Cisco beats on earnings, says AI infrastructure revenue will double this fiscal year

Cisco reported fiscal first-quarter earnings that topped estimates.

The Details

The computer networking company is trying to become a bigger player in AI after missing out on the early years of the boom.

The stock is up 35% this year, trouncing the Nasdaq, which is up about 9%.

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Cisco CEO Chuck Robbins appears at the World Economic Forum in Davos, Switzerland, on Jan. 21, 2026.

Krisztian Bocsi | Bloomberg | Getty Images

Cisco shares rose in extended trading on Thursday after the maker of networking gear reported better-than-expected fiscal first-quarter results.

• Here's how the company did compared to LSEG consensus estimates:
• EPS:
• $1.40 adjusted vs. $1.33 expected
• Revenue:

$18.5 billion vs. $18.1 billion expected.

Revenue increased 24% from $14.88 billion a year earlier, Cisco said in a statement. Net income rose to $4.6 billion, or $1.14 per share, from $2.9 billion, or 72 center per share, a year ago.

Cisco is trying to gain a foothold in the artificial intelligence buildout after missing out on the early years of the generative AI boom. The company's stock price is up about 35% this year as of Thursday's close, trouncing the Nasdaq, which has gained 9% over that stretch.

Cisco raised its expectation for AI infrastructure revenue from hyperscalers to $9 billion this fiscal year, more than double the figure in fiscal 2026.

"Organizations are turning to Cisco for our trusted, market-defining technology and our expertise to help them scale, secure and optimize their environments for the agentic AI era," CEO Chuck Robbins said in the statement.

For the fiscal second quarter, Cisco said it expects revenue of between $18 billion and $18.2 billion, topping the average analyst estimate of $17.88 billion, according to LSEG. The company is projecting adjusted earnings per share of $1.34 to $1.36, beating the $1.23 average estimate.

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