https://investor.cisco.com/news/news-details/2024/CISCO-REPORTS-SECOND-QUARTER-EARNINGS/default.aspx
15 replies (most recent on top)
5%?!!?!!!
'Tis but a scratch.
Just 5% ?? 4200 is too less. Was expecting like 12-15k atleast.
... was expecting 12-15k? Because of reading this fine website? LOL.
maybe red badges are going to be sla-ghtered
Likely will be more LRs in future quarters. Note the timing of the forecast charges (Q3, Q4, 1H FY25) and additional mandatory PTO parked in July for those of us who are still employees. You can look at previous RIFs and the charges they allocated for those ($600M last time, $800M this time) and it's clear the number is not going to be 5%. Some of us heard much larger numbers - 12-16K. Some of that will probably happen silently. When they ask you to use PTO, you know a RIF is coming. The started asking us to use additional PTO before shutdown...here comes the first one a month after that. Look for the next sometime after the July mandatory PTO.
chuck only made 267x more than median cisco employee (wonder how that compares to contractors) in 2023. thats up from 181x in 2019. cisco xEOs only made a billion in 2023. some has to take it in the neck if they want to keep that circus going.
How messed up is that. Over 4000 are going to lose their jobs and we feel relieved, because everyone anticipated twice that
Well, thank goodness they are still on track with the stock market manipulation program——er, I mean "stock buybacks." That's something that most employees [in the C-suite] count on to help pay the rent [on their 2nd vacation home] and put the kids through [Ivy League] school.
Just 5% ?? 4200 is too less. Was expecting like 12-15k atleast.
Earnings Result has all the numbers: https://investor.cisco.com/files/doc_earnings/2024/q2/earnings-result/Q2FY24-Press-Release.pdf
5/100 * 84,900 = 4,245 employees will be LR'ed. Not bad.
Expect layoffs through the rest of the FY24 and in to FY25 folks. This 5% number is just the initial hit:
“Cisco expects to take the majority of these actions in the third quarter of fiscal 2024 and recognize approximately $500 million of these charges. Cisco expects approximately $150 million of these charges to be recognized in the fourth quarter of fiscal 2024, and the remaining amount of these charges primarily through the first half of fiscal 2025”
$800M
On February 14, 2024, Cisco announced a restructuring plan in order to realign the organization and enable further investment in key priority areas. This restructuring plan will impact approximately 5 percent of Cisco's global workforce. Cisco currently estimates that it will recognize pre-tax charges to its GAAP financial results of approximately $800 million consisting of severance and other one-time termination benefits and other costs. These charges are primarily cash-based. Cisco expects to take the majority of these actions in the third quarter of fiscal 2024 and recognize approximately $500 million of these charges. Cisco expects approximately $150 million of these charges to be recognized in the fourth quarter of fiscal 2024, and the remaining amount of these charges primarily through the first half of fiscal 2025.
Cutting 5%
Someone find how much is allocated for layoffs