Skip to main content

Market Overview

Cisco Earnings Call Summary

Share:

Cisco Systems (NASDAQ: CSCO) shares were trading up as much as seven percent following better-than-expected third-quarter revenue and earnings.

On the company's conference call, CEO John Chambers spoke excitedly about the performance of the company's products for the quarter, as well as highlighting performance in international markets and future ventures.

Product Performance

  • Nexus switches and 9000 has seen an increase in customers from 20+ customers to 175 customers. Claims 1,000 customers in pipeline.
  • Highlights Nexus 9000 as product flagship that is ahead of competition in quality and performance.
  • WebEx posted revenue grew 27 percent

International Markets

  • Discussed weak performance and concern in emerging markets. Highlighted situations occurring in Russia and Brazil as hindering on performance
  • Challenges from macro performance in emerging markets. Expects challenges to continue for some time.
  • China and Indian market performance down, as well
  • Saw stable performance in the northern and southern parts of Europe
  • Half of Cisco's market cap is overseas cash.

Future Ventures

  • Discussed multi-year deal with General Motors to bring Cisco software system to fulfill all network needs.
  • Goal of bringing entire Cisco catalog to customers. Sharing architecture in each product category that combines infrastructure with platform and services and combining this with cloud, mobility, data, etc. to produce faster outcomes. This is what was highlighted in GM deal.
  • Betting on start ups in other competitive markets with new technology.

Shares were up 6.3 percent at $24.28 in Thursday afternoon trading.

 

Related Articles (CSCO)

View Comments and Join the Discussion!

Posted-In: Cisco Systems John ChambersEarnings News

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com