Source: Dreamstime
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The computer networking equipment maker’s revenue decreased by 9% on a year-on-year basis, yet again disappointing investors worldwide. Earnings per share, however, rose by 22% after Cisco managed to reduce its operating expenses by 9%.
Let’s take a closer look at how the company performed during Q4:
– Earnings: 80 cents versus expectations for 74 cents
– Revenue: $12.15 billion versus expectations for $12.08 billion
– Revenue from applications: $1.36 billion (down 9% y/y) versus expectations for $1.45 billion
– Infrastructure Platforms unit revenue (switches and routers for data centers): $6.63 billion (down 16% y/y) versus expectations for $6.48 billion
Recently, Cisco has been struggling to keep ahead of its competition as its business has historically been centered around expensive hardware. In particular, demand for the company’s products has been largely diminished due to public cloud offerings from the likes of Amazon, Microsoft and Google.
“While our results reflect the ongoing challenges in the current environment, we executed well. As you would expect, the pandemic has had the most impact on our enterprise and commercial orders, driven by an overall slowdown in spending. We are seeing customers continue to delay their purchasing decisions in certain areas while increasing spend in others until they have greater visibility and clarity on the timing and shape of the global economic recovery.”
Chuck Robbins, CEO of Cisco Inc.
Robbins also told analysts during a conference call on Wednesday that the company’s CFO, Kelly Kramer, will be retiring. In the quarter, Cisco also announced its intent to acquire network monitoring company ThousandEyes for close to $1 billion. The company forecasts for its Q1 2021 earnings to range between 69 to 71 cents per share, while revenue is expected to decline by an additional 7% to 9%.
Upcoming reports
See the full list of upcoming earnings reports for 17 – 21 August in the tables below.
Monday, August 17 2020
| Country of origin | Company name | Fiscal period |
|---|---|---|
| China | JD.com Inc | Second quarter of 2020 |
| China | Baidu Inc | Second quarter of 2020 |
| United Kingdom | Murray International Trust PLC | Half year 2020 |
| United Kingdom | Capita PLC | Half year 2020 |
Tuesday, August 18 2020
| Country of origin | Company name | Fiscal period |
|---|---|---|
| USA | Agilent Technologies Inc | Third quarter of 2020 |
| USA | Kohls Corp | Second quarter of 2020 |
| USA | Home Depot Inc | Second quarter of 2020 |
| USA | Walmart Inc | Second quarter of 2021 |
| United Kingdom | John Wood Group PLC | Half year 2020 |
| United Kingdom | Persimmon PLC | Half year 2020 |
| United Kingdom | KAZ Minerals PLC | Half year 2020 |
| Australia | BHP Group PLC | Full year 2020 |
Wednesday, August 19 2020
| Country of origin | Company name | Fiscal period |
|---|---|---|
| USA | TJX Companies Inc | Second quarter of 2021 |
| USA | Progressive Corp | Earnings report for July 2020 |
| USA | Analog Devices Inc | Third quarter of 2020 |
| USA | Target Corp | Second quarter of 2020 |
| USA | Lowe's Companies Inc | Second quarter of 2020 |
Thursday, August 20 2020
| Country of origin | Company name | Fiscal period |
|---|---|---|
| USA | Gap Inc | Second quarter of 2020 |
| USA | Ross Stores Inc | Second quarter of 2020 |
| USA | VMware Inc | Second quarter of 2021 |
| China | Alibaba Group Holding Ltd | First quarter of 2021 |
| Norway | Otello Corporation ASA | Second quarter of 2020 |
| Ireland | CRH PLC | Half year 2020 |
| Great Britain | Premier Oil PLC | Half year 2020 |
| Great Britain | Antofagasta PLC | Half year 2020 |
| Kingdom of the Netherlands | Koninklijke Boskalis Westminster NV | Half year 2020 |
| USA | NVIDIA Corp | Second quarter of 2021 |
| Chile | Sociedad Quimica y Minera de Chile SA | Second quarter of 2020 |
Friday, August 21 2020
| Country of origin | Company name | Fiscal period |
|---|---|---|
| USA | Deere & Co | Third quarter of 2020 |
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