But the collaboration unit (which houses its on-site teleconferencing devices and Webex video conferencing platform) remained weak due to the post-pandemic slowdown and stiff competition from newer video conferencing platforms like Zoom Video Communications (NASDAQ: ZM). Cisco Systems' (NASDAQ: CSCO) stock jumped 5% on Feb. 16 after the networking hardware and software giant posted its latest earnings report. It expects its adjusted gross margin to remain relatively stable at 63.5%-64.5% in the third quarter as it navigates the inflationary and supply chain headwinds while expanding its higher-margin software-oriented businesses.