Cisco is the worldwide technology leader that has been making the Internet work since 1984.
Cisco Systems, Inc. (NASDAQ: CSCO) announced second quarter financial results ended on January 25th, 2020. The company reported second quarter revenue of USD 12 Billion. Net income summed up to USD 2.9 Billion or USD 0.68 per share.
“I am incredibly proud of the innovation our teams continue to drive,” said Chuck Robbins, chairman and CEO of Cisco. “I am confident in our long-term growth opportunities as we help our customers build out the networks for the future.”
For the third quarter, revenue is expected to a 1.5% to 3.5% decline year over year. Earnings per share is expected to range from USD 0.62 to USD 0.67.
The company has announced a quarterly dividend of USD 0.36 per share, a 3% increase from the previous quarter’s dividend. This is payable on April 22nd, 2020 to all shareholders, coherent with shareholders at the close of April 3rd, 2020. Dividends in the future are subject to Board approval. “We executed well this quarter by delivering strong margins and EPS growth while driving more software and subscriptions,” said Kelly Kramer, CFO of Cisco. “Our increased dividend shows confidence in the strength of our ongoing cash flows and demonstrates our commitment to shareholder return.”
Operating expenses fell 4% to USD 4.4 Billion. Operating income reached USD 3.4 Billion, a 5% increase.
Share value of Cisco Systems fell over 6% post announcement.