CLAIM #17466 · CSCO (CSCO) · 2022Q2 earnings call · Feb 16, 2022 · due May 18, 2022
“I think that next quarter, Q3, the compares definitely get tougher from a year ago, particularly because we had an extra week of order as well.”
Chuck Robbins · CEO
In context
“r you guys. I’ll keep this like a one short, but here’s the first one. So I want to congratulate you guys on the 30%-plus product order growth. And I think what a lot of us really want to know is what is the right normalized growth rate? Or when do you see the normalized growth rate finally starting to flow through your numbers? And we look at the 30% and think this is a thematic trend. But at some point, needs to come back down a little bit. When do you see the normalization of that product corridor growth to actually happen? So that's the first question. The second question is a $20 billion question. Are you guys buying Splunk? And if not, what have been the internal considerations for not doing the deal? Chuck Robbins: So let me answer, I guess, both of them. So the – on the first one, I think that next quarter, Q3, the compares definitely get tougher from a year ago, particularly because we had an extra week of order as well. And then in Q4, obviously, that was the first quarter that we experienced a 30% plus quarter from last fiscal year. So certainly, those will be good quarters for us to sort of see a litmus test on your question. Until then, I'm not sure I have a direct answer for you, but certainly, the math will get tougher here in the next couple of quarters. On your second question, first of all, we don't comment on rumors and speculations or stories. What I will tell you is that we are constantly evaluating potential opportunities. Scott and I were talking. We think for every deal we do, we probably look at 10 to 15 companies. We base our decisions on, first and foremost, strategic fit; secondly, cultural fit and equally as important, the financial and the valuation fit. And we are always disciplined”
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SEC filings for CSCO ↗ · Claim quote is verbatim from the 2022Q2 earnings call.