Anna Savelieva | 02/10/2021
With the shift to telecommuting, corporate customers are spending less money on network infrastructure products for offices. The company’s shares began to fall.
Despite the fact that the company’s shares rose 8% last week, after the publication of the report, the stock prices fell 4%. As noted by Cisco CFO Richard Herren, division
infrastructure platforms were hit hard by the COVID-19 pandemic, with sales in that segment falling 3% in the quarter.
The company’s total revenue fell to $ 11.96 billion in the second quarter ended January 23, up from $ 12.01 billion last year in the same period. However, analysts expected
that the figures will reach $ 11.92 billion.
Despite the backlash from the move to teleworking, the same trend has driven demand for the Webex video conferencing platform, AnyConnect VPN, and cybersecurity products. So
Thus, the services direction showed an increase in revenue by 2% to $ 3.39 billion.
Cisco said it expects third-quarter revenue to increase from 3.5% to 5.5%, which is in the $ 12.4 billion to $ 12.64 billion range, while analysts are forecasting $ 12.35.