Cisco Systems has revealed an improved second quarter profit of net income of $3.1 billion, or 62 cents per share, and $15 billion in new buybacks which led to its shares jumping higher after market.
The networking giant’s non-GAAP revenue was $11.8 billion, or 57 cents per share, representing an increase of up to 2 per cent year-over-year and surpassing Wall Street’s earnings estimate of 54 cents per share, with $11.76 billion in revenue.
For the current quarter, Wall Street is looking for non-GAAP earnings of 55 cents per share, with a revenue of $12.02 billion.
Cisco also said in its guidance that it expects a 1 per cent to 14 per cent growth in revenue year-over-year, and forecasts earnings per share of 54 to 56 cents, which even falls in line with analyst estimates.
During the quarter, Cisco has closed a number of acquisitions in the video, data analytics, and security services arena. It has also recently bought Internet of Things firm Jasper Technologies for $1.4 billion
"We're managing the company on two fronts," Cisco CEO Chuck Robbins said. "We're focused on continued strong execution in the near term while investing in the innovation to lead our customers into the future."