Cisco Reports Strong Q2 Earnings Amid Rising Demand

Cisco ( (CSCO) ) has released its Q2 earnings. Here is a breakdown of the information Cisco presented to its investors.

Cisco Systems, Inc., a global technology leader specializing in networking and cybersecurity solutions, has reported robust second quarter earnings for fiscal year 2025, highlighting its continued growth and demand for its innovative technologies. In its latest earnings report, Cisco announced a 9% year-over-year increase in revenue, reaching $14.0 billion, surpassing the high end of its guidance range. The company also reported a non-GAAP earnings per share (EPS) of $0.94, an 8% increase from the previous year, while the GAAP EPS decreased by 6% to $0.61. Additionally, Cisco has increased its quarterly dividend by 3% to $0.41 per share and authorized an additional $15 billion for stock repurchases. Key highlights from Cisco’s financial performance include a 29% increase in product orders year-over-year, with significant contributions from its AI infrastructure, which recorded orders of over $350 million in the quarter. The company also reported strong growth in its Security and Observability segments, with revenues up 117% and 47%, respectively. Despite a decline in GAAP net income by 8% to $2.4 billion, Cisco’s non-GAAP net income rose by 6% to $3.8 billion. Looking forward, Cisco’s management remains optimistic, projecting third quarter revenue between $13.9 billion and $14.1 billion and a non-GAAP EPS of $0.90 to $0.92. The company continues to focus on scaling its network infrastructure and enhancing AI security solutions to meet the evolving needs of its customers, positioning itself for sustained growth in the coming quarters.