Cisco reported fourth quarter and fiscal year results for the period ended July 31, 2021.
The company reported Q4 revenue of $13.1 billion, up 8% from $12.15 billion a year ago. On a GAAP basis, net income was $3.0 billion, an increase of 14%, and EPS was $0.71, an increase of 15%. On a non-GAAP basis, net income was $3.6 billion, an increase of 5%, and EPS was $0.84, an increase of 5%.
Adjusted total gross margin, product gross margin, and service gross margin were 65.6%, 65.0%, and 67.4%, respectively, as compared with 65.0%, 63.2%, and 69.8%, respectively, in the fourth quarter of fiscal 2020.
Non-GAAP operating expenses were $4.2 billion, up 8%, and were 32.1% of revenue. Non-GAAP operating income was $4.4 billion, up 10%, with non-GAAP operating margin at 33.5%.
Cash Flow from operating activities was $4.5 billion for the fourth quarter of fiscal 2021, an increase of 18% compared with $3.8 billion for the fourth quarter of fiscal 2020.
"We continue to see great momentum in our business as customers are looking to modernize their organizations for agility and resiliency," said Chuck Robbins, chair and CEO of Cisco. "The demand for Cisco technology is strong with our Q4 performance marking the highest product order growth in over a decade. With the power of our portfolio, we are well positioned to help our customers accelerate their digital transformation and thrive in a hybrid world."
Meanwhile, Scott Herren, CFO of Cisco said, "We executed exceptionally well delivering strong results across revenue, non-GAAP net income, non-GAAP EPS and record operating cash flow. Our performance reflects the impact of our investments in high growth opportunities resulting in our strong product order growth. As we continue to drive our business model transformation to more recurring revenue, we now have built up over $30 billion in remaining performance obligations."
In Financial Year 2021, the company reported total revenue was $49.8 billion, an increase of 1% from $49.3 billion last year. On a GAAP basis, net income was $10.6 billion, a decrease of 6%, and EPS was $2.50, a decrease of 5%. On a non-GAAP basis, net income was $13.6 billion, flat compared to fiscal 2020, and EPS was flat at $3.22. Cash Flow from Operating Activities was $15.5 billion for fiscal 2021, flat compared with fiscal 2020.
Looking ahead, the company expects 61 cents to 66 cents a share in Q1 profit, or 79 cents to 81 cents on an adjusted basis. Analysts are forecasting 67 cents and 81 cents, respectively.
For fiscal 2022, Cisco is modeling revenue growth of between 5% and 7%, and EPS of between $2.72 and $2.84, or between $3.38 and $3.45 on an adjusted basis.
