Cisco Systems Q2 Results Top Wall Street

(RTTNews) - Cisco Systems Inc. (CSCO) Wednesday reported a second-quarter profit that increased from last year. Earnings and revenues for the quarter trumped Wall Street analysts estimates.

The San Jose, California-based networking-equipment maker reported second-quarter profit of $2.88 billion or $0.68 per share, compared to last year's profit of $2.82 billion or $0.63 per share.

Adjusted earnings for the quarter were $3.3 billion or $0.77 per share. On average, 24 analysts polled by Thomson Reuters expected earnings of $0.76 per share. Analysts' estimates typically exclude special items.

Revenues for the quarter slipped 3.2% to $12.01 billion from $12.45 billion last year. Analysts had a consensus revenue estimate of $11.98 billion for the quarter.

"We executed well this quarter by delivering strong margins and EPS growth while driving more software and subscriptions," said Kelly Kramer, CFO of Cisco. "Our increased dividend shows confidence in the strength of our ongoing cash flows and demonstrates our commitment to shareholder return."

Looking forward to the third quarter, Cisco expects adjusted earnings of $0.79 to $0.81 per share with revenues to decline 1.5% to 3.5%. Analysts currently expect earnings of $0.80 per share.

CSCO closed Wednesday trading at $49.93, up $0.80 or 1.63%, on the Nasdaq. The stock, however dropped $0.48 or 0.96% in the after-hours trading.