For the quarter ended in January, analysts expect Cisco to post a profit of 38 cents per share on sales of $9.8 billion, according to a poll by Thomson Financial, reports the AP. Cisco said in November that it expects to report a 16 percent increase in sales. However, analysts also note a number of factors that could make Cisco fall below expectations. January is an iffy month to book business because budgets are often in the process of being set. Other analysts remain concerned that demand for Cisco’s products, especially from the enterprise, seems to be waning. At least that was the opinion put forth by Cowen and Co. analyst John Anthony in a client note.
This quarter also included the resignation of former CEO heir-apparent Charles Giancarlo in December. He quit to join venture capitalist firm Silver Lake Partners. Interestingly, Cisco said that a “development council” of executives will replace Giancarlo, who was with Cisco for 14 years and most recently served as chief development officer.
Cisco also increased its stock buyback program by $10 billion, bringing the total authorization to $62 billion since the program started in 2001, the AP reports.
