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Cisco Shares Jump After Announcing 7% Workforce Reduction Amid Restructuring

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Cisco Shares Jump After Announcing 7% Workforce Reduction Amid Restructuring

B
Benzinga

120 Views • Aug 15, 2024

Description

Cisco shares surged in extended trading after the company announced a 7% cut to its global workforce and reported better-than-expected quarterly results. The tech conglomerate's revenue and earnings exceeded forecasts. Cisco is implementing a $1 billion restructuring plan, with most costs recognized this quarter. Cisco has experienced declining sales for three consecutive quarters as its core networking business struggles due to the shift of large enterprises to the cloud. The company has strengthened its software and security divisions to diversify revenue through recurring subscriptions.