SAN FRANCISCO — Cisco Systems reported strong quarterly earnings Wednesday, despite what it called a challenging economy. Cisco net income in the first quarter of fiscal 2011 rose 8 percent to $1.9 billion, or 34 cents a share, from the year-ago quarter of $1.8 billion, or 30 cents a share. The company said revenue climbed 19 percent to $10.75 billion.
The adjusted income of 42 cents for the quarter, which ended Oct. 31, was above the expectations of Wall Street analysts. They had expected 40 cents a share and revenue of $10.74 billion, according to a survey of analysts by Thomson Reuters.
“Cisco delivered solid financial results, during a challenging economic environment,” John T. Chambers, Cisco’s chief executive, said in the earnings release. “While we have seen capital spending moderate in some areas of our business, our execution in the areas we can control and influence speak to the success and relevance of the company’s strategy.”
The company, based in San Jose, Calif., said revenue from technology sales was $8.7 billion, up from $7.2 billion in the year ago quarter. Support revenue was $2.1 billion, up from $1.8 billion.
Still, the results failed to reassure investors. Although shares closed up 14 cents at $24.49 in regular trading on Wednesday, they fell close to 10 percent in after-hours trading after the earnings release.
Cisco’s financial performance is considered an important indicator of corporate technology spending, given the company’s broad base of customers. Cisco makes equipment for the infrastructure of the Internet and telecommunications networks. It also sells telecommunications equipment to corporations. It recently pushed into consumer electronics as well.
Last quarter, Mr. Chambers jolted investors when he said that orders had dipped in late June and early July because of economic uncertainty. He then followed up by issuing an unusually cautious outlook for the first quarter.
As a result, Cisco’s shares missed out on most of Wall Street’s rally in the last few months.
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