Overview
- Cisco reported stronger‑than‑expected fiscal Q1 results on Nov. 12, with adjusted EPS of $1.40 and revenue of about $18.5 billion, driven by a 24% year‑over‑year revenue jump.
- Management raised full‑year FY27 guidance to $74.8 billion–$75.8 billion in revenue and $5.47–$5.53 in non‑GAAP EPS after securing an expected $9 billion in AI infrastructure revenue from hyperscalers.
- Networking products were the engine of the quarter, with networking revenue up roughly 43% and total product revenue up 32% while services grew only about 1%.
- Cisco returned $3.7 billion to shareholders in the quarter and retains about $6.1 billion of buyback authorization, even as gross margin eased because of higher component costs such as memory chips.
- The company’s upgraded outlook concentrates risk in a small set of hyperscaler customers and in the timing of their AI data‑center spending, so Q2 performance will be the immediate proof point for the raised targets.