Live: Will Cisco (CSCO) Pop After Tonight’s Earnings?

Cisco’s earnings call started at 4:30 ET, we’ll post notes on this live blog.

“AI Infrastructure orders taken from webscale customers exceeded $800 million, bringing the FY 2025 total to over $2 billion, more than double the original $1 billion target.”

Expect far more discussion on this during the company’s conference call, but definitely a bright spot for the quarter.

As of 4:20 p.m. ET, shares are down 2.7%.

As we noted earlier, full-year guidance for next Fiscal Year’s revenue is likely weighing on shares.

Here’s the guidance sections from Cisco’s press release.

Here’s what’s important. Guidance for next quarter is above expectations on the revenue side but looks lighter on GAAP EPS.

Guidance

Cisco estimates the following results for the first quarter of fiscal 2026:

Margin and EPS guidance includes the estimated impact of tariffs based on current trade policy.

Cisco estimates that GAAP EPS will be $0.63 to $0.68 for the first quarter of fiscal 2026. Fiscal 2026 revenue midpoint is slightly below Wall Street expectations of $59.55 billion.

That’s likely what’s dragging the stock lower after hours.

Cisco estimates the following results for fiscal 2026:

Margin and EPS guidance includes the estimated impact of tariffs based on current trade policy.

Cisco estimates that GAAP EPS will be $2.79 to $2.91 for fiscal 2026.

Our Q1 FY 2026 and FY 2026 guidance assumes an effective tax provision rate of approximately 18% for GAAP and approximately 19% for non-GAAP results.

CISCO | Cisco Systems Q4’25 Earnings Highlights:

• Adj. EPS: $0.99 []
• Revenue: $14.7B (Est. $14.7B) []
• Comparable Sales:
• Adj. Gross Margin: 68.4% []
• Net Income: $2.8B [
• Operating Income: $3.4B []
• Operating Cash Flow: $4.2B

Outlook:

• Revenue: $14.65B – $14.85B []
  • Guidance reflects continued strong demand across all geographies.
  • Expectations for AI infrastructure orders to remain robust, contributing to growth.

Q4 Segment Performance:

• Americas Revenue: $8.8B (Est. $8.8B) []; [UP] +9% YoY
• EMEA Revenue: $3.6B (Est. $3.6B) []; [UP] +4% YoY
• APJC Revenue: $2.2B (Est. $2.2B) []; [UP] +7% YoY
• Product Revenue: $10.9B (Est. $10.9B) []; [UP] +10% YoY
• Services Revenue: $3.8B (Est. $3.8B) []; [FLAT] 0% YoY

Other Key Q4 Metrics:

• Adj. Operating Income: $5.0B (Est. $5.0B) []; [UP] +13% YoY
• Adj. Operating Expenses: $5.0B (Est. $5.0B) []; [UP] +4% YoY
• R&D Expenses: $2.4B; [UP] +9% YoY
• Effective Tax Rate: 15.8% (vs. 9.8% YoY)
• Free Cash Flow: $14.2B; [UP] +30% YoY
• Remaining Performance Obligations: $43.5B; [UP] +6% YoY
• Deferred Revenue: $28.8B; [UP] +1% YoY

CEO Commentary:

• Chuck Robbins: “We delivered a strong close to fiscal 2025, driven by our accelerated innovation and solid execution. The AI infrastructure orders we received from webscale customers in fiscal 2025 were more than double our original target, indicating a massive opportunity ahead as we lead the required architectural shift and build the critical infrastructure needed for the AI era.”

CFO Commentary:

• Mark Patterson: “In Q4, revenue, gross margin and operating margin were at the high end of our guidance ranges, earnings per share was above the guidance range and we delivered solid operating cash flow. As we enter fiscal 2026, we remain focused on making strategic investments in innovation, driving durable, profitable growth and delivering shareholder value.”

The initial reaction to Cisco’s results is a 2% drop – we’re digging into guidance and will post a detailed earnings summary next.

EPS of $.99 barely beats expectations.

Revenue of $14.67 billion also slightly ahead of expetations of $14.62.

The market has closed and we’re on the lookout for Cisco earnings. As soon as they’re released we’ll be updating this live blog.

It’s almost time for Cisco’s Fiscal Q4 earnings. A few helpful reminders before they’re announced:

1. This earnings blog will provide updates automatically. If you simply leave this page open, new updates should appear as they’re published.
2. We expect Cisco’s earnings very short after the bell. Probably by around 4:05 p.m. ET. The moment the earnigns go live we’ll begin providing analysis. We expect 5 to 10 updates reacting to share price movements and highlighting key figures from Cisco’s earnings report in the half hour after their earnings hit the newswires.

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Cisco has beat EPS estimates for four straight quarters, but stock reactions have been mixed — muted or slightly negative near-term, with a stronger follow-through 7–14 days later.