Cisco Systems, Inc. (NASDAQ:CSCO) Q1 2020 Earnings Conference Call - Final Transcript
Nov 13, 2019 • 04:30 pm ET
Kelly A. Kramer
flow was $3.6 billion, down 5%. Normalized for the $400 million legal settlement we received from Arista in Q1 of fiscal '19, operating cash flow was up 7%.
From a capital allocation perspective, we returned $2.3 billion to shareholders during the quarter that was comprised of $0.8 billion of share repurchases and $1.5 billion for our quarterly dividend. We continue to invest organically and inorganically in our innovation pipeline. During Q1, we closed four acquisitions, all in the applications area. These moves are consistent with our strategy of increasing investment in innovation and R&D for our growth areas.
To summarize, we had a solid Q1. We executed well with top line growth and strong profitability. We're seeing the returns on the investments we're making in innovation, and driving the shift to more software and subscriptions, delivering long-term growth and shareholder value.
Let me reiterate our guidance for the second quarter of fiscal '20. This guidance includes a type of forward-looking information that Marilyn referred to earlier. We expect revenue to decline in the range of minus 3% to minus 5% year-over-over. We anticipate the non-GAAP gross margin rate to be in the range of 64.5% to 65.5%. The non-GAAP operating margin rate is expected to be in the range of 32.5% to 33.5%, and the non-GAAP tax provision rate is expected to be 20%. Non-GAAP earnings per share is expected to range from $0.75 to $0.77.
I'll now turn it back to Marilyn so we can move into the Q&A.
Thanks, Kelly. Michelle, let's go ahead and open the line for questions. And while Michelle is doing that, I'd like to ask the audience to address one question only so that we have plenty of time for the others. Michelle, I'll turn it over to you.