04:51 PM EST, 02/12/2025 (MT Newswires) -- Cisco Systems ( CSCO ) late Wednesday reported stronger-than-expected fiscal second-quarter results amid growing demand for the networking equipment maker's products.

Adjusted per-share earnings rose to $0.94 during the three months ended Jan. 25 from $0.87 a year earlier, beating the $0.91 consensus estimate on FactSet. Revenue increased 9% to $13.99 billion, compared with Wall Street's $13.87 billion view.

Shares were up 6.5% in after-hours trade.

"Cisco's ( CSCO ) strong quarterly results were driven by accelerating customer demand for our technology," Chief Executive Chuck Robbins said in a statement. "As (artificial intelligence) becomes more pervasive, we are well positioned to help our customers scale their network infrastructure, increase their data capacity requirements, and adopt best-in-class AI security."

Product sales grew 11% to $10.23 billion, buoyed by security and observability. The services segment rose 6% to $3.76 billion. The company said that it recorded AI infrastructure orders of more than $350 million in the second quarter.

Cisco ( CSCO ) now forecasts fiscal 2025 adjusted EPS of $3.68 to $3.74, compared with $3.60 to $3.66 previously expected. The revenue guidance was increased to between $56 billion and $56.5 billion from the prior $55.3 billion to $56.3 billion range. Analysts polled by FactSet expect normalized EPS of $3.66 and revenue of $56 billion.

For the third quarter, Cisco ( CSCO ) projects adjusted EPS of $0.90 to $0.92 and revenue between $13.9 billion and $14.1 billion. The consensus estimates are $0.90 and $13.88 billion, respectively.

The company raised its quarterly dividend by 3% to $0.41 per share, payable April 23 to stockholders as of April 3. Cisco's ( CSCO ) board increased the size of the company's stock repurchase program by $15 billion to about $17 billion.