From AI Orders to Shareholder Returns: Cisco (Nasdaq: CSCO) Beats Big on Top/Bottom Line

The stock is trending following third quarter results and is currently trading at $116.12 +14.25 (+13.99%).

Cisco Systems reported third quarter results for the period ended April 25, 2026. Cisco reported third quarter revenue of $15.8 billion, net income on a generally accepted accounting principles (GAAP) basis of $3.4 billion or $0.85 per share, and non-GAAP net income of $4.2 billion or $1.06 per share.

"Cisco delivered record quarterly revenue in Q3 and we saw very strong, broad-based demand for our products, demonstrating the relevance of our technology for connecting and securing AI," said Chuck Robbins, chair and CEO of Cisco. "Cisco is well-positioned as the critical infrastructure for the AI era, building on our technology leadership and customer trust, while innovating at the speed and scale that our dynamic world demands."

"In Q3, we once again delivered double-digit growth on both the top and bottom lines which exceeded the high end of our guidance, coupled with record non-GAAP operating income," said Mark Patterson, CFO of Cisco. "Our record results demonstrate great execution and financial discipline by our teams, enabling us to deliver shareholder value while we pursue the significant opportunities we see ahead."

News Summary:

• Double-digit top and bottom-line growth exceeding the high end of our guidance
• Record revenue of $15.8 billion, up 12% year over year; GAAP EPS of $0.85, up 37% year over year; and non-GAAP EPS of $1.06, up 10% year over year
• GAAP gross margin of 63.6% and non-GAAP gross margin of 66.0%; GAAP operating margin of 25.0% and non-GAAP operating margin of 34.2%, demonstrating strong execution and operational efficiencies
• Broad-based, record high demand for Cisco technology
• Total product orders up 35% year over year; up 19% excluding hyperscalers
• Growth in networking product orders accelerated to more than 50% year over year
• Significant momentum and raised expectations for AI infrastructure from hyperscalers
• $5.3 billion of orders taken year to date; raising expected FY26 orders to $9 billion, up from $5 billion
• Raising expected FY26 revenue to $4 billion, up from $3 billion
• Major multi-year, multi-billion-dollar campus networking refresh cycle underway
• Campus networking orders grew greater than 25% year over year, with the next-generation portfolio ramping faster than prior product launches
• Data center switching orders grew greater than 40% year over year

Q3 FY 2026 Results:

• Revenue: $15.8 billion, up 12% year over year
• Earnings per Share: GAAP: $0.85 (up 37% year over year); Non-GAAP: $1.06 (up 10% year over year)

Q4 FY 2026 Guidance:

• Revenue: $16.7 billion to $16.9 billion
• Earnings per Share: GAAP: $0.80 to $0.85; Non-GAAP: $1.16 to $1.18

FY 2026 Guidance:

• Revenue: $62.8 billion to $63.0 billion
• Earnings per Share: GAAP: $3.16 to $3.21; Non-GAAP: $4.27 to $4.29

Full news

https://newsroom.cisco.com/c/r/newsroom/en/us/a/y2026/m05/cisco-reports-third-quarter-earnings.html

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