Cisco: quarterly growth forecasts are reassuring – 08/18/2022 at 11:35

(AOF) – Cisco unveiled better than expected prospects last night thanks to the resorption of some of the supply problems. These had forced him to issue a warning in May. In the fourth quarter, ended at the end of July, of the fiscal year 2022, the net profit of the specialist in network equipment fell by 6% to 2.8 billion dollars, or 68 cents per share. Adjusted earnings per share came in at 83 cents, beating consensus by 1 cent.

For its part, the turnover of Cisco is stable at 13.1 billion dollars but the market was targeting 12.7 billion dollars.

Over the year, revenues are expected to increase by 5% on average and adjusted earnings per share are expected to be between $3.49 and $3.56. The market is expecting earnings per share of $3.54.

For the first quarter alone, the American technology group is targeting adjusted earnings per share of between 82 cents and 84 cents (consensus: 84 cents) and sales growth of 2% to 4%. Wall Street anticipates broadly stable earnings.


The Threat of Open Technology, RAN

Equipment manufacturers will have to face this threat in the next few years. This new architecture consists in replacing the traditional antennas by software allowing more interoperability thanks to the cloud. Telecom operators will thus be able to reinforce innovation and increase their choice of suppliers. They will also be able to have access to more services and flexibility for network deployment and management costs which should decrease. For the moment, none of the major operators has switched to this new technology. Nevertheless, the freedom of choice of suppliers is a decisive element, underlined by the decision of Europe and the United States to sanction the Chinese Huawei for national security reasons.

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