HP Inc. (NYSE: HPQ) reported fiscal second-quarter financial results after markets closed Wednesday. The company said that it had $0.40 in earnings per share (EPS) and $12.39 billion in revenue, versus consensus estimates from Thomson Reuters that called for $0.39 in EPS and $11.88 billion in revenue. The same period from last year had $0.41 in EPS and $11.59 billion in revenue.
In terms of its segments the company posted:
- Personal Systems net revenue totaled $7.66 billion, up 10% year over year (up 10% in constant currency) with a 3.2% operating margin. Commercial net revenue increased 7% and Consumer net revenue increased 16%. Total units were up 5% with Notebooks units up 12% and Desktops units down 6%.
- Printing net revenue totaled $4.74 billion up 2% year over year (up 2% in constant currency) with a 17.4% operating margin. Total hardware units were up 4% with Commercial hardware units up 6% and Consumer hardware units up 3%. Supplies net revenue was up 2% (up 2% in constant currency).
Looking ahead, HP issued guidance for the fiscal third-quarter and fiscal full year. The firm expects to see Q3 EPS in the range of $0.40 to $0.43 and annual EPS in the range of $1.59 to $1.66. The consensus estimates are calling for $0.42 in EPS for Q3 and $1.62 in EPS for the fiscal year.
On the books, cash and cash equivalents totaled $6.22 billion at the end of the quarter, versus $6.29 billion at the end of the previous fiscal year.
Dion Weisler, President and CEO, commented:
This was a breakthrough quarter for HP, and marks the first time both Personal Systems and Print have grown in the same quarter since 2010. We’re delivering solid performance across our portfolio, in all regions, and on key financial metrics. Our team is taking profitable share, out-executing our competitors and delivering some of the best innovation in HP’s history. It’s clear our reinvention is paying off.
Shares of HP closed Wednesday at $18.99, with a consensus analyst price target of $18.79 and a 52-week trading range of $11.48 to $19.49. Following the release, the stock was up 7.2% at $20.36 in the after-hours trading session.