Cisco profit jumps on overseas orders
From Times Staff and Wire Reports
Cisco Systems Inc. said that fiscal third-quarter profit soared 34% on surging demand from emerging markets.
Net income for the three months ended April 28 rose to $1.87 billion, or 30 cents a share, from $1.4 billion, or 22 cents, a year earlier, San Jose-based Cisco said. Sales gained 21% to $8.87 billion.
Chief Executive John Chambers forecast fourth-quarter sales growth of 15% to 16%, which may fall short of the average Wall Street estimate. Smaller companies in the U.S. and telephone service providers in Asia and Africa are upgrading their networks for video, which is helping counter slowing sales to large corporations.
Cisco shares fell 5.2% to $26.88 in extended trading after closing up 55 cents at $28.36.
