🔹 EPS: $0.94 (Est. $0.91) 🟢; UP +8% YoY
🔹 Revenue: $14.0B (Est. $13.87B) 🟢; UP +9% YoY
🔹 Additional $15B authorized for share repurchases
FY25 Guidance:
🔹 Revenue: $56B-$56.5B (Est. $56.1B) 🟢
🔹 EPS (Non-GAAP): $3.68-$3.74 (Est. $3.66) 🟢
Q3 Guidance:
🔹 Revenue: $13.9B-$14.1B (Est. $13.9B) 🟡
🔹 EPS (Non-GAAP): $0.90-$0.92 (Est. $0.91) 🟡
Segment Highlights:
🔹 Product Revenue: $10.23B (Est. $10.427B) 🟡; UP +11% YoY
🔹 Security: UP +117% YoY
🔹 Observability: UP +47% YoY
🔹 Collaboration: UP +1% YoY
🔹 Networking: DOWN -3% YoY
🔹 Services Revenue: $3.76B (Est. $3.826B) 🟡; UP +6% YoY
Margins:
🔹 Non-GAAP Gross Margin: 68.7% (Est. 68.1%) 🟢
🔹 Non-GAAP Operating Margin: 34.7%; UP +100 bps YoY
Cash Flow & Capital Allocation:
🔹 Cash Flow from Operations: $2.2B; UP +177% YoY
🔹 Shareholder Returns: $2.8B through dividends and share buybacks
🔹 Quarterly Dividend Increased to $0.41/share (+2.5%)
Management Commentary:
🔸 "Cisco’s strong results reflect accelerating customer demand for our technology, especially in AI-driven infrastructure," said Chuck Robbins, CEO.
🔸 "Our solid execution and Splunk’s early contribution exceeded expectations, driving robust revenue and EPS growth," added Scott Herren, CFO.
Strategic Updates:
🔹 AI Infrastructure: Orders of $350M in Q2, bringing 1H FY25 total to $700M
🔹 Acquisitions: Completed acquisition of Deeper Insights AI Ltd.
🔹 Remaining Performance Obligations (RPO): $41.3B (+16% YoY)