HP reports 2020 net revenue down 3.6%

GaryPageau

HP Inc. announced fiscal 2020 net revenue of $56.6 billion, down 3.6% (down 2.3% in constant currency) from the prior-year period.  In the printing segment, net revenue was $4.8 billion, down 3% year over year (down 2% in constant currency) with a 14.8% operating margin. Total hardware units were up 14% with Consumer hardware units up 18% and Commercial hardware units down 10%. Supplies net revenue was down 1% (flat in constant currency).

For the entire company, fourth-quarter net revenue was $15.3 billion, down 1.0% (up 0.1% in constant currency) from the prior-year period and up 7% sequentially.

“We closed out a strong quarter with a beat on the top and bottom line. The strength of our innovation with the rigor of our execution drove sequential growth in revenue, operating profit, non-GAAP EPS and cash flow,” said Enrique Lores, President and CEO, HP Inc. “We had record unit shipments in the quarter, reflecting the important role HP technology is playing in the lives of our customers. Our results give us great confidence in our ability to drive long-term growth and shareholder value in 2021 and beyond.”

HP earnings highlights:

  • Fiscal 2020 net revenue of $56.6 billion, down 3.6% from the prior-year period
  • Fiscal 2020 net cash provided by operating activities of $4.3 billion, free cash flow of $3.9 billion
  • Fiscal 2020 returned $4.1 billion to shareholders in the form of share repurchases and dividends
  • Fourth quarter GAAP diluted net EPS of $0.49, above the previously provided outlook of $0.32 to $0.36 per share
  • Fourth quarter non-GAAP diluted net EPS of $0.62, above the previously provided outlook of $0.50 to $0.54 per share
  • Fourth quarter net revenue of $15.3 billion, down 1.0% from the prior-year period
  • Fourth quarter net cash provided by operating activities of $1.9 billion, free cash flow of $1.8 billion
  • Fourth quarter returned $1.6 billion to shareholders in the form of share repurchases and dividends