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Cisco Systems (CSCO) FY2026 results: revenue $63.3 billion, up 11.8% on the year

Cisco Systems, Inc. (CSCO) reported revenue of $63.3 billion for fiscal 2026, the year ended 25 July 2026, up 11.8% on the year before. Net income was $13.3 billion, up 30.3%, and diluted earnings per share $3.33. The figures are the company's own, from the 10-K it filed with the SEC on 2 September 2026.

Revenue
$63.3 billion
+11.8% on the year
FY2019FY2026
Operating margin
24.3%
20.8% a year earlier
FY2019FY2026
Net income
$13.3 billion
+30.3% on the year
FY2019FY2026
Diluted EPS
$3.33
+30.6% on the year
FY2019FY2026

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 12 new.

  • Q4 revenue and EPS grew: Q4 revenue was $17.3 billion, up 18%, with product revenue up 24% and services flat. GAAP EPS was $0.97, up 52%; non-GAAP EPS was $1.22, up 23%.
  • Networking orders grew 40%: Networking product orders grew 40% in Q4, the eighth consecutive quarter of double-digit growth.
  • Non-GAAP gross margin declined: Non-GAAP total gross margin was 66.3% in Q4, against 68.4% a year earlier. Non-GAAP product gross margin was 64.8%, against 67.5%.
  • Hyperscaler orders reached $9.3 billion: AI infrastructure orders from hyperscalers were $4 billion in Q4, bringing fiscal 2026 orders to $9.3 billion.
  • Q1 fiscal 2027 guidance set: Q1 revenue $18.0 to $18.2 billion; non-GAAP gross margin 65% to 66%, operating margin 35.5% to 36.5%, EPS $1.32 to $1.34. GAAP EPS $1.08 to $1.10.
Read the Q4 FY2026 earnings call summary

From this 10-K

Cisco designs and sells the hardware, software and services that networks run on, and increasingly sells them as one platform rather than as separate boxes. The products fall in four categories: networking, security, collaboration and observability. Services cover technical support and professional work across a product's life. Customers are businesses of every size, public institutions, governments and service providers including hyperscalers. The company was incorporated in California in 1984 and reincorporated in Delaware in 2021, and is based in San Jose, California. Its financial year ends in late July. The business is managed by geography, in three segments: Americas; Europe, the Middle East and Africa; and Asia Pacific, Japan and China.

Cisco Systems, Inc., the 10-K for 2026

Cisco designs and sells the hardware, software and services that networks run on, and increasingly sells them as one platform rather than as separate boxes. The products fall in four categories: networking, security, collaboration and observability. Services cover technical support and professional work across a product's life. Customers are businesses of every size, public institutions, governments and service providers including hyperscalers. The company was incorporated in California in 1984 and reincorporated in Delaware in 2021, and is based in San Jose, California. Its financial year ends in late July. The business is managed by geography, in three segments: Americas; Europe, the Middle East and Africa; and Asia Pacific, Japan and China.

Networking

Switching, routing, wireless and servers, sold as hardware with embedded software, software licences and software as a service, built on the company's own Cisco Silicon. Campus switching is led by the Cisco 9000 family, sold with a Unified Networking Experience software subscription for automation, analytics and security, manageable centrally or through Cisco Cloud Control, and now includes the Cisco 9350, 9610 and 9550 smart switches built on Silicon One, the company's unified networking silicon architecture, with telemetry, assurance and post-quantum cryptography. Data centre switching is led by the Nexus 9000 series, also on Silicon One, with the N9300 smart switches above it; under what the company calls Nexus One, on-premises and cloud-managed operation share common hardware and a single business model. Acacia Optics sits in this segment, supplying high-speed coherent optical interconnect for the shift from chassis-based systems to pluggable coherent optics.

Security

The portfolio spans network security, identity and access management, secure access service edge and identity and agentic security. Extended Detection and Response is the unified prevention, detection and response product. The secure access service edge architecture combines network and security functions in one cloud-native platform. Cisco Hypershield builds distributed security into the fabric of the network, converging networking and security in a single product, and AI Defense uses machine learning and analytics to identify and neutralise threats in real time.

