Citing strong sales of its Internet networking equipment, Cisco Systems reported first-quarter sales of $US2.59 billion.
This represents a jump of 38 per cent over the same period a year ago and Cisco's 35th consecutive quarter of revenue and earnings growth, company officials said.
Net income for the quarter, including costs associated with the acquisition of American Internet, was $518 million, or 31 cents per share, up from $337 million, or 21 cents per share in the first quarter of 1998, Cisco said.
A group of analysts polled by financial watchdog First Call expected Cisco to post a profit of 33 cents per share for the quarter, which ended October 24.
During the quarter, Cisco acquired Internet infrastructure software company American Internet for $56 million, and took a one-time charge of $41 million for purchased in-process research and development.
Excluding the write-off, pro forma net income was $559 million, compared with pro forma net income of $416 million for the first quarter of 1998.
The income results reflect a three-for-two company stock split that was effective September 15, 1998.