Cisco Beats Earnings Estimates for Fifth Straight Time
"We believe we are pulling away from our competition using the same formula we've always used," outgoing CEO John Chambers said.Networking and data center systems maker Cisco Systems reported its Q3 2015 earnings May 13, and it was generally good news for investors. The San Jose, Calif. IT giant exceeded earnings estimates for the fifth time in a row, banking revenues of $12.14 billion, which outflanked analysts' projection of $12.06 billion in sales. Revenue was up a decent 5 percent year over year and out-performed the high end of Cisco's guidance of $12.12 billion. The company's gross margin of 62.5 percent also outdid the 61-62 percent the company offered in previous guidance. The stock closed up 0.4 percent at $29.35 on May 13.
"We believe we are pulling away from our competition using the same formula we've always used: integrating our industry-leading products in every category into architectures and solutions that deliver real outcomes," Chairman and CEO John Chambers said in a press statement. "We've created this opportunity, and it is ours to execute."
Cisco introduced Cisco Collaborative Knowledge, a software-as-a-service (SaaS) package designed to help its customers invigorate their organizations and empower employees with the digital tools and technology needed to access experts, learning and knowledge in real time.
Finally, Cisco announced three significant enhancements to the Cisco Evolved Programmable Network (EPN) portfolio, an open, elastic, and application-centric network infrastructure framework that helps enable service providers to accelerate time-to-revenue while reducing the costs of deploying new services.