On May 9, Cisco Systems
- Sales growth was robust at 18.3%, but operating income and net earnings actually declined.
- Analyst estimates of $0.26 per share were non-GAAP; Cisco's non-GAAP earnings performance was $0.29 per share, and GAAP earnings per share were $0.22.
- Accounts receivable growth of 33% outpaced sales growth of 18%.
(Figures in thousands, except per-share data)
Income Statement Highlights
|
Avg. Est. |
Q3 2006 |
Q3 2005 |
Change |
|
|---|---|---|---|---|
|
Sales |
$7,170,000 |
$7,322,000 |
$6,187,000 |
18.3% |
|
Net Profit |
-- |
$1,400,000 |
$1,405,000 |
(0.4%) |
|
EPS |
$0.26 |
$0.22 |
$0.21 |
2.4% |
|
Diluted Shares |
-- |
6,289,000 |
6,541,000 |
(3.9%) |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q3 2006 |
Q3 2005 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
64.55% |
66.83% |
(2.29) |
|
Op. Margin |
22.58% |
29.38% |
(6.81) |
|
Net Margin |
19.12% |
22.71% |
(3.59) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets | Q3 2006 | Q3 2005 | Change |
|---|---|---|---|
Cash + ST Invest. | $18,183,000 | $5,038,000 | 260.9% |
Accounts Rec. | $2,980,000 | $2,241,000 | 33% |
Inventory | $1,313,000 | $1,280,000 | 2.6% |
Liabilities | Q3 2006 | Q3 2005 | Change |
|---|---|---|---|
Accounts Pay. | $837,000 | $706,000 | 18.6% |
Long-Term Debt | $6,346,000 | -- | N/A |
Learn the ways of the balance sheet.
Cash Flow Highlights
Q3 2006 | Q3 2005 | Change | |
|---|---|---|---|
Cash From Ops. | $5,582,000 | $5,132,000 | 8.8% |
Capital Expend. | $595,000 | $470,000 | 26.6% |
Free Cash Flow | $4,987,000 | $4,662,000 | 7% |
Find out why Fools always follow the money.
Related Companies:
- Lucent Technologies
(NYSE:LU) - NortelNetworks
(NYSE:NT) - Juniper Networks
(NASDAQ:JNPR) - Avaya
(NYSE:AV) - Alcatel
(NYSE:ALA)
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At the time of publication, Nathan Parmelee had no positions in Cisco Systems or any of the other companies mentioned. Fool rules are here.
