Cisco's Earnings Report Highlights AI Strength, Boosting Stock Price

TradingKey - Driven by the rise of artificial intelligence, networking giant Cisco Systems demonstrated strong growth momentum in its third-quarter earnings report for fiscal year 2025.

The report indicated that the company's revenue reached $14.1 billion, a year-on-increase of 11%, higher than the market expectation of $14 billion; adjusted earnings per share were 96 cents, which marked a 9% increase from a year earlier and exceeded the consensus view of 92 cents.

Behind these impressive results, demand for AI-related products emerged as a core driver. In this quarter, AI infrastructure orders from enterprise customers exceeded $600 million, achieving 60% of the annual target of $1 billion one quarter ahead of schedule, the market's recognition of its AI strategy. 

Cisco's CEO Chuck Robbins stated in the earnings release, “The momentum we are seeing with AI is fueled by the power of our secure networking portfolio, our trusted global partnerships and the value we bring to our customers.”

After the report was released, the company's stock price rose nearly 3% in after-hours trading.

The company also provided an optimistic outlook, expecting revenue for the July quarter to be between $14.5 and $14.7 billion for the July quarter, and full-year revenue of between $56.5 billion and $56.7 billion, higher than the market.