HP Posts Fiscal First Quarter Earnings

HP has posted its fiscal first quarter earnings, according to which company’s revenues for the period recorded at $30.04 billion, clearly down from $32.3 billion from the previous quarter. While company’s net income remained at $1.47 billion and its earnings per share recorded to be $0.73.

Estimates made analysts were supposed to be 87 cents per share in profit. The company itself was hopeful to earn at least $4 per share during the year. A major part of HP’s revenue is developed from PC market, which showed a disappointing end of the year – causing company to incur loss in its earnings. As far as hardware numbers are concerned, it also showed a declining trend as consumer PCs losing 25% year over year and printers down by 15% as well.

During the day time, HP’s share value was down by 1%, suggesting that investors weren’t expecting strong sales. In an after hour trading, the stock has seen a fall of 2.2%. The company’s stock prices have lingered between $21 and $43 for the better part of the last year, with a recent recorded figure of $29, with company having market value of about $57.50 billion.

Surely, company had a tough past year. Even the tenure of Meg Whitman as CEO won’t help much. Before joining HP, Whitman was a CEO at Ebay, who replaced Leo Apotheker in September 2011. Apotheker’s took some wrong steps with HP’s hardware and particularly webOS IP that all led to a legal claim in which Apotheker was the main culprit.

HP ultimately settled on the initiative of open-sourcing webOS instead of getting rid of IP or terminating it completely. Investors are pretty much aware of HP’s on-again-off-again approach with hardware that put investors in a bit of confusion about the future of the company in the consumer’s perspective.

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