HP reports third-quarter revenue up 7%
HP Inc. announced fiscal 2021 third-quarter net revenue of $15.3 billion, up 7.0% (up 4.1% in constant currency) from the prior-year period.
“Strong and sustained demand for our technology drove another quarter of top and bottom-line growth and we more than doubled non-GAAP EPS year over year,” said Enrique Lores, president and CEO, HP. “We are performing while we are transforming our business models and service offerings to accelerate growth opportunities across our portfolio. The evolving hybrid world is driving innovation and market expansion for HP and we are well-positioned to capitalize on trends in our markets.”
Printing net revenue was $4.9 billion, up 24% year over year with a 17.6% operating margin. Total hardware units were down 4% overall, with Consumer units down 8% and Commercial units up 29%. Consumer net revenue was up 15% and Commercial net revenue was up 46%. Supplies net revenue was up 20% (up 19% in constant currency).
HP INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
(Unaudited)
(In millions, except per share amounts)
| Three months ended | |||||||||||
| July 31, 2021 | April 30, 2021 | July 31, 2020 | |||||||||
| Net revenue | $ | 15,289 | $ | 15,877 | $ | 14,294 | |||||
| Costs and expenses: | |||||||||||
| Cost of revenue | 11,901 | 12,437 | 11,901 | ||||||||
| Research and development | 477 | 514 | 359 | ||||||||
| Selling, general and administrative | 1,408 | 1,483 | 1,156 | ||||||||
| Restructuring and other charges | 56 | 39 | 59 | ||||||||
| Acquisition-related charges | 24 | 10 | 11 | ||||||||
| Amortization of intangible assets | 42 | 32 | 29 | ||||||||
| Total costs and expenses | 13,908 | 14,515 | 13,515 | ||||||||
| Earnings from operations | 1,381 | 1,362 | 779 | ||||||||
| Interest and other, net | (55 | ) | (26 | ) | (28 | ) | |||||
| Earnings before taxes | 1,326 | 1,336 | 751 | ||||||||
| Provision for taxes | (218 | ) | (108 | ) | (17 | ) | |||||
| Net earnings | $ | 1,108 | $ | 1,228 | $ | 734 | |||||
| Net earnings per share: | |||||||||||
| Basic | $ | 0.94 | $ | 1.00 | $ | 0.52 | |||||
| Diluted | $ | 0.92 | $ | 0.98 | $ | 0.52 | |||||
| Cash dividends declared per share | $ | 0.39 | $ | — | $ | 0.35 | |||||
| Weighted-average shares used to compute net earnings per share: | |||||||||||
| Basic | 1,185 | 1,234 | 1,417 | ||||||||
| Diluted | 1,199 | 1,247 | 1,423 | ||||||||