Cisco released its fourth quarter earnings report after hours on Wednesday, beating on both its top and bottom lines. The company offered a forecast for its first quarter revenue which fell below investors’ expectations, anticipating a decline between 9% to 11%. Yahoo Finance’s Myles Udland breaks down the company’s earnings report.

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(Bloomberg) — Cisco Systems Inc. gave a lackluster sales forecast for the current period, a sign that businesses and government agencies are spending less in the pandemic-driven recession.Revenue will fall 9% to 11% from a year earlier in the fiscal first quarter, which ends in late October, the San Jose, California-based company said Wednesday in a statement. Analysts on average had projected a decline of about 7%. Adjusted profit will be 69 cents to 71 cents a share, lower than Wall Street expectations of 76 cents, according to data compiled by Bloomberg.Cisco shares fell about 4% in extended trading. The stock closed at $48.10 in New York earlier. A large chunk of Cisco’s revenue comes from government agencies and small and medium-sized businesses. Many of these customers have cut spending to adjust to an economic slowdown sparked by Covid-19 lockdowns.Chief Executive Officer Chuck Robbins is trying to reduce Cisco’s reliance on expensive proprietary hardware and increase sales of software and services. After returning to growth in 2018, revenue has started to decline again this year, showing how Cisco’s business is still exposed to economic cycles.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

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New Constructs CEO David Trainer joins Yahoo Finance’s Kristin Myers to discuss his outlook on Tesla after the company announced a 5-for-1 stock split.

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Eli Lilly (LLY) and Innovent Biologics have announced that the National Medical Products Administration (NMPA) of China has accepted the supplemental New Drug Application (sNDA) for TYVYT (sintilimab injection) in combination with Gemzar (gemcitabine) and platinum as first-line therapy in squamous non-small cell lung cancer (squamous NSCLC).Recently, the NMPA accepted sNDA for TYVYT (sintilimab injection) as first-line therapy in non-squamous NSCLC on Apr 23, 2020.The sNDA was based on the analysis of a randomized, double-blind, Phase 3 clinical study (ORIENT-12) of 357 patients, which demonstrated a statistically significant improvement in progression-free survival (PFS) compared with placebo. The safety profile was also consistent with previously reported sintilimab studies.Professor Caicun Zhou, Head of Department of Oncology, Shanghai Pulmonary Hospital, stated: “We are pleased to see that sintilimab in combination with chemotherapy has met predefined primary endpoint in ORIENT-12 study. There still exists large unmet medical needs in squamous NSCLC patients. Globally, ORIENT-12 has demonstrated for the first time survival benefit by treatment with PD-1 inhibitor in combination with gemcitabine and platinum in first-line squamous NSCLC.”Lung cancer is a malignancy with the highest morbidity and mortality in China. NSCLC accounts for approximately 80-85% of all lung cancer diagnosis- and about 35% of patients with NSCLC in China are of squamous subtype without driver genes.TYVYT (sintilimab injection), is being jointly developed in China by Lilly and Innovent, and has already been granted marketing approval by the NMPA for relapsed or refractory classic Hodgkin’s lymphoma after at least two lines of systemic chemotherapy.It is a type of immunoglobulin G4 monoclonal antibody, which binds to PD-1 molecules on the surface of T-cells, blocks the PD-1/ PD-Ligand 1 (PD-L1) pathway and reactivates T-cells to kill cancer cells.Shares in LLY are up 15% year-to-date and analysts have a cautiously optimistic Moderate Buy consensus on the stock’s outlook. That’s alongside a $173 average analyst price target (14% upside potential).“We see Lilly as a best-in-class story but have remained Neutral on the stock given the premium multiple at which it has been trading” commented Mizuho Securities analyst Vamil Divan on August 3, after the company delivered an ‘admittedly messy 2Q20.’ Results were negatively impacted by the COVID-19 pandemic but boosted by higher Other Income, lower expenses and a lower tax rate.Divan has a $164 price target on LLY, but notes that he could become more constructive on the stock ahead of upcoming catalysts if the current weakness persists. (See LLY stock analysis on TipRanks).Related News: Pfizer Inks Deal To Manufacture Gilead’s Covid-19 Remdesivir Treatment AstraZeneca Strikes First China Manufacturing Deal For Covid-19 Candidate Novavax Rises 5% On Earnings; $2B Covid-19 Vaccine Funding More recent articles from Smarter Analyst: * Liberty To Snap Up Swiss Telecom Sunrise In $7.4B Deal * Mesoblast Tanks 35% Ahead Of FDA Meeting; Analyst Sees 85% Stock Upside * ASOS: ‘100% Profit Beat’ Cheers RBC Capital On Trading Update * Truist Securities Ramps Up Wayfair’s PT On Improving Profitability

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(Bloomberg) — With diners staying away from restaurants, the owner of Chili’s and Maggiano’s is reporting rapid growth of a new service to deliver chicken wings under a different brand name.It’s Just Wings is bringing in more than $3 million in sales a week since its launch in June, according to Wyman Roberts, chief executive officer of parent company Brinker International Inc. The brand, delivered to customers through a partnership with DoorDash Inc., utilizes the kitchens of 1,050 Chili’s and Maggiano’s locations.“Sales have grown nicely,” Roberts said on a conference call after the company reported quarterly earnings. “It’s met or exceeded our expectation pretty much on every turn.”Brinker is capitalizing on the so-called ghost kitchen concept, where restaurants forgo dining rooms and cater exclusively to customers eating away, as the pandemic makes expensive dining-room real estate more difficult to pencil. It can be a boon for restaurants looking to cut costs, particularly at a time when health concerns and capacity limits put a strain on operations.The challenges showed up in Brinker’s performance at physical locations. Comparable restaurant sales fell 38.6% in the fourth quarter from a year ago.Brinker shares rose as much as 9.2% Wednesday in New York.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

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