Cisco Systems, Inc. (NASDAQ:CSCO) reported its results for the first quarter. Net income for the networking and communication devices company fell to $1.78 billion (33 cents per share) vs. $1.93 billion (34 cents per share) a year earlier. This is a decline of 7.9% from the year earlier quarter. Revenue rose 4.7% to $11.26 billion from the year earlier quarter. CSCO reported adjusted net income of 43 cents per share. By that measure, the company beat the mean estimate of 34 cents per share. It beat the average revenue estimate of $11.01 billion.
“We delivered a solid quarter,” said John Chambers, Cisco Chairman and CEO. “We’ve completed the majority of our restructuring and have organized Cisco to successfully execute against our strategy of providing intelligent networks, architectures and integrated products that solve customers’ business problems. Even in times of limited capital spending, intelligent networks are being deployed to drive new business, revenue and consumption models, enable new customer and employee experiences, and drive efficiencies. Cisco’s leadership in networking, video, collaboration and cloud, offered together in an integrated architectural approach, uniquely positions Cisco as a strategic business partner.”
Competitors to Watch: Hewlett-Packard Company (NYSE:HPQ), Juniper Networks, Inc. (NYSE:JNPR), Alcatel-Lucent (NYSE:ALU), Microsoft Corporation (NASDAQ:MSFT), Intl. Business Machines Corp. (NYSE:IBM), Extreme Networks, Inc (NASDAQ:EXTR), Telefonaktiebolaget LM Ericsson (NASDAQ:ERIC), Motorola Mobility Hldgs. Inc (NYSE:MMI), NetGear, Inc. (NASDAQ:NTGR), and ADTRAN, Inc. (NASDAQ:ADTN).
Computer Sciences Corporation (NYSE:CSC) also came in short of analyst estimates. Reported a loss of $2.88 billion ($18.56 per diluted share) in the quarter. The information technology services company had net income of $184 million or $1.18 per share in the year earlier quarter. Revenue rose 1% to $3.97 billion from the year earlier quarter. CSC reported adjusted earnings per share of 94 cents, beating the mean analyst estimate of 67 cents per share. It beat the average revenue estimate of $4.03 billion.
“The first half total bookings of $8.9 billion is encouraging and reflects the investment we have made in our sales organization,” said Michael W. Laphen, CSC Chairman, President and Chief Executive Officer. “I am encouraged with the direction of our commercial revenue in the quarter and although the NPS business continues to be impacted by the Federal budget uncertainty, I am comfortable with our relative position in this market. With respect to the bottom line, MSS is a turnaround story and as previously announced we have made several organization and process changes aimed at accelerating improvements.”
Competitors to Watch: Intl. Business Machines Corp. (NYSE:IBM), Hewlett-Packard Company (NYSE:HPQ), SAVVIS, Inc. (NASDAQ:SVVS), Cognizant Tech. Solutions Corp. (NASDAQ:CTSH), TeleTech Holdings, Inc. (NASDAQ:TTEC), WidePoint Corporation (AMEX:WYY), Syntel, Inc. (NASDAQ:SYNT), Rackspace Hosting, Inc. (NYSE:RAX), Unisys Corporation (NYSE:UIS), and Zanett, Inc. (NASDAQ:ZANE).