It was an interesting year for the world’s largest networking vendor. Cisco Systems Inc. put up record revenue and earnings despite a highly volatile macro environment affected by wars, social issues, inflation, rising interest rates and the like. The company also made the biggest acquisition in its history in September when it announced the purchase of Splunk.
Networking giant Cisco Systems Inc. reported good news/bad news numbers in its fiscal first-quarter 2024 results this week, handily beating expectations but lowering its outlook. Revenue and earnings for the quarter were $14.67 billion and $1.11 per share, respectively, compared wth Street expectations of $14.61 billion and $1.03 per share. However, Cisco’s outlook was lower than expected.
If data is king of this artificial intelligence-driven world, Cisco Systems Inc. is making a play for the throne with its acquisition of Splunk Inc., long-rumored and finally announced this morning.
Cisco has been expanding from its hardware roots over the past few years, and this all-cash $28 billion acquisition will push it even further on its journey to building its business around recurring revenue.