8-KEarnings & Results

CISCO SYSTEMS, INC. 8-K Report, Financial Results (Aug 15, 2012)

Filed August 15, 2012For Securities:CSCO

Summary

This 8-K filing by Cisco Systems, Inc. (CSCO) on August 15, 2012, primarily reports the company's financial results for its fiscal fourth quarter and full fiscal year 2012, which ended on July 28, 2012. The report includes a press release that details these financial outcomes. Notably, the filing emphasizes the use of non-GAAP financial measures, such as non-GAAP net income, non-GAAP net income per share, and non-GAAP inventory turns, alongside the standard GAAP (Generally Accepted Accounting Principles) figures. Cisco explains that these non-GAAP measures are provided to offer investors a clearer view of underlying business trends, excluding items like share-based compensation, amortization of acquisition-related intangibles, other acquisition costs, and significant asset impairments or restructurings, along with their tax effects and significant tax matters. The company believes these adjusted figures help management and investors better assess operational performance and inventory management by removing costs not reflective of ongoing operations or those tied to past acquisitions. Investors should review these non-GAAP measures in conjunction with the official GAAP reporting to gain a comprehensive understanding of Cisco's financial health and performance during the reported periods.

Key Highlights

  • 1Cisco Systems, Inc. announced its fiscal Q4 and full fiscal year 2012 results on August 15, 2012.
  • 2The report includes a press release detailing financial results for the period ending July 28, 2012.
  • 3The filing prominently features non-GAAP financial measures alongside GAAP results.
  • 4Non-GAAP measures include net income, net income per share, and inventory turns.
  • 5Excluded items from non-GAAP calculations include share-based compensation, acquisition-related amortization and costs, and restructuring charges.
  • 6Cisco states these non-GAAP figures provide insights into ongoing operational trends and inventory management.
  • 7Investors are advised to consider both GAAP and non-GAAP measures for a complete financial picture.

Frequently Asked Questions

The primary purpose of this 8-K filing is to publicly announce and provide detailed financial results for Cisco Systems' fiscal fourth quarter and full fiscal year 2012, which concluded on July 28, 2012, via an accompanying press release.

Cisco includes non-GAAP financial measures because it believes they offer investors and management a more insightful view of the company's underlying business trends and operational performance. These measures exclude certain items that management does not consider reflective of ongoing operations, such as share-based compensation, acquisition-related costs, and restructuring charges.

Cisco excludes items such as share-based compensation expense, amortization of acquisition-related intangible assets, other acquisition-related costs (including compensation expense, changes in fair value of contingent consideration, professional fees, and foreign currency gains/losses related to acquisitions), and significant asset impairments and restructurings. The income tax effects of these excluded items and significant tax matters are also adjusted for.

Investors should interpret the non-GAAP financial data as supplementary information that aims to provide a clearer perspective on the company's operational performance. It's crucial to review these non-GAAP measures in conjunction with the corresponding GAAP measures to understand the full financial picture and the impact of the excluded items.