8/15/2005 -- Thanks to surging demand for enterprise routers, Cisco Systems Inc. announced strong Q4 earnings, with an 11.1 percent year-over-year increase in revenue and a 6.4 percent boost over Cisco’s Q3 revenue. The networking giant also posted solid fiscal year 2005 numbers, with 12.5 percent growth in revenues.

Cisco’s fiscal year earnings were even more impressive: The networking giant posted a near-23 percent gain in net income, growing its earnings from $4.4 billion in FY 2004 to $5.7 billion in FY 2005.

It’s a long boom for Cisco, which for the 13th consecutive quarter posted pro forma net income in excess of $1 billion. What’s more, Cisco looks to sustain it: CFO Dennis Powell has outlined long-term growth expectations in the neighborhood of 10 to 15 percent annually. “Product orders continued to grow faster than revenues from both the sequential and year-over-year perspectives. As we have discussed in a number of financial conferences we are getting more aggressive in expanding sales coverage, committing resources to current advanced technologies, and focusing resources on a second wave of new advanced technologies,” said Powell in an interview on Cisco’s site.

The first challenge to Cisco’s growth expectations could come next quarter, when the company will begin expensing stock options. -Stephen Swoyer