Net profit rose to 982 million dollars or 14 cents a share in the three months to July 26 from the year-ago net profit of 772 million dollars or 10 cents a share.

But sales slid 2.6 percent to 4.70 billion dollars.

Much of the profit jump was caused by a 178-million-dollar decline in expenses related to the cost of writing down the value of acquisitions, the company said.

Amortization of purchased intangible assets fell to 110 million dollars from 288 million dollars.

Research costs also tumbled.

"We are pleased to report another solid quarter in a challenging market," Cisco Systems president and chief executive John Chambers said in a statement accompanying the results.

"We continue to achieve some of the best financial measurements in our company's history."

The May-July quarter is also the last quarter of Cisco's business year.

Net profit for the 12 months ending July 26 shot up 89.0 percent to 3.58 billion dollars while sales fell 0.2 percent to 18.88 billion dollars, the company said.

SPACE.WIRE