Cisco Systems Inc. posted a 34 percent rise in net profit for its fiscal third quarter, which ended April 28. The company said businesses and phone companies bought more equipment to accommodate increasing Internet traffic.
Cisco said its net income rose to $1.9 billion, or 30 cents per share, from $1.4 billion, or 22 cents per share, during the same period a year earlier.
Its net sales totaled $8.9 billion; Scientific Atlanta Inc, which Cisco acquired in February 2006, contributed $752 million. Thats compared to $407 million during the third quarter of fiscal 2006.
Ciscos shares have stagnated so far this year. Analysts partly attribute that to fears of a slowing economy.
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