Cisco published solid fiscal first quarter financial results after the bell on Wednesday.

The tech giant reported a net income of $2.3 billion, or 46 cents per share.

Non-GAAP earnings were 61 cents per share on a revenue of $12.4 billion, up four percent year-over-year.

Wall Street was looking for earnings of 59 cents per share with $12.33 billion in revenue. Cisco’s shares were down nearly 5 percent after hours.

For the current quarter, Wall Street is looking for non-GAAP earnings of 59 cents per share with $12.15 billion in revenue.

Cisco responded with an EPS forecast of 55 cents to 57 cents a share.

Going by segment, Cisco said Q1 product revenue was down 1 percent and service revenue up 7 percent. Switching decreased 7 percent, and wireless and service provider video each decreased 2 percent.

Collaboration revenue decreased 3 percent, as did data center revenue, which fell to $834 million with cloud adoption as the likely culprit.

“We had a good quarter despite a challenging global business environment and we performed well in our priority areas,” Cisco CEO Chuck Robbins said in prepared remarks. “We are leading our customers in their digital transition by providing them with highly secure, automated, and intelligent solutions in the ways they want to consume them. Our innovation pipeline is robust and we are well positioned for the future.”

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