SAN JOSE, Calif. ( TheStreet) -- Cisco (CSCO) reported its third-quarter results after market close on Wednesday. The networking giant eased past Wall Street's estimates, but saw its shares slump on weak guidance.
The switch maker brought in revenue of $11.59 billion, up from $10.87 billion in the prior year's quarter, just above average analysts' estimate of $11.58 billion.
|Cisco CEO John Chambers.|
Excluding items, Cisco earned 48 cents a share, compared to 42 cents a share in the same period last year. Analysts surveyed by Thomson Reuters were looking for earnings of 47 cents a share.Wall Street had been expecting another decent quarter from the rejuvenated networker, particularly after underwhelming numbers from rivals Juniper (JNPR) and Alcatel-Lucent (ALU). Cisco shares, however, tanked in extended trading after the San Jose, Calif.-based firm forecast year-over-year fourth-quarter revenue growth of 2% to 5%. Wall Street expected sales growth of 7% compared to the prior year's quarter. Speaking during a conference call after market close, Cisco CEO John Chambers cited Europe, the public sector and India as areas of concern. Southern Europe's economic problems, he noted, have spread to northern Europe. The company's stock plunged $1.54, or 8.2%, to $17.24 in extended trading. --Written by James Rogers and Chris Ciaccia in New York. >To follow the writers on Twitter, go to http://twitter.com/jamesjrogers and http://twitter.com/commodity_bull. >To submit a news tip, send an email to: email@example.com. Check out our new tech blog, Tech Trends. Follow TheStreet Tech on your wireless devices.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV