Slide 1: Q1 Fiscal Year 2026 Conference Call
Q1 Fiscal Year 2026 Conference Call November 12, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains projections and other forward-looking statements regarding future events or the future financial performance of Cisco, including future operating results. These projections and statements are only predictions. Actual events or results may differ
Slide 3: Business Momentum & Key Trends
Business Momentum & Key Trends
Slide 4: Q1 FY 2026 Key Takeaways
Q1 FY 2026 Key Takeaways Strong Financial Performance Accelerating AI Q1 revenue, operating margin, and EPS exceeded Accelerating Campus Momentum the high end of our Refresh guidance ranges All campus networking $1.3B AI orders taken in Q1 Raising FY26 guidance on technologies saw from hyperscalers;
Slide 5: Q1 FY 2026 Summary
Q1 FY 2026 Summary • Strong top and bottom-line growth, strong profitability, and continued operating leverage • $14.9B in revenue, up 8% y/y, Non-GAAP EPS of $1.00 up 10% y/y, above high end of guide and demonstrating operating leverage • Non-GAAP gross margin of 68.1%, above mid point of guide; No
Slide 6: Cisco Accelerating AI Adoption
Cisco Accelerating AI Adoption Hyperscaler AI Infrastructure AI Connectivity Accelerated momentum with four new design wins at four different Accelerated momentum company-wide for AI networking solutions, with hyperscalers in the quarter. Results are demonstrating continued execution and neocloud, s
Slide 7: A New Level of Inferencing Demand on Secure Networking
A New Level of Inferencing Demand on Secure Networking As Agentic AI workloads rapidly expand, with AI agents being trained in data centers, deployed across application environments, and engaging continuously with end-users, network traffic will not only exceed today’s chatbot levels, but agents wil
Slide 8: Cisco Silicon One - Unifying, Securing, and Scaling Networks
Cisco Silicon One - Unifying, Securing, and Scaling Networks Integrated Access Services Router Enterprise Switch Scale-Across Scale-Out and Scale-Up Campus & Provider Access Provider Edge & Enterprise Core Campus & Data Center WAN & AI Inter-Data Center AI Cluster & Cloud Bandwidth Silicon One Highl
Slide 9: Financial Overview
Financial Overview
Slide 10: Revenue and Total Gross Margin
Q1 FY 2026 Revenue and Total Gross Margin $M (except percentages) Revenue Total Gross Margin % Q1 FY’25 Q4 FY’25 Q1 FY’26 Q1 FY’25 Q4 FY’25 Q1 FY’26 Americas $8,252 $8,822 $8,989 69.6% 68.0% 66.8% EMEA 3,588 3,645 3,784 70.3% 71.7% 71.9% APJC 2,001 2,206 2,111 66.4% 64.2% 66.9% Geographic Total $13,
Slide 11: Revenue Highlights
Q1 FY 2026 Revenue Highlights Category $M Y/Y Networking $7,768 15% Security 1,980 (2%) Collaboration 1,055 (3%) Observability 274 6% Services 3,806 2% Total Cisco $14,883 8% Amounts may not sum and percentages may not recalculate due to rounding. © 2025 Cisco and/or its affiliates. All rights reser
Slide 12: RPO and ARR
Q1 FY 2026 RPO and ARR $B (except percentages) Q1 FY 2025 Q4 FY 2025 Q1 FY 2026 Remaining Performance Obligations (RPO): $40.0 $43.5 $42.9 Year/Year Change 15% 6% 7% Product RPO (1) $19.9 $21.6 $21.9 Year/Year Change 24% 8% 10% Services RPO $20.1 $22.0 $21.0 Year/Year Change 7% 5% 4% Annualized Recu
Slide 13: Product Orders
Q1 FY 2026 Product Orders Total Product Orders: 13% Y/Y Geographic Segment Y/Y Customer Market Y/Y Americas 16% Enterprise 4% EMEA 8% Public Sector 12% APJC 13% Service Provider & Cloud 45% © 2025 Cisco and/or its affiliates. All rights reserved.
