Cisco's quarterly profit, sales plunge but beat estimates

Cisco Systems Inc. on Wednesday posted drops of profit and sales in its most recent quarter, which however both beat analysts' estimates.

In Cisco's fiscal 2010 first quarter ended on Oct. 24, the company's net income was 1.8 billion U.S. dollars or 30 cents per share, down 19 percent compared with 2.2. billion dollars or 37 cents per share in the same period a year earlier.

Excluding stock compensation and other costs, Cisco earned 36 cents per share in the quarter. Analysts had estimated 31 cents per share.

Revenue for the world's largest networking equipment maker fell13 percent to 9 billion dollars from the year-ago quarter, also topping analysts' expectations.

The latest quarterly results "continued to reflect strong sequential growth trends that meet or exceed expectations during normal economic times" after the company passed a "clear tipping point" in the previous quarter, Cisco's chief executive officer John Chambers noted in a statement.

Source:Xinhua