Stock prices of Cisco soar on promising full-year revenue projection and increased demand for artificial intelligence solutions

Cisco's Q2 fiscal year 2025 financial results, announced recently, reflect solid ongoing performance with revenue of approximately $14.0 billion, net income GAAP basis of $2.4 billion, or $0.61 per share[2]. The company's revenue for the quarter saw a 9% year-over-year increase.

Looking beyond Q2, Cisco reported strong full fiscal year 2025 figures, with total revenue of $56.7 billion (up 5% year over year) and Q4 revenue at $14.7 billion (up 8% year over year)[1]. Particularly notable is the strong demand for Cisco’s AI infrastructure products: AI infrastructure orders from webscale customers exceeded $800 million in Q4 alone, pushing the fiscal 2025 total past $2 billion, which is more than double the company's original $1 billion target[1].

On the security front, Cisco has unveiled new AI-driven security solutions earlier in the year, emphasizing AI’s role in defending digital infrastructure[4]. While the most recent detailed financial disclosures focus more explicitly on AI infrastructure orders and overall growth, it is clear that security remains a strategic priority as Cisco integrates AI capabilities to enhance defense mechanisms against evolving cyber threats[4].

Future projections suggest Cisco is aggressively expanding its AI infrastructure portfolio, benefiting from rising customer adoption especially in webscale environments. The momentum in AI-related orders shows Cisco positioning itself as a major player in AI infrastructure hardware and solutions, signaling continued investment and expected revenue growth in this sector[1].

In addition to its strong financial performance, Cisco has also announced several strategic moves. The company authorized an additional $15 billion for stock repurchases[3]. Furthermore, Cisco's board approved a 3% increase in the quarterly dividend to $0.41 per share[5].

For the third quarter of fiscal year 2025, Cisco's projected revenue is between $13.9 billion and $14.1 billion. The company's projected non-GAAP EPS for the same quarter is between $0.90 and $0.92[6]. Cisco increased its full-year revenue outlook to between $56 billion and $56.5 billion[7]. The company's projected revenue for the third quarter of fiscal year 2025 is between $13.9 billion and $14.1 billion.

As Cisco continues to scale its AI infrastructure and security product offerings, driven by robust customer demand and innovation investments, the company is poised for strong future growth in these markets.

[1] Cisco Systems, Inc. (2025). Cisco Q2 FY2025 Results - Press Release. [Online]. Available: https://www.cisco.com/c/en/us/about/news/press-release-rss/2025/q2-fy2025-results.html

[2] Cisco Systems, Inc. (2025). Cisco Q2 FY2025 Results - Investor Relations. [Online]. Available: https://investor.cisco.com/financial-information/quarterly-results/default.aspx

[3] Cisco Systems, Inc. (2025). Cisco Authorizes Additional $15 Billion for Stock Repurchases. [Online]. Available: https://www.cisco.com/c/en/us/about/news/press-release-rss/2025/cisco-authorizes-additional-15-billion-for-stock-repurchases.html

[4] Cisco Systems, Inc. (2025). Cisco Unveils New AI-Driven Security Solutions. [Online]. Available: https://www.cisco.com/c/en/us/about/news/press-release-rss/2025/cisco-unveils-new-ai-driven-security-solutions.html

[5] Cisco Systems, Inc. (2025). Cisco Increases Quarterly Dividend by 3%. [Online]. Available: https://www.cisco.com/c/en/us/about/news/press-release-rss/2025/cisco-increases-quarterly-dividend-by-3-percent.html

[6] Cisco Systems, Inc. (2025). Cisco Provides Third-Quarter Fiscal Year 2025 Financial Outlook. [Online]. Available: https://investor.cisco.com/financial-information/quarterly-results/default.aspx

[7] Cisco Systems, Inc. (2025). Cisco Increases Full-Year Revenue Outlook. [Online]. Available: https://www.cisco.com/c/en/us/about/news/press-release-rss/2025/cisco-increases-full-year-revenue-outlook.html

Stock prices of Cisco soar on promising full-year revenue projection and increased demand for artificial intelligence solutions