Slide 1: Q2 Fiscal Year 2025 Conference Call
Q2 Fiscal Year 2025 Conference Call February 12, 2025
Slide 2: Forward-Looking Statements and GAAP Reconciliation
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 © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidential -
Slide 4: Q2 FY 2025 Summary
Q2 FY 2025 Summary • Growing demand for Cisco’s technologies; demonstrating the power of our portfolio and the value we deliver to customers • Product orders up 29% y/y; up 11% y/y excluding Splunk, with growth across all geographies and customer markets • AI infrastructure orders >$350M, bringing t
Slide 5: Cisco positioned for AI adoption
Cisco positioned for AI adoption AI Training Infrastructure AI Inference AI Connectivity Momentum in back-end networking continues Q2 FY25 saw several enterprise AI system Q2 FY25 saw more deals with customer with combinations of our Cisco 8K, Silicon deals, and adoption of our new technology applic
Slide 6: Financial Overview
Financial Overview © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidential -
Slide 7: Revenue and Total Gross Margin
Q2 FY 2025 Revenue and Total Gross Margin $M (except percentages) Revenue Total Gross Margin % Q2 FY’24 Q1 FY’25 Q2 FY’25 Q2 FY’24 Q1 FY’25 Q2 FY’25 Americas $7,510 $8,252 $8,202 65.7% 69.6% 67.6% EMEA 3,484 3,588 3,855 68.1% 70.3% 71.3% APJC 1,798 2,001 1,934 68.2% 66.4% 68.3% Geographic Total $12,
Slide 8: Revenue Highlights
Q2 FY 2025 Revenue Highlights Category $M Y/Y Networking $6,850 (3%) Security 2,111 117% Collaboration 996 1% Observability 277 47% Services 3,757 6% Total Cisco $13,991 9% Total revenue without Splunk decreased 1% in the second quarter of fiscal 2025. Q2 FY 2024 included the last portion of our exc
Slide 9: Annualized Recurring Revenue (ARR)
Q2 FY 2025 Annualized Recurring Revenue (ARR) $B (except percentages) $29.9 $30.1 +22% Y/Y $24.7 $13.8 $13.7 +4% Y/Y $13.2 $16.1 $16.3 +41% Y/Y $11.5 Q2 FY 2024 Q1 FY 2025 Q2 FY 2025 Product Services Amounts may not sum and percentages may not recalculate due to rounding. Annualized Recurring Revenu
Slide 10: Remaining Performance Obligations
Q2 FY 2025 Remaining Performance Obligations $B (except percentages) $41.3 $40.0 +16% Y/Y $35.7 $20.3 $19.7 +14% Y/Y Product RPO up 25% Y/Y $17.7 Services RPO up 8% Y/Y $17.9 $20.3 $21.0 +17% Y/Y Q2 FY 2024 Q1 FY 2025 Q2 FY 2025 Short Term RPO Long Term RPO Amounts may not sum and percentages may no
Slide 11: Product Orders
Q2 FY 2025 Product Orders Y/Y Y/Y without Splunk Total Product Orders 29% 11% Geographic Segment Americas 30% 10% EMEA 24% 9% APJC 35% 20% Customer Market Enterprise 27% 4% Public Sector 13% 2% Service Provider & Cloud 75% 63% © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidenti
Slide 12: GAAP Income Statement Highlights
Q2 FY 2025 GAAP Income Statement Highlights $M (except per-share amounts and percentages) Q2 FY 2024 Q1 FY 2025 Q2 FY 2025 Revenue $12,791 $13,841 $13,991 Year/Year Change (1) (6%) (6%) 9% Product $9,232 $10,114 $10,234 Services $3,559 $3,727 $3,757 Gross Margin 64.2% 65.9% 65.1% Product Gross Margi
Slide 13: Non-GAAP Income Statement Highlights
Q2 FY 2025 Non-GAAP Income Statement Highlights $M (except per-share amounts and percentages) Q2 FY 2024 Q1 FY 2025 Q2 FY 2025 Revenue $12,791 $13,841 $13,991 Year/Year Change (1) (6%) (6%) 9% Product $9,232 $10,114 $10,234 Services $3,559 $3,727 $3,757 Gross Margin 66.7% 69.3% 68.7% Product Gross M
Slide 14: Key Financial Measures
Q2 FY 2025 Key Financial Measures $M Q2 FY 2024 Q1 FY 2025 Q2 FY 2025 Cash, Cash Equivalents and Investments $25,671 $18,671 $16,853 Operating Cash Flow $808 $3,661 $2,241 Inventory $3,209 $3,143 $2,927 Deferred Revenue: $25,771 $27,502 $27,795 Product Deferred Revenue $11,640 $12,941 $13,033 Servic
Slide 15: Capital Allocation
Capital Allocation Q2 FY 2025 Results Total Capital Allocation Share Repurchases Share Repurchases ($M) $1,236 Amount Purchased ($M) $1,236 Dividends Paid ($M) 1,593 Number of Shares (M) 21 Total ($M) $2,829 Avg. Price per Share $58.58 Quarterly Dividends per Share $0.40 • Today we announced we are
Slide 16: 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
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