Slide 1: Q3 Fiscal Year 2025 Conference Call
Q3 Fiscal Year 2025 Conference Call May 14, 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: Q3 FY 2025 Summary
Q3 FY 2025 Summary • Strong demand for our technologies, demonstrating the valuable outcomes we are delivering for customers • Product orders up 20% y/y; up 9% y/y excluding Splunk, with growth across all geographies and customer markets • Booked largest ever deal for Splunk in a competitive take-ou
Slide 5: New Strategic AI Initiatives
New Strategic AI Initiatives Cisco and HUMAIN AI Infrastructure Partnership (AIP) Cisco and G42 Cisco will join a groundbreaking initiative with The AIP which is a partnership of BlackRock, Cisco will extend the strategic partnership with HUMAIN, Saudi Arabia’s new AI enterprise, as Global Infrastru
Slide 6: Cisco accelerating AI adoption
Cisco accelerating AI adoption AI Training Infrastructure AI Inference AI Connectivity Continued hyperscale AI network design wins in Q3 FY25 saw several enterprise AI system deals, Q3 FY25 saw more deals with customer Q3 FY25 with results demonstrating accelerated seeing adoption of our new technol
Slide 7: Financial Overview
Financial Overview © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidential -
Slide 8: Revenue and Total Gross Margin
Q3 FY 2025 Revenue and Total Gross Margin $M (except percentages) Revenue Total Gross Margin % Q3 FY’24 Q2 FY’25 Q3 FY’25 Q3 FY’24 Q2 FY’25 Q3 FY’25 Americas $7,372 $8,202 $8,380 67.9% 67.6% 67.7% EMEA 3,458 3,855 3,736 69.6% 71.3% 71.2% APJC 1,873 1,934 2,034 67.4% 68.3% 67.2% Geographic Total $12,
Slide 9: Revenue Highlights
Q3 FY 2025 Revenue Highlights Category $M Y/Y Networking $7,068 8% Security 2,013 54% Collaboration 1,031 4% Observability 261 24% Services 3,775 3% Total Cisco $14,149 11% Amounts may not sum and percentages may not recalculate due to rounding. © 2025 Cisco and/or its affiliates. All rights reserve
Slide 10: Annualized Recurring Revenue (ARR)
Q3 FY 2025 Annualized Recurring Revenue (ARR) $B (except percentages) $30.1 $30.6 +5% Y/Y $29.2 $13.9 $13.7 $13.7 +1% Y/Y $16.3 $16.8 $15.5 +8% Y/Y Q3 FY 2024 Q2 FY 2025 Q3 FY 2025 Product Services Amounts may not sum and percentages may not recalculate due to rounding. Annualized Recurring Revenue
Slide 11: Remaining Performance Obligations
Q3 FY 2025 Remaining Performance Obligations $B (except percentages) $41.3 $41.7 $38.8 +7% Y/Y $20.3 $20.6 $18.7 +10% Y/Y Product RPO up 10% Y/Y Services RPO up 5% Y/Y $20.1 $21.0 $21.1 +5% Y/Y Q3 FY 2024 Q2 FY 2025 Q3 FY 2025 Short Term RPO Long Term RPO Amounts may not sum and percentages may not
Slide 12: Product Orders
Q3 FY 2025 Product Orders Y/Y Y/Y(1) without Splunk Total Product Orders 20% 9% Geographic Segment Americas 27% 12% EMEA 4% 1% APJC 21% 10% Customer Market Enterprise 22% 6% Public Sector 8% 3% Service Provider & Cloud 32% 27% (1) Q3FY24 includes 6 weeks of Splunk contribution © 2025 Cisco and/or it
Slide 13: GAAP Income Statement Highlights
Q3 FY 2025 GAAP Income Statement Highlights $M (except per-share amounts and percentages) Q3 FY 2024 Q2 FY 2025 Q3 FY 2025 Revenue $12,702 $13,991 $14,149 Year/Year Change (13%) 9% 11% Product $9,024 $10,234 $10,374 Services $3,678 $3,757 $3,775 Gross Margin 65.1% 65.1% 65.6% Product Gross Margin 63
