Cisco Expects Revenue Growth as Supply Chain Pressures Ease
Cisco Systems Inc. gave a positive forecast for first-quarter sales as a COVID-19 recovery in China eases supply chain shortages and helps it meet demand for networking hardware, sending the company’s shares 5 percent higher in extended trading.
The results announced on Wednesday suggest networking equipment makers have started overcoming the component crunch that had kept them from tapping a post-pandemic revival in digital infrastructure spending.
“After a challenging April due to the COVID-related shutdowns in Shanghai … overall supply constraints began to ease slightly at the back half of the fourth quarter and continuing into the start of Q1,” Chief Executive Chuck Robbins said on a post-earnings call….