Cisco reports Q3 revenue up 12% YoY to $15.84B, vs. $15.56B est., raises its FY 2026 AI orders forecast, and is cutting ~4,000 jobs; CSCO jumps 19%+ after hours (Jordan Novet/CNBC)
Cisco reported a 12% year-over-year increase in Q3 revenue, reaching $15.84 billion, surpassing the estimated $15.56 billion, and raised its fiscal year 2026 AI orders forecast. However, the company also announced plans to cut approximately 4,000 jobs as part of a strategic restructuring.
WPN Brief
- What Happened
Cisco reported a 12% year-over-year increase in Q3 revenue, reaching $15.84 billion, surpassing the estimated $15.56 billion, and raised its fiscal year 2026 AI orders forecast. However, the company also announced plans to cut approximately 4,000 jobs as part of a strategic restructuring.
- Why It Matters
This development is significant as it reflects Cisco's strong performance in the AI sector while also indicating a shift in its workforce strategy, potentially aimed at reallocating resources towards AI investments.
- The Bigger Picture
The broader context reveals a trend among technology companies, including Intel and Samsung, which have also reported substantial revenue increases driven by AI demand, highlighting a competitive landscape where companies are adapting to the evolving market dynamics.