Shares of Cisco's stock were sharply lower on
The stock dropped as much as 8 percent, marking the stock's biggest since November 2013.
Cisco said on Wednesday that it will cut an additional 1,100 employees as part of an expanded restructuring plan. The cuts come on top of the 5,500 job cuts, or 7 percent of its workforce, announced in August 2016.
The announcement came as the company reported better-than-expected earnings for the fiscal third quarter, but an outlook for the fiscal fourth quarter that fell well short of estimates.
"We saw a significant slowdown in the U.S. public sector, particularly the federal business — which is a pretty significant business for us — due to the uncertainty in budgets," CEO Chuck Robbins told CNBC on Thursday.