Cisco posted record Q3 fiscal 2026 revenue of $15.84 billion versus $15.56 billion expected, with adjusted EPS of $1.06 versus $1.04 expected. The stock jumped about 15% on May 14, its best single-day move since 2011, after CEO Chuck Robbins told CNBC that tech is entering a networking supercycle driven by surging AI demand.
Cisco took in $1.9 billion in AI infrastructure orders from hyperscalers in Q3 alone, bringing fiscal-year-to-date orders to $5.3 billion. The company nearly doubled its full-year AI order forecast from $5 billion to $9 billion, with roughly half of AI infrastructure revenue coming from its in-house Silicon One chips.
To fund the AI pivot, Cisco disclosed plans to eliminate nearly 4,000 positions, under 5% of global headcount. Robbins said the companies that will win in the AI era are those with the discipline to continuously shift investment toward areas where demand and long-term value creation are strongest.