Cisco Systems, Inc. (CSCO) shares are down $0.12 to $29.23 in after-hours trading Wednesday after the company reported its third-quarter earnings results.
The network technology company posted non-GAAP earnings of $0.54 per share on revenues of $12.14 billion, up 5.1% from $11.5 billion a year ago. Analysts were expecting EPS of $0.53 on revenues of $12.07 billion. Product sales, the company’s largest business segment, increased to $9.33 billion from $8.8 billion in the year-earlier period.
“Cisco is in a very strong position and we delivered another solid quarter,” Chairman and CEO John Chambers said in a statement. “Our vision and strategy are working and we are executing very well in a tough environment, as evidenced in our revenue growth, profitability, strong gross margins and cash generation.”
Chambers continued, “We have a tremendous opportunity to extend our lead in the industry, and with Chuck Robbins as the CEO for Cisco’s next chapter, we have exactly the right leader to capture that opportunity.”
Cicso’s Q3/15 net income came in at $2.4 billion, or $0.47 a share (diluted), compared with a year-earlier profit of $2.2 billion, or $0.42 a share. For Q4/15, CSCO provided EPS guidance of $0.55 – $0.57 versus consensus of $0.56 per share. The company also issued revenue projection of $12.48 – $12.73 billion, compared to the consensus revenue estimate of $12.60 billion.
Cash Position: The company’s cash and cash equivalents and investments were $54.4 billion at the end of Q3/15, compared with $53 billion at the end of Q2/15. During the quarter, Cisco paid a cash dividend of $0.21 per common share, or $1.1 billion.
Shake Shack Inc. (SHAK) reported first quarter non-GAAP EPS of $0.04 after the closing bell Wednesday, compared to the consensus estimate of ($0.03). Revenues increased 56.2% from last year to $37.8 million. Analysts expected revenues of $33.96 million. Net income loss for the first quarter of 2015 was $12.7 million, or ($1.06) per diluted share, compared to net income of $1.1 million, or $0.04 per diluted unit, for the same period last year. The burger chain said net loss for the Q1/15 includes $13.2 million of after-tax expenses incurred in connection with the company’s IPO.
For full fiscal year 2015, Shake Shack guided revenues of $161 – $165 million, as compared to analysts’ expectations of $164.8 million.
The stock is currently up $4.89 to $73.25 on 1.23 million shares.
Shares of Vipshop Holdings Limited (VIPS) gained $0.85 to $27.51 after the company released its earnings results on Wednesday. The firm reported Q1’15 EPS of $0.13 per share vs. $0.10 consensus on $1.39 billion in revenue, up 98% from a year ago. Net income attributable to Vipshop’s shareholders increased by 125.3% yoy to $59.3 million.
“We are very pleased with our robust first quarter 2015 financial and operational results, which were largely driven by our improved brand recognition among customers, smooth execution of our mobile initiatives, continued operational improvements as well as further enhanced shopping experience, as evidenced by the significant year-over-year growth in total repeat customers,” company CEO Eric Shen stated in the company’s earnings release.
Liquidity: For the quarter ended March 31, 2015, the Chinese online discount retailer reported cash and cash equivalents, and restricted cash of $1.1 billion and held-to-maturity securities of $293.8 million.
VIPS currently prints a one year return of about 76% and a year-to-date return of around 32%.
The chart below shows where the equity has traded over the last 52 weeks.