Daily Management Review

HP's net profit falls in 2018-2019


Net income of HP Inc. in the 2018-2019 fiscal year, ended on October 31, amounted to $ 3.152 billion, which is 1.7 times less than in the last financial year, the company reported.

Diluted earnings per share for the reporting period amounted to $ 2.07 compared to $ 3.26 for the same period last year. According to the results of the financial year, the company's revenue grew by only 0.5% and amounted to 58.756 billion dollars.

The company's net profit for the fourth quarter decreased by 3.7 times and amounted to 388 million dollars, while a year ago it was about 1.45 billion. Diluted earnings per share for the reporting period amounted to $ 0.26 compared to $ 0.91 for the same period last year. The company's revenue for the fourth quarter increased by 0.3%, to $ 15.407 billion. Analysts expected quarterly revenue of $ 15.25 billion.

The revenue of the Personal Systems division (personal computing segment), which accounts for about 68% of the company's total revenue, rose in the fourth quarter by 3.6% year-on-year to $ 10.426 billion, which exceeded the forecast of $ 10.29 billion. The business of Printing decreased by 6% on an annualized basis, to $ 4.982 billion.

In the first quarter of fiscal year 2019-2020, the company expects diluted earnings per share of $ 0.39-0.42, and $ 2-2.1 for the entire financial year.

HP Inc is an American IT company established in 2015 as part of the Hewlett-Packard division. In November 2014, Hewlett-Packard announced division into two companies to maintain competitiveness. Technology infrastructure, software, and services are part of Hewlett-Packard Enterprise Co., while personal computing and printing facilities are part of HP Inc.

source: bloomberg.com