Cisco Systems Inc. (CSCO) reported first-quarter fiscal year 2019 earnings Wednesday after the closing bell that beat expectations on both the top and bottom lines.
The stock was rising almost 5% in early trading Thursday, to $46.50 a share. Cisco fell 1.75% in regular trading on Wednesday in a rough day for equities, but for popping on the earnings print.
Earnings came in at an adjusted 75 cents per share, on revenue of $13.1 billion. Net income was $3.5 billion. Wall Street analysts had expected adjusted earnings of 71 cents per share on revenue of $12.89 billion.
"We had a strong start to fiscal 2019 and we believe our opportunity has never been greater," said Chairman and CEO Chuck Robbins in a press release. "Our strategy is working and we are well positioned with our growing and differentiated portfolio across multiple domains to bring our customers a more secure, automated and simple IT infrastructure."
Jeff Marks, Senior Portfolio Analyst for Jim Cramer's Action Alerts Plus portfolio, which owns Cisco, noted that "Cisco announced great fiscal first quarter results, accelerating top line growth -- a rarity for a company of its size -- and delivering double digits earnings growth."
While revenue in Cisco's America's segment grew only 5% year-over-year, the company saw 12% revenue growth in its Emerging Markets, Europe and Africa segment.
Cisco also posted guidance for its second-quarter fiscal year 2019. Management expects a range of 5% to 7% revenue growth year-over-year for the quarter. Adjusted earnings-per-share is expected to be a range of 71 cents to 73 cents.