Cisco logs a powerful quarter however its cautious outlook pushes the inventory down

Cisco
CSCO,
-0.73%
reported fiscal fourth-quarter internet revenue of $4 billion, or 97 cents a share, on income of $15.2 billion, up from $13.1 billion a yr in the past. After adjusting for stock-based compensation and different prices, Cisco reported earnings of $1.14 a share, up from 83 cents a share in the identical quarter a yr in the past.

Full-year income jumped 11% to $57 billion, the corporate’s finest efficiency in additional than a decade.

Analysts surveyed by FactSet on common anticipated adjusted internet revenue of $1.06 a share on income of $15.05 billion. Shares dipped 2% in after-hours buying and selling after closing down 0.7% in common buying and selling Wednesday at $52.96.

Cisco’s Product ($11.65 billion) and Service ($3.55 billion) companies had been up 20% and 4%, respectively, yr over yr. Analysts on common anticipated whole product income of $11.5 billion, in response to FactSet.

For the present fiscal first quarter, Cisco executives guided for adjusted earnings of $1.02 to $1.04 a share in adjusted revenue and income of between $14.5 billion and $14.7 billion. Analysts had been forecasting adjusted earnings of $1 a share and income of $14.64 billion, in response to FactSet.

But full-year fiscal 2024 steering was cautiously blended: Cisco sees adjusted earnings of $4.01 to $4.08 a share on income of $57 billion to $58.2 billion. Analysts polled by FactSet expect $4.05 a share on income of $58.4 billion.

Cisco officers are notoriously conservative in full-year projections and will increase quarterly estimates, nonetheless.

Shares of Cisco are up 11% this yr, whereas the broader S&P 500 index
SPX
 has gained 15%.