HP reports first-quarter net revenue up almost 9%
Palo Alto, Calif-based HP Inc. announced first-quarter net revenue of $17.0 billion, up 8.8% (up 8.2% in constant currency) from the prior-year period. Net earnings were level at $1.1 billion.
“We once again delivered strong top and bottom-line results with record revenue driven by strong demand and our leadership in hybrid,” said Enrique Lores, HP President and CEO. “Our Q1 performance was particularly strong across our key growth areas that collectively grew double-digits including gaming, peripherals, workforce solutions, consumer subscriptions, and industrial graphics and 3D. Our performance reflects progress against our strategy to build a stronger HP.”
Fiscal 2022 first quarter segment results
- Personal Systems net revenue was $12.2 billion, up 15% year over year (up 14% in constant currency) with a 7.8% operating margin. Consumer net revenue decreased 1% and Commercial net revenue increased 26%. Total units were down 6% with Notebooks units down 9% and Desktops units up 3%.
- Printing net revenue was $4.8 billion, down 4% year over year (down 5% in constant currency) with a 18.2% operating margin. Consumer net revenue was down 23% and Commercial net revenue was up 9%. Supplies net revenue was down 2% (down 3% in constant currency). Total hardware units were down 28% overall, with Consumer units down 31% and Commercial units down 3%.
| HP Inc.’s fiscal 2022 first quarter financial performance | ||||||||||||
| Q1 FY22 | Q1 FY21 | Y/Y | ||||||||||
| GAAP net revenue ($B) | $ | 17.0 | $ | 15.6 | 8.8% | |||||||
| GAAP operating margin | 8.0% | 8.4% | (0.4) pts | |||||||||
| GAAP net earnings ($B) | $ | 1.1 | $ | 1.1 | 2% | |||||||
| GAAP diluted net EPS | $ | 0.99 | $ | 0.83 | 19% | |||||||
| Non-GAAP operating margin | 8.8% | 9.4% | (0.6) pts | |||||||||
| Non-GAAP net earnings ($B) | $ | 1.2 | $ | 1.2 | 1% | |||||||
| Non-GAAP diluted net EPS | $ | 1.10 | $ | 0.92 | 20% | |||||||
| Net cash provided by operating activities ($B) | $ | 1.7 | $ | 1.0 | 62% | |||||||
| Free cash flow ($B) | $ | 1.4 | $ | 0.9 | 55% | |||||||