Cisco can look forward to satisfied investors after a surprisingly good quarter. Thanks to fewer problems in the supply chains, the network manufacturer is exceeding expectations.
The US network equipment supplier Cisco did surprisingly well in the most recent business quarter thanks to easing global supply chain problems and issued a confident sales forecast. In the three months to the end of October, revenue rose six percent year-on-year to $13.6 billion, Cisco said on Wednesday after the US stock market closed. Operating profit rose 3 percent to $3.5 billion.
With that, Cisco beat Wall Street’s expectations. For the current financial year as a whole, the group forecast sales growth of between 4.5 and 6.5 percent. The stock initially responded after hours with a price jump of five percent. Cisco primarily produces so-called routers and switches for Internet and data traffic. The group also offers the Webex video conferencing service and is thus benefiting from the home office trend.
