Cisco (CSCO) Q1 2026 earnings report

Cisco reported better-than-expected revenue and income for its fiscal first quarter on Wednesday. The inventory rose about 5% in prolonged buying and selling.

Here is how the corporate did as compared with consensus estimates from LSEG:

Earnings per share: $1 adjusted vs. 98 cents expectedRevenue: $14.88 billion vs. $14.77 billion anticipated

Income elevated 8% from $13.84 billion in the identical interval a yr earlier. Internet revenue climbed to $2.86 billion, or 72 cents per share, from $2.71 billion, or 68 cents per share, a yr in the past.

It is the fourth straight quarter of development for Cisco following a stretch of 4 consecutive year-over-year income declines, as the corporate contended with financial uncertainty and delayed spending from authorities businesses.

Cisco’s networking enterprise, its largest unit, noticed gross sales climb 15% to $7.77 billion. Analysts had been anticipating income for that phase of $7.47 billion, based on StreetAccount.

A lot of the development in information middle spending is concentrated on synthetic intelligence, as firms bolster their investments in servers filled with graphics processing models, primarily from Nvidia. Cisco is making an attempt to tie itself extra intently to the AI growth, and final month launched a brand new Ethernet swap primarily based on Nvidia silicon.

For the fiscal second quarter, Cisco stated it expects income of $15 billion to $15.2 billion, topping the $14.6 billion common estimate, based on LSEG. Adjusted earnings might be $1.01 to $1.03 per share, exceeding the 99-cent common estimate.

Income for the complete fiscal yr might be between $60.2 billion and $61 billion, with earnings per share of $4.08 to $4.14, Cisco stated. Analysts count on gross sales of $59.7 billion and EPS of $4.04.

Cisco shares are up 25% this yr as of Wednesday’s shut, topping the 21% achieve for the Nasdaq.

WATCH: Cisco’s product chief on AI brokers