CSCO Latest Report

Cisco's (CSCO) total operating revenue in January 2025 was $13.991 billion. Although this data reflects the company's sales performance, when combined with other information, Cisco's year-on-year growth rate of total operating revenue is negative, specifically -5.64%. This indicates that despite the current total operating revenue figure looking strong, it actually shows a downward trend compared to the same period last year.

Key Financial Data

1. Cisco's total operating revenue was $13.991 billion, but it decreased by 5.64% year-on-year.

2. The net profit attributable to parent was $2.711 billion, down 25.48% year-on-year.

3. Cisco expects revenue for the first quarter of 2025 to be between $13.65 billion and $13.85 billion.

4. The non-GAAP gross margin is expected to be between 67% and 68%, the non-GAAP operating margin is expected to be between 32% and 33%, and the non-GAAP earnings per share is expected to be between $0.86 and $0.88.

5. Cisco's overall revenue in 2024 was $53.8 billion, down 6% year-on-year.

Peer Comparison

1. Industry-wide analysis: The overall revenue of the networking and communication equipment industry has benefited from the growth of digital transformation and remote work demand, but Cisco faces increased competition, with other competitors such as Huawei, Alcatel-Lucent actively expanding the market, resulting in a trend of overall revenue growth in the industry, with Cisco's performance appearing relatively weak.

2. Peer evaluation analysis: Although Cisco has a strong brand influence and market share in the market, its negative revenue growth indicates the challenges it faces in the competitive market environment. Continuous product innovation and customer service capabilities help maintain its market position, but fail to effectively stop the decline in revenue.

Summary

Although Cisco's total operating revenue appears stable in numbers, the fact that it is down year-on-year shows the pressure and challenges it faces in the market competition. Digital transformation, remote work solutions, and the overall industry growth failed to bring the expected revenue growth for Cisco, but instead, resulted in a double decline in operating revenue and net profit in a competitive environment.

Opportunities

1. Increase investment in AI, cloud computing, and cybersecurity to enhance market competitiveness.

2. Meet the needs of digital transformation and remote work through continuous product innovation, attracting new customer groups.

3. Expand cooperation with small and medium-sized enterprises to develop new revenue sources to offset the current decline in performance.

Risks

1. Increased competition in the industry may lead to further declines in market share.

2. Uncertainty in the global economic recovery may affect future sales growth.

3. The clearing of a large backlog of orders in the first quarter of 2025 may not be repeated, affecting short-term revenue performance.