Cisco reported revenue of $14.7 billion (€12.6 billion) for the fourth quarter of 2025, an increase of 8 percent compared to last year. The networking company saw particular growth in AI infrastructure orders from webscale customers, which more than doubled the original target.
With solid operating cash flow of $4.2 billion, up 14 percent, Cisco’s strategy is proving successful. CEO Chuck Robbins emphasized during the presentation that orders for AI infrastructure from web-scale customers in fiscal 2025 were more than double the original target. According to him, this points to a “massive opportunity” ahead for the company, especially as it leads the architecture shift needed for the AI era.
For the full fiscal year 2025, Cisco achieved total revenue of $56.7 billion, an increase of 5 percent. Full-year operating cash flow was $14.2 billion, an increase of 30 percent compared to fiscal 2024.
Strong performance
The company outperformed its expectations in the fourth quarter. Revenue, gross margin, and operating margin were all at the high end of guidance, while earnings per share exceeded the expected range. CFO Mark Patterson reported that Cisco remains focused on strategic investments in innovation to drive sustainable, profitable growth.
Product revenue rose 10 percent, while services remained flat. Geographically, the Americas region grew 9 percent, EMEA 4 percent, and APJC 7 percent. By product category, Networking performed best with 12 percent growth, followed by Security (9 percent), Observability (4 percent), and Collaboration (2 percent).
With $16.1 billion in cash and investments, the company has a solid financial foundation for future growth. Remaining Performance Obligations (RPO) increased by 6 percent to $43.5 billion, with 50 percent of this amount expected to be recognized as revenue in the next 12 months. This provides a positive outlook for the near future, especially in combination with the strong demand for AI infrastructure that is at the core of Cisco’s growth strategy.
Despite the good results and expectations, Cisco’s share price fell by 1.42 percent. However, there was a recovery after trading hours, with a gain of 0.56 percent.
Tip: Hardcoded credentials in Cisco software give attackers root access