2022, Other, net includes a $32 million gain recognized on our sale of a minority equity interest in a privately held company for proceeds of approximately $59 million.

Supplemental cash flow information related to our operating leases is included in Note 8 ─ Leases. Non-cash investing and financing activities and other supplemental cash flow information are presented below:


	Three Months Ended
	July 28, 2023		July 29, 2022
Non-cash Investing and Financing Activities:
Capital expenditures incurred but not paid	$	21	$	20
Liabilities incurred to former owners of acquired business	$	—	$	3
Supplemental Cash Flow Information:
Income taxes paid, net of refunds	$	9	$	12
Interest paid	$	23	$	27