Collaboration and observability

Collaboration is the Webex suite, collaboration devices, contact centre and communications platform as a service, sold as perpetual licences, subscriptions and hardware, delivered on-premises, from the cloud or in between, with AI embedded across Webex. The communications platform joins communication channels to a customer's back-end systems so interactions can be orchestrated and automated. Observability is Splunk together with AppDynamics, correlating telemetry and business context across cloud-native and AI environments to link service health to cause and business impact, with agent observability giving continuous insight into how AI agents behave, perform and cost. ThousandEyes is the network assurance product, extending visibility beyond a customer's own environment across enterprise, internet and cloud networks.

Who buys it and how it is sold

Customer markets include enterprise, commercial, public sector, and service provider and cloud, the last covering regional, national and international wireline carriers, hyperscalers, internet, cable and wireless providers and media, broadcast and content providers. Service providers buy for their own networks and also use Cisco data centre, virtualisation and collaboration technology to sell managed and internet-based services on to their own business customers, and the filing notes they are likelier to need network design, deployment and support because their networks are larger and more complex. At the end of fiscal 2026 the worldwide sales and marketing organisation was approximately 25,400 people, including managers, sales representatives and technical support staff. A substantial part of what the company sells goes indirectly through channel partners, meaning systems integrators, service providers, other resellers and distributors, with the rest sold direct. Systems integrators and service providers usually sell to the end user and often add installation, technical support and professional services, and integrators fold Cisco equipment into a wider solution; distributors may hold stock and sell on to integrators and resellers.

People

There were approximately 82,400 employees at 25 July 2026. The company runs a hybrid work model in certain countries.

From Cisco's annual report on Form 10-K for the year ended 25 July 2026. The filing

Written from the 10-K filed 2 September 2026: read the full 10-K.

The four quarters: Q1 FY2026 · Q2 FY2026 · Q3 FY2026 · Q4 FY2026

Income statement (profit and loss)

$ millionFY2026FY2025FY2024On the yearLast 8 years
Revenue63,32556,65453,803+11.8%
Cost of revenue22,46519,86418,975+13.1%
Gross profit40,86036,79034,828+11.1%
Gross margin64.5%64.9%64.7%
Research and development9,5639,3007,983+2.8%
Operating income15,36811,76012,181+30.7%
Operating margin24.3%20.8%22.6%
Interest expense1,4701,5931,006-7.7%
Pre-tax income16,00911,10012,234+44.2%
Income tax2,7429201,914+198.0%
Effective tax rate17.1%8.3%15.6%
Net income13,26710,18010,320+30.3%
Net margin21.0%18.0%19.2%
Diluted EPS$3.33$2.55$2.54+30.6%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2026FY2025FY2024On the yearLast 8 years
Operating cash flow14,17714,19310,880-0.1%
Capital expenditure1,410905670+55.8%
Free cash flow12,76713,28810,210-3.9%
Free cash flow margin20.2%23.5%19.0%
Cash from investing-3,4841,733-20,478
Cash from financing-12,347-15,8156,844
Depreciation and amortisation7007007000.0%
Share-based compensation3,8303,6413,074+5.2%
Buybacks6,1066,0005,787+1.8%
Dividends paid6,5536,4376,384+1.8%
Dividend per share$1.66$1.62$1.58+2.5%
Diluted shares, weighted3,987m3,998m4,062m-0.3%
Shares outstanding at period end3,946m3,960m4,007m-0.4%

Balance sheet

$ millionFY2026FY2025FY2024On the yearLast 8 years
Shareholders' equity50,28546,84345,457+7.3%
Debt29,53328,09330,962+5.1%
Operating lease liabilities1,2481,175906+6.2%
Other liabilities48,57146,18047,088+5.2%
Total liabilities and equity129,637122,291124,413+6.0%
Fixed assets2,7602,1132,090+30.6%
Goodwill59,47759,13658,660+0.6%
Intangible assets7,5579,17511,219-17.6%
Investments8,7007,76410,346+12.1%
Cash and equivalents7,2188,3467,508-13.5%
Receivables7,4706,7016,685+11.5%
Inventory5,6943,1643,373+80.0%
Other assets30,76125,89224,532+18.8%
Total assets129,637122,291124,413+6.0%

10-K for the year ended 25 July 2026, filed 2 September 2026: the filing.