Cisco reported third quarter net sales of $8.9 billion, net income on a generally accepted accounting principles (GAAP) basis of $1.9 billion or $0.30 per share, and non-GAAP net income of $2.1 billion or $0.34 per share. Net revenue was up 21.1%, net income up 33.9%, and earnings per share up 36.4% compared to a year earlier.
Some highlights for the quarter:
- Scientific-Atlanta contributed net sales of $752 million, up 30% compared with $407 million during the third quarter of fiscal 2006.
- Cash flows from operations were $2.4 billion , compared with $2.3 billion for the third quarter of fiscal 2006.
- Cash and cash equivalents and investments were $22.3 billion at the end of the third quarter of fiscal 2007, compared with $17.8 billion at the end of the fourth quarter of fiscal 2006, and compared with $20.7 billion at the end of the second quarter of fiscal 2007.
- Routing revenue was up 16% y/y.
- Switching revenue was up 15% y/y.
- Advanced technology revenue was up 24%.
- U.S. order volume was up in the mid-teens y/y.
- European orders were up in the low teens y/y.
- Asia-Pac orders were up 20%.
- Emerging market orders were up 40% y/y.
- Service Provider order were up 17% y/y.
- Total gross margin was 64.5%.
- Headcount was 56,790 at the end of the quarter, compared to 48,296.
“We are pleased with Cisco’s continued year-over-year growth based on strong execution across the company,” said John Chambers, chairman and CEO, Cisco. “Our success is based on the ability to foresee market transitions, which has enabled us to deliver the right products for today’s market opportunities and prepares us to take advantage of new opportunities in the future.
“In our view, we are in the midst of a unique market transition, where all of the action is going to the network and our vision for the network as a platform for all forms of communications and IT has become a reality,” Chambers continued. “While we are very pleased with our continued growth, our communications and collaboration technologies are enabling the second phase of the Internet, or Web 2.0, which is redefining how people, companies and countries collaborate in ways never before realized.”http://www.cisco.com