Cisco Systems, Inc. Earnings Recaps
Q4 2026
Aug 14, 2026
Shares fell 5.8% as investors reacted negatively to cautious forward guidance and margin pressure despite record revenue and strong demand growth, signaling concerns over sustainability and profitability challenges in the evolving AI cycle.
Key takeaways
- Q4 revenue hit a record $17.3 billion, up 18% YoY, with product revenue growth of 24%.
- Product orders increased sharply, led by hyperscalers with triple-digit growth, bringing AI infrastructure orders to $9.3 billion for FY26 (4.5x FY25).
- Networking product orders grew 40%, supported by broad-based demand across categories and geographies.
- Despite strong top-line growth and operating leverage yielding 23% non-GAAP EPS growth in Q4, margins showed signs of compression, raising investor caution.
- Guidance for FY27 was tempered, with management not providing explicit outlook commentary during the call, contributing to market disappointment.
Q3 2026
May 15, 2026
Cisco shares rallied 16.4% following Q3 results driven by significant upside in product orders and AI infrastructure demand, with broad-based growth across networking and hyperscaler segments clearly outperforming expectations.
Key takeaways
- Q3 revenue reached a record $15.8 billion, up 12% year-over-year, fueled by 17% growth in product revenue.
- Total product orders surged 35% year-over-year; excluding hyperscalers, orders still rose 19%, indicating strong underlying demand.
- AI infrastructure orders from hyperscalers hit $1.9 billion in Q3, with FY26 full-year expectations raised to ~$9 billion, 4.5x FY25.
- Networking products grew over 50%, led by triple-digit service provider routing and continued double-digit gains in campus switching, wireless (40%+ growth), and enterprise data center switching.
- Acacia optics business delivered its strongest quarter with over $1 billion in orders, positioning Cisco as a market leader in coherent pluggable optics.
Q2 2026
Feb 12, 2026
Cisco reported robust Q2 Fiscal Year 2026 results, with double-digit revenue and EPS growth driven by strong demand for AI infrastructure and networking solutions. The company is well-positioned for further growth, returning $3 billion in capital and increasing its dividend.
Key takeaways
- Q2 revenue increased 10% year-over-year, surpassing guidance, while product revenue grew 14%.
- Non-GAAP EPS rose 11%, outpacing revenue growth, reflecting strong operational efficiency.
- Total product orders surged 18% year-over-year, highlighting broad-based demand across sectors, including a 65% increase from service providers and cloud customers.
- Strong momentum in AI infrastructure orders with $2.1 billion booked in Q2, equaling FY '25 total orders.
- Continued innovation in Silicon One technology, including the launch of a 102.4 terabit per second chip, further strengthens Cisco's competitive edge in the market.