Feeds

Cisco misses the Street

UK and Europe blamed

Boost IT visibility and business value

Cisco shares in Frankfurt are down almost three per cent this morning after the router giant posted disappointing quarterly results late last night.

For the first quarter of 2006, ended 29 October 2005, Cisco made sales of $6.5bn, compared with $6.0bn for the first fiscal quarter of 2005 and $6.6bn in the fourth quarter of 2005.

Net income in the period was $1.3bn compared with $1.1bn in the first quarter of 2005. This figure was hit by stock option expenses of $228m.

Cisco's president and CEO, John Chambers, said: "Q1 was a solid quarter for Cisco, with balanced execution across most of our geographies, market segments and product categories."

Despite this analysts and the markets were disappointed with Cisco's prediction that growth in the next quarter will be between eight and nine per cent not the 11 per cent they had been expecting. Chambers said poor sales in Europe, and especially the UK, weakened performance.

Cisco's stock repurchase program continues - during the period it bought 194m shares at an average price of $18.03 - a total of $3.5bn.

There's a Q&A with president and CEO John Chambers and CFO Dennis Powell available here. ®

Boost IT visibility and business value

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.