Record Cisco Earnings Disappoint Investors
Cisco Systems posted record earnings, but the revenue wasn't enough to keep Cisco's shares from falling to an 11-month low.Cisco Systems posted record earnings last week, but the revenue wasnt enough to keep Ciscos shares from falling to an 11-month low. Net sales for the fourth quarter of fiscal 2004 were $5.9 billion, compared with $4.7 billion for the same quarter last year, an increase of 26 percent. Net income in the most recent quarter was $1.4 billion, compared with $982 million in the year-ago quarter and compared with $1.2 billion for the third quarter of fiscal 2004.
Following the announcement, however, investors dropped the stock on the companys flat growth outlook.