Channel Insider conferred 75 awards to vendor, distribution, solution provider and industry groups for performance excellence. Check out all the winners in the 28 Bull’s Eye Award categories. >> Bull’s Eye Central
Cisco Results Beat Forecasts but CEO Cautious (
Page 1 of 3 )
Cisco Systems Inc gave a cautious business outlook on Tuesday, although its quarterly results exceeded expectations as rising Internet traffic fueled demand for network equipment.
Chief Executive John Chambers, considered a trend reader for the overall U.S. technology industry, said conditions were still challenging and that a U.S. market recovery is not in sight.
Resource Library:
"We're continuing to see our U.S. and some European customers remain cautious in their views about their own economies," he told analysts on a conference call.
His comments reined in Wall Street's optimism, and Cisco shares rose just 1 percent in extended trading after gaining as much as 3 percent immediately after the company announced its fiscal third-quarter results.
Cisco, the largest U.S. makers of routers and switches that direct Web traffic, said earnings before items for the three months ended April 26 rose to $2.3 billion, or 38 cents, from $2.1 billion, or 34 cents a share, in the year-ago period. That beat the average analyst forecast of 36 cents according to Reuters Estimates.
"Usually Cisco beats by a penny. They beat by two pennies. That was better than the norm," said Robert W. Baird & Co analyst Kenneth Muth.
Its quarterly net profit fell to 29 cents a share from 30 cents, due mainly to an acquisition-related charge of 4 cents per share.
Revenue rose 10.4 percent to $9.8 billion, compared to its previous forecast 10 percent growth.
Managed service providers are using regulatory compliance and industry standards to win business and give customers peace of mind. Join host Larry Walsh of Ziff Davis Enterprise and his guests on Friday, February 19, 2010, at 1:00 pm ET for a discussion of “Compliance as a Service.” Register Today