Overview
- Cisco, which reported record fiscal Q3 results Wednesday, saw its shares jump more than 15% after it unveiled a plan to cut nearly 4,000 jobs.
- Revenue rose 12% to $15.84 billion and the company guided Q4 sales to $16.7–$16.9 billion and full-year revenue to $62.8–$63 billion.
- AI infrastructure orders reached $5.3 billion year to date and Cisco raised its full-year AI order goal to $9 billion as networking and data center switching orders climbed more than 50% and 40%.
- The restructuring will remove just under 4,000 roles, under 5% of staff, with up to $1 billion in charges and about $450 million booked in the fourth quarter.
- Layoff notices began Thursday, and Cisco said affected workers will get pro-rated bonuses, training through Cisco U, and job placement help as it shifts focus to AI, silicon, optics, and security.