Cisco increased its profits by nearly a billion dollars in its third fiscal quarter after rising sales boosted the company's financial results.

The company made $2.2 billion, or 37 cents per share, on a 27 percent increase in sales, which hit $10.4 billion. Last year the company made $1.3 billion on $8.2 billion in sales.

"We emerge from this downturn gaining market share, a larger share of the total wallet spend of our customers, dramatically improved customer relations as a trusted technology and business partner, and having next-generation products in almost every product category," said Cisco CEO John Chambers in a statement. "It is clear that our game plan for how to handle economic downturns is hitting on all cylinders."

Despite the results, Cisco's stock fell 3.1 percent to $25.91 in NASDAQ trading by 9:45 a.m. Central today. The company's stock closed at $26.74 before it reported its earnings yesterday and fell more than 1 percent in after hours trading.