Cisco shares jumped in extended-hours trading Wednesday after the network equipment maker topped quarterly forecasts and handed in better-than-expected revenue guidance.
The company posted earnings of 51 cents a share, excluding one-time items, on sales of $11.55 billion. Analysts had expected the company to report earnings excluding items of 48 cents a share on $11.36 billion in revenue, according to a consensus estimate from Thomson Reuters.
In addition, the company said it expects to see a 1 to 3 percent revenue decline in the fourth quarter, versus expectations for a 5-percent drop. Cisco said it also expects to hand in between 51 cents a share and 53 cents a share, ex-items, versus estimates for 51 cents a share.
"I'm pleased with our performance in the third quarter, said John Chambers, chairman and CEO of Cisco in a press release. "Our financial results exceeded the guidance we provided last quarter as we demonstrated clear progress on returning to growth. The entire team is focused on moving Cisco forward aggressively and we remain confident in our long-term goal to be the No. 1 IT company."