Cisco beats Q1 estimates and raises full-year guidance on AI networking demand (Nov 12)
What happened
Cisco reported fiscal Q1 2027 results after the close on Thursday, November 12, beating estimates and raising its full-year outlook. Revenue was a record $18.5 billion, up 24% year over year, versus $18.1 billion expected; non-GAAP EPS was a record $1.40, up 40% year over year, versus the $1.33 consensus, and GAAP EPS was $1.14, up 58%. Cisco called it the strongest revenue and non-GAAP EPS growth in over 15 years. The company raised fiscal 2027 guidance to revenue of $74.8-75.8 billion (from $72.2-73.4 billion) and non-GAAP EPS of $5.47-5.53 (from $5.05-5.11), and lifted its expected AI infrastructure revenue from hyperscalers to $9 billion in fiscal 2027, up from $7.5 billion and more than double the fiscal 2026 total. Networking revenue jumped 43% year over year. Shares rose about 1.8% in after-hours trading, per Barron's (Reuters described shares as flat early in extended trading).
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Who’s affected
- Cisco (CSCO) — direct: shares rose about 1.8% in after-hours trading after the beat and guidance raise (Barron's). Networking and AI-infrastructure peers (Arista, Juniper, Broadcom, Dell) get a positive read-through from the AI networking demand signal. Hyperscalers' AI capex — Cisco's raised $9B hyperscaler AI infrastructure target implies their network spending is still accelerating, which supports the broader AI buildout narrative.