Cisco reports narrow earnings beat, issues inline forecast for the year

Cisco reports narrow earnings beat, issues inline forecast for the year


Cisco CEO Chuck Robbins speaks at the Business Roundtable CEO Workforce Forum in Washington on June 17, 2025.

Al Drago | Bloomberg | Getty Images

CIsco reported results on Wednesday that narrowly exceeded analysts’ expectations and issued quarterly guidance that was also better than expected. The stock slipped in extended trading.

Here’s how the company did in comparison with LSEG consensus:

  • Earnings per share: 99 cents adjusted vs. 98 cents expected
  • Revenue: $14.67 billion vs. $14.62 billion expected

Revenue increased 7.6% year over year in the quarter, which ended on July 26, according to a statement. Net income rose to $2.82 billion, or 71 cents per share, from $2.16 billion, or 54 cents per share, in the same quarter a year ago.

Management called for 97 cents to 99 cents in fiscal first-quarter adjusted earnings per share on $14.65 billion to $14.85 billion in revenue. Analysts surveyed by LSEG were expecting 97 cents per share on $14.62 billion in revenue.

For the full 2026 fiscal year, Cisco forecast $4 to $4.06 in adjusted earnings per share and $59 billion to $60 billion in revenue. The LSEG consensus was for earnings of $4.03 a share and $59.53 billion in revenue.

In the fiscal fourth quarter, Cisco generated $7.63 billion in networking revenue, up 12%. Analysts polled by StreetAccount were looking for $7.34 billion.

Cisco’s security revenue for the quarter totaled $1.95 billion, up 9% and trailing the StreetAccount esimate of $2.11 billion.

During the quarter, Cisco said it would collaborate with a partnership to invest in artificial intelligence infrastructure, alongside BlackRock, Microsoft and other companies. It joined a Stargate data center initiative for the Middle East that involves OpenAI and SoftBank. And the company introduced switches and routers that can take on AI workloads.

“The AI infrastructure orders we received from webscale customers in fiscal 2025 were more than double our original target,” Cisco CEO Chuck Robbins said in the statement. The target was $1 billion, Robbins told analysts in May.

At market close on Wednesday, Cisco shares are up 19% in 2025, while the S&P 500 has gained about 10%.

Executives will discuss the results with analysts on a conference call starting at 4:30 p.m. ET.

This is breaking news. Please check back for updates.

WATCH: Tal Liani: We are in an infrastructure cycle boom driven by AI and data growth

Tal Liani: We are in an infrastructure cycle boom driven by AI and data growth



Source

We tested OpenAI’s Sora 2 video generator to find out why Hollywood is freaking out
Technology

We tested OpenAI’s Sora 2 video generator to find out why Hollywood is freaking out

The launch of OpenAI’s updated Sora 2 AI video service kicked off another round of anxiety among musicians, actors and other content creators. Sora allows users to generate short videos for free by typing in a prompt. The app is only available on iOS devices and is limited to invitees, meaning people need a code to access […]

Read More
Applied Digital stock climbs 16% as AI demand fuels data center growth
Technology

Applied Digital stock climbs 16% as AI demand fuels data center growth

Applied Digital shares jumped 16% on Friday after the company posted strong first-quarter revenue that was boosted by artificial intelligence data center demand, putting the stock up more than 350% for the year. Here’s how the company did compared to LSEG estimates: Loss per share: Loss of 7 cents vs. a loss of 13 cents […]

Read More
Rocket Lab’s stock set for 20% gain this week after flurry of new launch deals
Technology

Rocket Lab’s stock set for 20% gain this week after flurry of new launch deals

Rocket Lab shares have added more than a quarter in value this week as the aerospace company inked new launch deals in the burgeoning space tech industry. The stock was flat on Friday, but has surged over 20% this week. Shares were up nearly 50% over the last two weeks and traded near fresh highs […]

Read More