Network giant Cisco Systems posted a 37% increase in profit in the first quarter, posting slightly above analyst expectations on strong sales growth.
The San Jose, Calif.-based company said net income grew to $2.2 billion, or 35 cents per share, on revenue of $9.55 billion for the quarter ended Oct. 27, compared to profit of $1.6 billion, or 26 cents per share, on revenue of $8.18 billion for the same period last year.
Minus one-time charges, the San Jose, Calif.-based maker of networking equipment reported net profit of $2.5 billion, or 40 cents per share.
Cisco delivered another record quarter based on balanced execution across the company, said John Chambers, chairman and CEO, Cisco.
In a call with analysts, Chambers said the company continues to achieve very unique product balance both in terms of breadth and depth of our product portfolio. But he also noted, Although competition remains robust, we believe we are gaining market share versus almost all of our major competitors in most product categories.
The company also said it expects revenue for the fiscal second quarter to grow by 16% from the previous year. That equates to revenue of about $9.79 billion for the current quarter, below the Wall Street consensus estimate of $9.81 billion. revenue for the second quarter grew to $9.79 billion for the current quarter, below the Wall Street consensus estimate of $9.81 billion.