Cisco Systems Inc.'s fourth-quarter net income dropped to $7 million, or zero cents per share, from $796 million, or 11 cents a share, a year ago.
It also reported a $1.01 billion net loss, or 14 cents a share, for fiscal year 2001, compared with a net income of $2.67 billion, or 36 cents a share, in 2000.
Fiscal year 2001, ended July 28, was "like two different years, starting out even more positive than we anticipated through December … then turning into an extremely challenging second half of the year," said CEO John Chambers.
Fourth-quarter net sales fell 25 percent, to $4.30 billion from $5.72 billion a year ago. Conversely, net sales for 2001 reached $22.29 billion, up from $18.93 billion in 2000.
Cisco showed a fourth-quarter operating loss of $137 million, compared with an operating income of $822 million. Likewise, it had a $2 billion operating loss for 2001, compared with an operating income of $3.2 billion in 2000.
Cisco also projects its first-quarter revenue will be flat or down by 5 percent.