Cisco did not reduce its full-year revenue forecast, as a previous version of this article indicated. It has been updated. Cisco Systems Inc. beat expectations for quarterly profit and sales in a report Wednesday, but executives did not increase their top target for annual revenue and revealed that orders declined again, sending shares down 4% in late trading.
posted fiscal third-quarter net income of $3.2 billion, or 78 cents a share, on revenue of $14.57 billion, up from $12.84 billion a year ago. After adjusting for stock-based compensation and other costs, Cisco reported earnings of $1 a share, up from 87 cents a share in the same quarter a year ago. Analysts surveyed by FactSet on average expected adjusted net income of 97 cents a share on revenue of $14.4 billion. Shares initially climbed more than 1% in after-hours trading following the results, but then dipped to a decline of about 1%; they closed up 1.5% in regular trading Wednesday at $47.63. For the fiscal fourth quarter, Cisco executives guided for adjusted earnings of $1.05 to $1.07 a share in adjusted profit and revenue growth of 14% to 16%, which would lead to sales of $15.07 billion at the midpoint. Analysts were forecasting adjusted earnings of $1.04 a share and revenue of $14.95 billion, according to FactSet. Executives also increased their annual profit guidance, but did not raise their ceiling on revenue growth for the year, as some analysts expected. Cisco executives now expect adjuste …
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