Cisco CEO Chuck Robbins credited measures to mitigate supply chain issues over several months as a factor in delivering its highest quarterly revenue during its fiscal Q3 2023, which ended on 29 April.
On its earnings call, Robins noted the measures had helped offset inflationary pressures. Cisco increasingly focusses on recurring revenue rather than relying solely on hardware sales, which was reflected in fiscal Q3 figures.
Robbins highlighted pushes in security and generative AI as likely drivers of long-term growth, teasing news on each due in June during a company conference.
Cisco already uses predictive AI across its portfolio and Robbins noted its offerings are used by some larger tech companies.
CFO Scott Herren noted product orders were down 23 per cent in fiscal Q3, but Robbins noted a significant reduction in product lead times reduced the need for extensive advanced ordering by customers, while macroeconomic conditions were also a factor.
Net profit grew 6 per cent year-on-year to $3.2 billion on revenue of $14.6 billion, up 14 per cent.
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