04:43 PM EST, 11/13/2024 (MT Newswires) -- Cisco Systems' ( CSCO ) fiscal first-quarter results declined less than expected year-over-year as a revenue increase in the networking equipment maker's services helped counter weakness in product sales.

Adjusted per-share earnings fell to $0.91 during the three months ended Oct. 26 from $1.11 a year earlier, but beat the $0.87 consensus estimate on Capital IQ. Revenue declined 6% to $13.84 billion, compared with the Street's $13.77 billion view.

"Our customers are investing in critical infrastructure to prepare for (artificial intelligence), and with the breadth of our portfolio, we are uniquely positioned to capitalize on this opportunity," Chief Executive Chuck Robbins said in a statement.

Product sales decreased 9% to $10.11 billion, weighed down by networking and collaboration. The services segment rose 6% to $3.73 billion.

Cisco ( CSCO ) now forecasts fiscal 2025 adjusted EPS of $3.60 to $3.66, compared with $3.52 to $3.58 previously expected. The revenue guidance was increased to between $55.3 billion and $56.3 billion from the prior $55 billion to $56.2 billion range. Analysts polled by Capital IQ expect normalized EPS of $3.57 and revenue of $55.95 billion.

For the second quarter, Cisco ( CSCO ) projects adjusted EPS of $0.89 to $0.91 and revenue between $13.75 billion and $13.95 billion. The consensus estimates are $0.87 and $13.76 billion, respectively.

The company in August announced a restructuring plan that was expected to affect 7% of its global workforce.