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Cisco Systems Inc. reported a strong fiscal first-quarter performance for FY2027, with revenue hitting $18.5 billion and adjusted earnings rising to $1.40 per share.
Cisco Systems Inc., the networking giant, delivered stronger-than-expected results in its Q1 FY2027 report, showcasing robust growth driven by AI data-center demand. Revenue reached $18.5 billion for the quarter, a 24% increase from $14.9 billion in the same period last year. Adjusted earnings per share climbed to $1.40, up 40% compared to Q1 FY2026’s $1.32.
The company also raised its full-year revenue and earnings forecasts for 2027, citing heightened demand for AI infrastructure as a key factor in the growth trajectory. Networking revenue surged by 43%, reaching $11.1 billion, with AI-driven data-center sales playing a central role. Cisco’s updated forecast now projects $9 billion in AI infrastructure revenue for FY2027—double its previous year's figure.
The revised guidance has sent investors’ confidence soaring and may influence broader market sentiment toward tech stocks focused on emerging technologies like artificial intelligence. However, the long-term success of this strategy will depend heavily on sustained demand for data-center equipment amid evolving macroeconomic conditions.
Cisco plans to release its second-quarter 2027 revenue and earnings guidance in the coming weeks, with continued emphasis on AI infrastructure growth as a key driver.
Cisco’s strong Q1 results underscore its leadership in AI-driven networking but highlight ongoing uncertainty about competitive responses and macroeconomic factors affecting capital spending.
Topics: Technology News, Financial Markets, Cisco Systems Inc., AI Infrastructure Trends, Network Equipment Sales
#AIInfrastructure #NetworkingGrowth #CiscoEarnings #DataCenterDemand #TechStocks
Source: ET Markets
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