Slide 14: Non-GAAP Income Statement Highlights
Q3 FY 2025 Non-GAAP Income Statement Highlights $M (except per-share amounts and percentages) Q3 FY 2024 Q2 FY 2025 Q3 FY 2025 Revenue $12,702 $13,991 $14,149 Year/Year Change (13%) 9% 11% Product $9,024 $10,234 $10,374 Services $3,678 $3,757 $3,775 Gross Margin 68.3% 68.7% 68.6% Product Gross Margi
Slide 15: Key Financial Measures
Q3 FY 2025 Key Financial Measures $M Q3 FY 2024 Q2 FY 2025 Q3 FY 2025 Cash, Cash Equivalents and Investments $18,770 $16,853 $15,642 Operating Cash Flow $3,971 $2,241 $4,057 Inventory $3,118 $2,927 $2,832 Deferred Revenue: $27,475 $27,795 $27,991 Product Deferred Revenue $12,856 $13,033 $13,170 Serv
Slide 16: Capital Allocation
Q3 FY 2025 Capital Allocation Total Capital Allocation Share Repurchases ($M) $1,504 Dividends Paid ($M) 1,627 Total ($M) $3,131 Quarterly Dividend per Share $0.41 Share Repurchases Amount Purchased ($M) $1,504 Number of Shares (M) 25 Avg. Price per Share $59.78 Approximately $15.4B remaining author
Slide 17: Guidance
Guidance © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidential -
Slide 18: Key Q4 FY25 Guidance Assumptions
Key Q4 FY25 Guidance Assumptions Tariffs - current tariffs and exemptions remain in place through Q4 • China at 30%, partially offset by an exemption for semiconductors and certain electronic components • Mexico and Canada at 25% for the components and products that are not eligible for the current
Slide 19: Guidance for Q4 FY 2025
Guidance for Q4 FY 2025 Cisco expects to achieve the following results for the fourth quarter of fiscal 2025: Q4 FY 2025 Guidance Revenue $14.5B – $14.7B Non-GAAP Gross Margin 67.5% – 68.5% Non-GAAP Operating Margin 33.5% – 34.5% Non-GAAP EPS $0.96 – $0.98 • Margin and EPS guidance includes the esti
Slide 20: Guidance for FY 2025
Guidance for FY 2025 Cisco expects to achieve the following results for fiscal 2025: FY 2025 Guidance Revenue $56.5B – $56.7B Non-GAAP EPS $3.77 – $3.79 • Margin and EPS guidance includes the estimated impact of tariffs based on current trade policy. • Cisco estimates that GAAP EPS will be $2.53 to
Slide 21: Q&A
Q&A © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidential -
Slide 22: 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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Slide 24: Supplemental Materials
Supplemental Materials © 2025 Cisco and/or its affiliates. All rights reserved. Cisco Confidential -
Slide 25: GAAP to Non-GAAP Guidance for Q4 FY 2025
GAAP to Non-GAAP Guidance for Q4 FY 2025 Gross Operating Earnings Q4 FY 2025 margin margin per share (1) GAAP 64.5% - 65.5% 22% - 23% $0.62 - $0.67 Estimated adjustments for: Share-based compensation expense 1.0% 6.5% $0.18 - $0.19 Amortization of acquisition-related intangible assets 2.0% 4.5% $0.1
Slide 26: GAAP to Non-GAAP Guidance for FY 2025
GAAP to Non-GAAP Guidance for FY 2025 Earnings FY 2025 per share (1) GAAP $2.53 - $2.58 Estimated adjustments for: Share-based compensation expense $0.69 - $0.70 Amortization of acquisition-related intangible assets and other acquisition/divestiture- $0.60 - $0.61 related costs Restructuring and oth