Cisco's Net Takes Restructuring Hit

Cisco System's third-quarter profit fell 18 percent, in part because of restructuring charges.

• In a statement released Wednesday, Cisco reported third-quarter net sales of $10.9 billion, net income on a generally accepted accounting principles (GAAP) basis of $1.8 billion and non-GAAP net income of $2.3 billion.
• Cisco lost $31 million due to restructuring and other charges.
• During the company's earnings call, CEO John Chambers said he expects weakness to continue in the fourth quarter, The San Francisco Chronicle reported.
• Nonetheless, the chief executive offered an upbeat quote in the earnings release: "We have acknowledged our challenges. We know what we have to do. We have a clear game plan, and we are a company with a track record of market-shaping innovation."

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