Cisco reported earnings.
The company guided for current quarter adjusted earnings between 69 cents and 71 cents per share, short of analyst consensus estimates of 75 cents per share, and projected a 9% to 11% year-over-year drop in revenue.
Cisco, which sells networking-focused hardware, software and services, reported drops in revenue across several segments and all regions. Product revenue was down 13%, and service revenue was flat. Infrastructure Platforms revenue was down 16%, and Applications revenue was down 9%. Security revenue grew 10%.
By geographic segment, Americas revenue was down 12%, EMEA (Europe, Middle East and Africa) revenue was down 6%, and APJC (Asia-Pacific, Japan and China) revenue was down 7%.
"Throughout fiscal 2020, Cisco has demonstrated operational resilience based on our strong customer relationships, solid financial foundation, and differentiated innovation," said Cisco chairman and CEO Chuck Robbins in a statement. "As we focus on the future, we are rebalancing our R&D investments to focus on new areas so we can continue to offer customers the best, most relevant technology in simpler, more easily consumable ways."
Watch the video above to hear what has Jim Cramer calling Cisco a "sad story."
Latest Videos From TheStreet and Jim Cramer:
- Apple Looks to Take on Amazon With 'Apple One'
- Coronavirus Update: Lyft, Vroom, and 3M
- Airbnb Must Be Doing Better Than I Thought, Jim Cramer Says
- What Is a Reopening Stock?
- Jim Cramer: Football Is Uniquely Bad for COVID-19
- Microsoft Debuts Foldable Phone: Everything We Know So Far
- Jim Cramer on Tesla: Stocks Shouldn't Be Up After Stock Splits