Loading...
•
Apr 25, 2020
Cisco Q3 2020 Earnings Report
Cisco's Q3 2020 earnings were released, showing a decrease in revenue but growth in non-GAAP EPS.
Key Takeaways
Cisco reported Q3 revenue of $12.0 billion, a decrease of 8% year over year. GAAP EPS was $0.65, down 6% year over year, while non-GAAP EPS was $0.79, up 1% year over year. The company is focused on supporting employees, customers, and partners during the COVID-19 pandemic and driving long-term profitable growth.
Revenue decreased by 8% year over year to $12.0 billion.
GAAP EPS decreased by 6% year over year to $0.65.
Non-GAAP EPS increased by 1% year over year to $0.79.
Cisco is focused on supporting stakeholders during the COVID-19 pandemic and driving digital transformation.
Revenue by Geographic Location
Forward Guidance
Cisco expects revenue to decline by 8.5% to 11.5% year over year in Q4 2020. Non-GAAP EPS is expected to be between $0.72 and $0.74.
Positive Outlook
- Non-GAAP gross margin rate is expected to be 64% - 65%.
- Non-GAAP operating margin rate is expected to be 31.5% - 32.5%.
- Non-GAAP tax provision rate is expected to be 20%.
- Non-GAAP EPS is expected to be $0.72 - $0.74.
- Continued support of employees, customers, partners and communities, while positioning Cisco for the future.
Challenges Ahead
- Revenue is expected to decline by (8.5)% - (11.5)% Y/Y.
- business and economic conditions and growth trends in the networking industry, our customer markets and various geographic regions
- global economic conditions and uncertainties in the geopolitical environment
- overall information technology spending
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...