Cisco reported second quarter net sales of $9.8 billion, net income on a generally accepted accounting principles (GAAP) basis of $1.9 billion or $0.32 per share, and non-GAAP net income of $2.3 billion or $0.40 per share.
"Our outstanding Q2 results exceeded our expectations and we believe they provide a clear indication that we are entering the second phase of the economic recovery. During the quarter we saw dramatic across the board acceleration and sequential improvement in our business in almost all areas," said John Chambers, chairman and chief executive officer, Cisco.
Some highlights of the quarterly report:
- Cash flows from operations were $2.5 billion for the second quarter of fiscal 2010, compared with $1.5 billion for the first quarter of fiscal 2010, and compared with $3.2 billion for the second quarter of fiscal 2009.
- Cash and cash equivalents and investments have reached $39.6 billion. This compares with $35.4 billion at the end of the preceding quarter.
- Cisco ended the quarter with 65,874 employees, up from 63,756 three months earlier
- During the quarter, the company repurchased $1.5 billion in stock
- Service revenue up approx. 6% y/y
- New organizational structure is operating very effectively
- U.S. orders up approx. 17% y/y, including Enterprise up approx. 10% y/y, Public sector up 2% y/y, Commercial up in mid teens y/y, and Service provider up low twenties y/y.
- Switching revenue up approx. 13% y/y
- Routing revenue up 2% y/y
