Cisco earnings up 79 percent in fourth quarter, revenue misses analyst estimate
By APWednesday, August 11, 2010
Cisco earnings up 79 percent in 4Q
NEW YORK — Cisco Systems Inc. reported revenue for its latest quarter that missed Wall Street expectations, and its stock fell.
The world’s largest maker of computer networking gear said both net income and revenue bounced back from last year’s recession levels, but analysts were expecting even stronger results after a couple of quarters of Cisco exceeding its own expectations.
Cisco said Wednesday that it earned $1.9 billion, or 33 cents per share, in the fiscal fourth quarter that ended July 31. That’s up from $1.1 billion, or 19 cents per share, a year ago.
Revenue rose 27 percent to $10.8 billion, just under analysts’ forecasts of $10.9 billion. The company had projected revenue between $10.7 billion and $10.9 billion.
In extended trading after the release of the results, Cisco shares fell $1.25, or 5.3 percent, to $22.48. That came on top of regular-session losses of 58 cents to close at $23.73.
Excluding one-time charges and the cost of stock-based compensation, Cisco earned 43 cents per share. Analysts polled by Thomson Reuters expected 42 cents per share, on average.
