Cisco Chairman and CEO Chuck Robbins will speak during the Cisco Live! keynote. Conference to be held in Las Vegas on June 7, 2023.
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Cisco Despite a better-than-expected earnings report and better-than-expected earnings forecasts, the stock fell in after-hours trading Wednesday.
According to LSEG, the company’s performance compared to analyst expectations is as follows:
Earnings per share: $1.22 adjusted vs. $1.17 expected Revenue: $17.25 billion vs. $16.82 billion expected
Wall Street turned bullish on Cisco as fourth-quarter earnings reports began, with the stock up more than 60% this quarter and about 8% this month on optimism that the networking company will start playing a bigger role in the artificial intelligence boom.
Despite the stock price falling on this report, Cisco’s numbers suggest that’s happening. The company expects sales to be between $18 billion and $18.2 billion in the current quarter, beating the average estimate of $16.8 billion, LSEG said.
Cisco stock this year
Cisco also provided better-than-expected revenue guidance for the period and strong guidance for the full year.
Hyperscalers, the internet giants driving much of their AI spending, ordered $4 billion in infrastructure in the quarter, bringing their fiscal year total to $9.3 billion, Cisco said. The group accounted for about $4 billion in revenue last fiscal year, and Cisco expects that number to nearly double to $7.5 billion in 2027.
Sales in the latest quarter were up 18% from $14.7 billion in the same period last year. Net income rose 51% to $3.9 billion, or 97 cents per share, from $2.6 billion, or 64 cents per share, a year ago.
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