Slide 14: GAAP Income Statement Highlights
Q1 FY 2026 GAAP Income Statement Highlights $M (except per-share amounts and percentages) Q1 FY 2025 Q4 FY 2025 Q1 FY 2026 Revenue $13,841 $14,673 $14,883 Year/Year Change (6%) 8% 8% Product $10,114 $10,886 $11,077 Services $3,727 $3,787 $3,806 Gross Margin 65.9% 63.2% 65.5% Product Gross Margin 65.
Slide 15: Non-GAAP Income Statement Highlights
Q1 FY 2026 Non-GAAP Income Statement Highlights $M (except per-share amounts and percentages) Q1 FY 2025 Q4 FY 2025 Q1 FY 2026 Revenue $13,841 $14,673 $14,883 Year/Year Change (6%) 8% 8% Product $10,114 $10,886 $11,077 Services $3,727 $3,787 $3,806 Gross Margin 69.3% 68.4% 68.1% Product Gross Margin
Slide 16: Key Financial Measures
Q1 FY 2026 Key Financial Measures $M Q1 FY 2025 Q4 FY 2025 Q1 FY 2026 Cash, Cash Equivalents and Investments $18,671 $16,110 $15,736 Operating Cash Flow $3,661 $4,234 $3,212 Inventory $3,143 $3,164 $3,395 Inventory Purchase Commitments $5,321 $7,599 $8,321 Deferred Revenue: $27,502 $28,779 $27,969 P
Slide 17: Capital Allocation
Q1 FY 2026 Capital Allocation Total Capital Allocation Q1 FY 2026 Share Repurchases ($M) $2,001 Dividends Paid ($M) 1,617 Total ($M) $3,618 Dividend per Share $0.41 Share Repurchases Q1 FY 2026 Amount Purchased ($M) $2,001 Number of Shares (M) 29 Avg. Price per Share $68.28 Approximately $12.2B rema
Slide 18: Guidance
Guidance
Slide 19: Key Q2 & FY 2026 Guidance Assumptions
Key Q2 & FY 2026 Guidance Assumptions Current tariffs and exemptions remain in place through FY26. These include: • China at 20% (10% fentanyl; 10% reciprocal) partially offset by an exemption for semiconductors and certain electronic components • Mexico at 25% and Canada at 35% for the components a
Slide 20: Guidance for Q2 FY 2026
Guidance for Q2 FY 2026 Cisco expects to achieve the following results for the second quarter of fiscal 2026: Q2 FY 2026 Guidance Revenue $15.0B – $15.2B Non-GAAP Gross Margin 67.5% – 68.5% Non-GAAP Operating Margin 33.5% – 34.5% Non-GAAP EPS $1.01 – $1.03 • Margin and EPS guidance includes the esti
Slide 21: Guidance for FY 2026
Guidance for FY 2026 Cisco expects to achieve the following results for fiscal 2026: FY 2026 Guidance Revenue $60.2B – $61.0B Non-GAAP EPS $4.08 – $4.14 • Margin and EPS guidance includes the estimated impact of tariffs based on current trade policy. • Cisco estimates that GAAP EPS will be $2.87 to
Slide 22: Q&A
Q&A
Slide 23: Forward-Looking Statements
Forward-Looking Statements These presentation slides and the related conference call contain forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, among other things, statements r
Slide 24: ctftotfas
ctftotfas cisco
Slide 25: Supplemental Materials
Supplemental Materials
Slide 26: GAAP to Non-GAAP Guidance for Q2 FY 2026
GAAP to Non-GAAP Guidance for Q2 FY 2026 Gross Operating Earnings Q2 FY 2026 margin margin per share (1) GAAP 65% - 66% 22.5% - 23.5% $0.69 - $0.74 Estimated adjustments for: Share-based compensation expense 1.0% 7.0% $0.18 - $0.19 Amortization of acquisition-related intangible assets and other acqu
Slide 27: GAAP to Non-GAAP Guidance for FY 2026
GAAP to Non-GAAP Guidance for FY 2026 Earnings FY 2026 per share (1) GAAP $2.87 - $2.98 Estimated adjustments for: Share-based compensation expense $0.75 - $0.77 Amortization of acquisition-related intangible assets and other acquisition/divestiture- $0.43 - $0.45 related costs Restructuring and oth