Cisco Systems on Tuesday reported strong growth in revenue and profit for a fiscal third quarter in which it made several acquisitions that it expects to help power Web 2.0.
The dominant network vendor's revenue rose to $US8.9 billion for the quarter, up 21 percent from the same quarter a year earlier. Net income grew almost 34 percent to $US1.9 billion, for earnings per share of $US0.30, on a GAAP (generally accepted accounting principles) basis.
Excluding certain items, net income was $US2.1 billion or $US0.34 per share, beating the consensus forecast of analysts polled by Thomson Financial by $US0.01 per share and more than $US100 million of revenue on a non-GAAP (generally accepted accounting principles) basis.
During the quarter, which ended April 28, Cisco acquired online collaboration vendor WebEx Communications for $US3.2 billion and also bought social networking technology developer Five Across and some assets of Utah Street Networks, another social networking company.