Hewlett Packard Enterprise Company
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +0.56%.
Did HPE Beat Earnings? Q4 2025 Results
Hewlett Packard Enterprise closed fiscal 2025 on a mixed but broadly constructive note, delivering a non-GAAP EPS beat while falling short on the top line. The company reported Q4 revenue of $9.68 billion, up 14.1% year over year but trailing the $9.93 billion consensus by 2.55%, as weakness in its Server and Hybrid Cloud segments weighed on results. Non-GAAP diluted EPS of $0.62 cleared the $0.58 consensus estimate by 6.90%, with the outperformance driven in significant part by the Juniper Networks acquisition, whose higher-margin networking mix helped lift non-GAAP gross margin by 550 basis points to 36.4%. The Networking segment, newly reshaped by Juniper's integration, surged 150% to $2.81 billion, becoming the quarter's defining growth engine. J.P. Morgan maintained a Buy rating on the stock heading into the print, reflecting cautious optimism among some analysts. Looking ahead, HPE raised its FY26 non-GAAP EPS guidance to $2.25 to $2.45 and projected revenue growth of 17% to 22%, signaling confidence that Juniper's contributions will increasingly offset pressure elsewhere in the portfolio.
- Completion of Juniper Networks acquisition drove 150% Networking revenue growth
- Record non-GAAP gross profit margin of 36.4%, up 550 basis points year-over-year
- Annualized revenue run-rate (ARR) reached $3.2 billion, up 63% year-over-year
- Disciplined spending and structural cost management initiatives
- Free cash flow of $1.9 billion exceeded outlook
“HPE finished a transformative year with a strong fourth quarter of profitable growth and disciplined execution. During the year, we completed the Juniper Networks acquisition, further scaled our AI and Cloud businesses, and accelerated innovation across our portfolio, giving HPE momentum to advance our strategic priorities in fiscal 2026.”
Hewlett Packard Enterprise CEO, on the earnings call
Forward Guidance & Outlook
For Q1 FY26, HPE estimates revenue of $9.0 billion to $9.4 billion, GAAP diluted net EPS of $0.09 to $0.13, and non-GAAP diluted net EPS of $0.57 to $0.61. For full-year FY26, HPE reaffirmed its revenue growth outlook of 17% to 22%, raised non-GAAP diluted net EPS guidance to $2.25 to $2.45 (from prior levels), raised GAAP diluted net EPS to $0.62 to $0.82, expects non-GAAP operating profit growth of 32% to 40%, and raised the midpoint of free cash flow guidance to $1.7 billion to $2.0 billion.
HPE YoY Financials
HPE Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.