(By Balaseshan) Cisco Systems Inc. (NASDAQ:CSCO) reported a 56% jump in quarterly earnings on strong sales growth and lower expenses. Results exceeded Street's expectations, sending its shares up 4.73% in aftermarket.
Profit jumped 56% to $1.9 billion for the fourth quarter, while earnings per share (EPS) climbed 64% to $0.36. Adjusted earnings rose to $2.53 billion or $0.47 per share from $2.20 billion or $0.40 per share.
Sales increased 4% to $11.69 billion.
Analysts, on average, polled by Thomson Reuters had expected a profit of $0.46 per share on revenue of $11.60 billion for the fourth quarter.
Product sales increased to $9.15 billion from $8.92 billion, while service sales rose to $2.54 billion from $2.27 billion.
Operating expenses decreased 13 percent to $4.71 billion. Operating income rose to $2.37 billion from $1.46 billion.
Cash flows from operations were $3.1 billion for the fourth quarter, up from $2.8 billion last year. Cash flows from operations were $11.5 billion for fiscal 2012, compared with $10.1 billion for fiscal 2011.
CSCO closed Wednesday's regular session up 1.05% at $17.35. The stock has been trading between $14.90 and $21.30 for the past 52 weeks.