Equipment giant Cisco Systems bucked the technology trend in its most recent quarterly earnings report – released Tuesday – announcing a year-over-year profit increase of 18 percent.
Cisco's net sales for its first fiscal quarter (of 2013, ended Oct. 27), were up 6 percent, to $11.9 billion, from the year-ago quarter. Profit was $2.1 billion, up from $1.8 billion in Q1 2012.
"We delivered record results this quarter – with revenue growth of 6 percent and strong earnings per share growth – demonstrating our vision and strategy are working," said John Chambers, chairman and chief executive officer, Cisco. "Our innovation engine, operational discipline and ongoing evolution are enabling us to differentiate in the market."
Cisco's enterprise revenue in the U.S. was up 9 percent year-over year, prompting Chambers to add (on the company's quarterly conference call) that it's “still too early to call this a trend, but we are continuing to see what we like," according to MarketWatch.
Cisco's strong report surprised many on Wall Street who had lower expectations, noting mediocre quarterly results from many tech companies over the past few weeks.
"Cisco is at the center of the major market transitions – cloud, mobility, video – and yet we believe the largest market transition lies ahead of us, as the Internet of Everything becomes a reality," said Chambers.
Cisco's stock price was up more than 5 percent, to $17.75, as of 2:27 p.m. ET on Wednesday.