Categories AlphaGraphs, Earnings, LATEST, Technology

HP Inc. beats Q3 earnings estimates; revenues in-line

HP Inc. (NYSE: HPQ) reported better-than-expected earnings for the third quarter of 2019 while revenues were in line with estimates.

The company also announced that its President and CEO Dion Weisler has decided to step down from his role due to a family health matter. Enrique Lores, who is currently President of HP’s Imaging, Printing and Solutions business, has been appointed as the new President and CEO effective November 1, 2019. Weisler will remain with HP through January 2020 to ensure a smooth transition.  

Shares tumbled 5% in aftermarket hours on Thursday.

HP Inc. beat earnings estimates for Q3 2019 while revenue matched expectations

Net revenue of $14.6 billion was relatively flat compared to the same period last year, and in line with estimates. Sales grew 2% in constant currency.

On a GAAP basis, net income rose 34% to $1.2 billion while EPS grew 44% to $0.78. Adjusted net income increased 4.8% to $880 million while EPS improved 11.5% to $0.58. Analysts had forecast adjusted EPS of $0.55.    

During the quarter, Personal Systems net revenue grew 3% year-over-year on a reported basis and 6% in constant currency. Commercial net revenue rose 10% while Consumer net revenue fell 11%. Total units increased 5% with a 2% increase in Notebook units and an 11% growth in Desktop units.

Also see: HP Inc. Q3 2019 Earnings Preview

Printing net revenue declined 5% year-over-year both on a reported basis and in constant currency. Total hardware units decreased 9%, with a 4% decline in Commercial hardware units and a 10% drop in Consumer hardware units. Supplies net revenue was down 7% both on a reported and constant currency basis.

For the fourth quarter of 2019, HP estimates GAAP EPS to be $0.51-0.55 and adjusted EPS to be $0.55-0.59. For fiscal-year 2019, HP raised its outlook for GAAP EPS to a range of $2.31-2.35 and adjusted EPS to a range of $2.18-2.22. This compares to the previous ranges for GAAP EPS of $2.04-2.11 and adjusted EPS of $2.14-2.21.

Listen to on-demand earnings calls and hear how management responds to analysts’ questions

Most Popular

AVGO Earnings: All you need to know about Broadcom Q1 2021 earnings results

Broadcom Limited (NASDAQ: AVGO) reported first quarter 2021 earnings results today. Total revenue increased 14% year-over-year to $6.65 billion. GAAP net income was $1.3 billion, or $3.05 per share, compared

Infographic: Costco (COST) Q2 2021 sales up 15%; earnings miss

Retail giant Costco Wholesale Corporation (NASDAQ: COST) reported higher earnings and revenues for the second quarter of 2021. Earnings missed analysts’ expectations, while sales beat. Net profit was $951 million

Will shifting to as-a-service model help Hewlett Packard in emerging stronger from COVID?

With the corporate world rapidly shifting to cloud-native computing after the virus outbreak changed work culture and the way businesses operate, technology providers are aggressively innovating their offerings. Hewlett Packard

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top