GoKawiilCisco shares soared 17% in extended trading on Wednesday after the networking company issued results and guidance that topped Wall Street's projections.
The company said it's cutting its workforce this quarter by fewer than 4,000 jobs, representing less than 5% of total employees.
Here's how the company did in comparison with LSEG consensus:
Earnings per share: $1.06 adjusted vs. $1.04 expected
$1.06 adjusted vs. $1.04 expected Revenue: $15.84 billion vs. $15.56 billion expected
Revenue increased 12% in the quarter ended April 25, from $14.15 billion a year earlier, Cisco said in a statement. Net income rose to $3.37 billion, or 85 cents per share, from $2.49 billion, or 62 cents per share, a year earlier.
For the fiscal fourth quarter, Cisco called for $1.16 to $1.18 in adjusted earnings per share on $16.7 billion to $16.9 billion in revenue. Analysts polled by LSEG were looking for $1.07 in adjusted earnings per share on $15.82 billion in revenue.
Cisco said it has received $5.3 billion in artificial intelligence infrastructure and hyperscaler orders so far this year, and raised its expected orders for the fiscal year to $9 billion, up from $5 billion. The company said it expects fiscal-year revenue in that market of $4 billion, up from a prior projection of $3 billion.
While Cisco has trailed many of its data center peers in the AI race, Wall Street has been rallying to the company's story of late, pushing the stock to a record late last year, finally surpassing its dot-com high. The shares have continued to climb this year, gaining 33%, topping the Nasdaq's 14% advance.
Should the stock maintain its after-hours gains through Thursday, it would mark the sharpest rally since 2002.
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