Cisco Shares Hit New High as Network Equipment Provider Ups Long-Term Forecast

Shares of Cisco Systems jumped to a six-year high today after the network equipment maker reported strong earnings growth for its fiscal fourth quarter and raised its long-term growth forecast.

Cisco reported fourth quarter net sales of $9.4 billion, net income on a generally accepted accounting principles (GAAP) basis of $1.9 billion or $0.31 per share, and non-GAAP net income of $2.3 billion or $0.36 per share.

“Cisco delivered another record quarter with great execution across the company,” said John Chambers, Chairman and CEO, Cisco. “Again, the performance was based on our balanced approach across products, services, geographies and customer segments and our ability to catch and execute on key market transitions.

“As we turn our attention to the next fiscal year, we believe that we are headed into a new era in networking that we define as the second phase of the Internet. We expect that this phase will be driven by collaboration and Web 2.0 technologies and will become an increasingly influential market trend for businesses.

Collaboration has already transformed almost every area of our business internally, resulting in the potential for dramatic gains in productivity and efficiency. We believe this new model will help enable Cisco to identify, target and capture market opportunities more effectively than at any other time in our history.”