Revenues fell 4% YoY in fiscal 4Q17
US-based (SPY) hardware tech (QQQ) giant Cisco Systems (CSCO) announced its fiscal 4Q17[1. fiscal 4Q17 ended July 29, 2017] results on August 16, 2017. Cisco reported revenues of $12.1 billion in fiscal 4Q17, a fall of 4% YoY (year-over-year). Its non-GAAP[2. generally accepted accounting principles] earnings per share (or EPS) totaled $0.61, a fall of 3% YoY.
In fiscal 2017, Cisco Systems’ revenues fell 2% YoY to $48.0 billion, and its EPS rose 1% YoY to ~$2.4 billion. Analysts expected Cisco to post revenues of ~$12.1 billion with EPS of $0.61 in fiscal 4Q17.
Cisco’s Product segment’s revenues fell 5.5% in fiscal 4Q17 to ~$9.0 billion. Its Services segment’s revenues for the quarter rose 0.64% to ~$3.1 billion. Recurring revenues accounted for 31% of the company’s total revenues and rose 4% YoY in fiscal 4Q17.
Negative impacts on Cisco’s fiscal 4Q17 revenues
As shown in the chart above, Cisco’s Wireless, Security, and Other Products business segments rose 5%, 3%, and 31%, respectively, to drive the company’s revenues in fiscal 4Q17. In comparison, revenues in the Switches, NGN Routing, Collaboration, Data Center, and Service Provider Video segments fell 9%, 9%, 3%, 4%, and 10%, respectively, in fiscal 4Q17.
In the next few articles, we’ll take a detailed look at the performance of Cisco’s business segments.