Cisco, a leading technology firm, reported a decline in its financial performance for the quarter ended April 27, 2024. The company's revenue fell by 13% year-over-year to $12.702 billion, with a notable decrease in product revenue by 19%. Service revenue, however, saw a 6% increase. The gross margin percentage improved slightly to 65.1%, up from 63.4% in the previous year. Operating income as a percentage of revenue suffered a significant drop of 9.9 percentage points, resulting in a 41% decrease in net income to $1.886 billion. Diluted earnings per share also declined by 41% to $0.46. Cisco's business development was marked by the acquisition of Splunk, contributing $413 million to the total revenue. The acquisition also influenced product revenue growth in Security by 36% and Observability by 27%. Despite the financial downturn...Show More

Cisco, a leading technology firm, reported a decline in its financial performance for the quarter ended April 27, 2024. The company's revenue fell by 13% year-over-year to $12.702 billion, with a notable decrease in product revenue by 19%. Service revenue, however, saw a 6% increase. The gross margin percentage improved slightly to 65.1%, up from 63.4% in the previous year. Operating income as a percentage of revenue suffered a significant drop of 9.9 percentage points, resulting in a 41% decrease in net income to $1.886 billion. Diluted earnings per share also declined by 41% to $0.46. Cisco's business development was marked by the acquisition of Splunk, contributing $413 million to the total revenue. The acquisition also influenced product revenue growth in Security by 36% and Observability by 27%. Despite the financial downturn, Cisco remains committed to innovation and strategic investments, aiming to drive profitable growth over the long term. The company's future plans include securely connecting everything, enhancing customer experience through innovation, solutions, choice, and people, and addressing the challenges of a dynamic environment by focusing on infrastructure transformation, enterprise security, hybrid work, application reimagining, and sustainability.