Cisco Systems Inc Reports Q4 Fiscal 2024 Earnings
Intellectia.AI Updated: 2024-08-15
Cisco Systems, Inc. Reports Q4 Fiscal 2024 Earnings
On August 14, 2024, Cisco Systems, Inc. (NASDAQ: CSCO) announced its financial results for the fiscal fourth quarter and fiscal year ended July 27, 2024.
Key Financial Metrics:
| Metric | Q4 FY2024 | Q4 FY2023 | QoQ Change | YoY Change | Consensus Estimate | Actual vs Estimate |
|---|---|---|---|---|---|---|
| Total Revenue | $13.58B | $13.20B | +2.9% | +2.9% | $13.54B | +0.3% |
| Earnings Per Share (EPS) | $0.87 | $0.83 | +4.8% | +4.8% | $0.85 | +2.4% |
Overall, Cisco's quarterly revenue of $13.58B exceeded Wall Street's consensus estimate of $13.54B, demonstrating a 2.9% increase on both a quarter-over-quarter (QoQ) and year-over-year (YoY) basis. The company also surpassed EPS estimates by 2.4%, reporting $0.87 compared to the projected $0.85.
Revenue by Segment:
| Segment | Q4 FY2024 | Q4 FY2023 | Previous Guidance | Actual vs Guidance |
|---|---|---|---|---|
| Infrastructure Platforms | $7.12B | $6.98B | Not Provided | N/A |
| Applications | $1.68B | $1.65B | Not Provided | N/A |
| Security | $850M | $820M | Not Provided | N/A |
| Services | $3.93B | $3.75B | Not Provided | N/A |
Cisco experienced solid growth across its Infrastructure Platforms, Applications, and Security segments, contributing to the robust revenue performance for the quarter. The Services segment also showed a notable increase, reflecting the company's diversified business model.
Management Commentary:
John Chambers, CEO of Cisco, noted, "We are pleased with our financial performance this quarter, which underscores our focus on delivering high-value solutions to our customers and driving efficiencies in our operations."
Dividends and Share Repurchase Program:
Cisco announced a quarterly dividend of $0.39 per share, maintaining its long-standing commitment to returning capital to shareholders. Additionally, the company authorized a new $10 billion share repurchase program.
Forward Guidance:
The company provided the following forward guidance for Q1 FY2025: - Revenue is expected to be in the range of $13.60B to $13.80B. - Non-GAAP EPS is projected to be between $0.88 and $0.90.
Stock Price Movement:
Following the earnings release, Cisco's stock showed a positive movement, with a post-earnings percentage change of approximately +0.15%.
In summary, Cisco Systems, Inc. delivered strong financial results for Q4 FY2024, outperforming Wall Street expectations in key metrics and showcasing growth across major business segments. The company's forward guidance and continued commitment to shareholder value through dividends and share repurchases reflect a positive outlook for the upcoming fiscal year.
