Research Reports

Prepared Highlights

Total revenue: $15.3B, up 10% YoY (record Q2) (CFO)
Product revenue: $11.6B, up 14% YoY; Services revenue: $3.7B, down 1% YoY (CFO)
Networking revenue: up 21% YoY, driven by AI infrastructure and campus refresh (CFO)
Security revenue: down 4% YoY, due to prior-gen declines and Splunk shift to cloud subscriptions (CFO)
Collaboration revenue: up 6% YoY, led by double-digit devices growth (CFO)
Non-GAAP gross margin: 67.5%, down 120 bps YoY; product gross margin 66.4%, down 130 bps (mix, higher memory costs) (CFO)
Non-GAAP operating margin: 34.6%, above high end of guidance (CFO)
Non-GAAP EPS: $1.04, up 11% YoY (CFO)
Total RPO: $43.4B, up 5%; Product RPO up 8% (long-term portion $11.8B, up 11%) (CFO)
Total ARR: $31B, up 3%; Product ARR up 6% (CFO)
Operating cash flow: $1.8B, down 19% (due to $2.3B transition tax payment and AI investments) (CFO)
Capital returned: $3B in Q2 ($1.6B dividend, $1.4B buybacks); $6.6B YTD (CFO)
Product orders: up 18% YoY overall; excluding hyperscalers up 10%; enterprise up 8%; public sector up 11%; service provider/cloud up 65% (CEO)
AI infrastructure orders from hyperscalers: $2.1B in Q2 (vs $1.3B last quarter, equal to total FY25) (CEO)
AI orders from neocloud/sovereign/enterprise: $350M in Q2; pipeline >$2.5B (CEO)
Silicon One: shipped 1 millionth chip in Q2; introduced 102.4 Tbps G300 chip (CEO)
Acacia: strongest quarter to date with triple-digit bookings growth (CEO)
Splunk: 500 new logos in H1 FY26; on track for 1,000 new logos in FY26 (CEO)
Dividend increase: raised by $0.01 to $0.42 per quarter (CFO)

Official Guidance

Q3 FY26: Revenue $15.4B–$15.6B; non-GAAP gross margin 65.5%–66.5%; non-GAAP operating margin 33.5%–34.5%; non-GAAP EPS $1.02–$1.04 (CFO)
Full-year FY26: Revenue $61.2B–$61.7B; non-GAAP EPS $4.13–$4.17 (CFO)
AI infrastructure revenue from hyperscalers FY26: >$3B recognized; AI orders >$5B (CEO)

Mgmt Quotes

"Q2 was a very strong quarter with revenue and earnings per share both growing double digits and coming in above the high end of our guidance ranges." (CEO)
"We delivered record revenue in Q2, putting Cisco on track to deliver our strongest year yet as indicated in our guidance for the full year." (CEO)
"We now expect to take AI orders in excess of $5 billion and to recognize over $3 billion in AI infrastructure revenue from hyperscalers in FY '26." (CEO)
"We delivered another strong quarter with record revenue in Q2 and both operating margin and earnings per share coming in above the high end of our guidance." (CFO)
"Cisco is positioned for its strongest year ever as indicated in our guidance for fiscal year 2026." (CFO)

Prepared Metrics

Metric	Value	Speaker/Context
Total Revenue	$15.3B, +10% YoY	CFO
Product Revenue	$11.6B, +14% YoY	CFO
Services Revenue	$3.7B, -1% YoY	CFO
Networking Revenue Growth	+21% YoY	CFO
Security Revenue Growth	-4% YoY	CFO
Collaboration Revenue Growth	+6% YoY	CFO
Non-GAAP Gross Margin	67.5% (-120 bps YoY)	CFO
Non-GAAP Product Gross Margin	66.4% (-130 bps YoY)	CFO
Non-GAAP Operating Margin	34.6%	CFO
Non-GAAP EPS	$1.04, +11% YoY	CFO
Total RPO	$43.4B, +5%	CFO
Product RPO (long-term)	$11.8B, +11%	CFO
Total ARR	$31B, +3%	CFO
Operating Cash Flow	$1.8B, -19%	CFO
Capital Returned (Q2)	$3B	CFO
Product Orders Growth	+18% YoY	CEO
AI Orders from Hyperscalers (Q2)	$2.1B	CEO
AI Orders from Others (Q2)	$350M	CEO
Dividend (new quarterly)	$0.42	CFO

Q&A Batch (1-1 of 1)

Q1 — Mark Patterson

Topic: 毛利率展望与软件增长
Key points:
- 内存价格上涨是暂时性因素，预计毛利率将随时间推移改善。
- 2027财年软件增长预计将改善，从而进一步支撑毛利率。
Mgmt stance: 中性偏乐观，认为可控因素和软件增长将推动毛利率回升。

Q2 — Aaron Rakers (Wells Fargo)

Topic: AI网络机会、规模扩展（scale-up）及与NVIDIA的合作
Key points:
- 公司尚未宣布规模扩展（scale-up）产品，但计划未来参与并产生收入。
- 主权AI业务在2026财年无实质影响，仅为上行空间；新云（neocloud）业务预计2026下半年开始爬坡，但主要贡献在2027财年。
- 与NVIDIA的现场合作数量环比增长70%，早期成功已显现。
Mgmt stance: 谨慎乐观，规模扩展未定，主权/新云为远期利好，NVIDIA合作加速。

Q3 — Meta Marshall (Morgan Stanley)

Topic: 企业AI投资意愿、价格上调对需求的影响
Key points:
- 企业AI用例包括量化分析、欺诈检测、视频分析，覆盖金融、制造、制药、零售等领域。
- 数据中心交换业务（企业聚焦）过去8个季度中有6个季度实现双位数订单增长，其余2个季度仍为正增长。
- 价格上调未导致显著的前置订单（pull-forward），季度内线性增长良好，管道反而在后续季度积累。
- 客户理解价格上调是行业性问题，未出现战略性投资延迟或取消。
Mgmt stance: 乐观，企业AI投资持续强劲，价格上调未影响需求，客户合作关系稳固。