Cisco Systems reported quarterly earnings and revenue that topped analysts’ expectations on Tuesday.
I’d characterize the last quarter as a very solid quarter in what is clearly a tough market,” Chambers said on CNBC, noting that the company’s 6-percent revenue growth and earnings growing twice as fast as revenue while many peers struggled.
After the earnings announcement, the company’s shares (CSCO) rose more than 1 percent in trading after the closing bell.
Net income rose 18 percent to $2.1 billion in the fiscal first quarter, or 39 cents per share, from $1.8 billion, or 33 cents a share, a year earlier.
Excluding one-time items, the company’s earnings rose to $2.6 billion, or 48 cents per share, from $2.3 billion, or 43 cents, a share in the year-earlier period.
Revenue increased 6 percent to $11.88 billion from $11.26 billion a year ago.
Analysts had expected the company to report earnings excluding items of 46 cents a share on $11.77 billion in revenue, according to a consensus estimate from Thomson Reuters.
Following the release, RBC Capital Markets Analyst Mark Sue said, “Those numbers are not that bad considering it’s been a pretty tough environment.”
The 2-cent earnings beat shows the company is operating better, Sue told CNBC’s “Closing Bell.”
“What’s more important is whether Cisco can convince investors that it can compete in an environment that’s becoming increasingly software centric,” the analyst said.