Feb. 28, 2023 – HP Inc. (NYSE:HPQ) Reports Fiscal 2023 First Quarter Results.
HP Inc. (NYSE:HPQ) reported fiscal Q1 diluted net earnings of $0.75 per share, Analysts polled by Capital IQ expected $0.75.
Revenue for the quarter was $13.83 billion, Analysts surveyed by Capital IQ expected $14.17 billion.
For fiscal Q2, the company expects non-GAAP EPS of $0.73 to $0.83. Analysts polled by Capital IQ project $0.76.
For fiscal 2023, the company continues to expect non-GAAP EPS of $3.20 to $3.60. Analysts surveyed by Capital IQ are looking for $3.29.
First quarter GAAP diluted net earnings per share (“EPS”) of $0.49, within the previously provided outlook of $0.47 to $0.57 per share.
First quarter non-GAAP diluted net EPS of $0.75, within the previously provided outlook of $0.70 to $0.80 per share.
First quarter returned $0.4 billion to shareholders in the form of share repurchases and dividends.
HP Inc.’s fiscal 2023 first quarter financial performance
HP’s dividend payment of $0.2625 per share in the first quarter resulted in cash usage of $0.3 billion. HP also utilized $0.1 billion of cash during the quarter to repurchase approximately 3.6 million shares of common stock in the open market. HP exited the quarter with $1.8 billion in gross cash。
Fiscal 2023 first quarter segment results
Personal Systems net revenue was $9.2 billion, down 24% year over year (down 20% in constant currency) with a 5.4% operating margin. Consumer PS net revenue decreased 36% and Commercial PS net revenue decreased 18%. Total units were down 28% with Consumer PS units down 33% and Commercial PS units down 24%.
Printing net revenue was $4.6 billion, down 5% year over year (down 2% in constant currency) with a 18.9% operating margin. Consumer Printing net revenue was down 3% and Commercial Printing net revenue was up 2%. Supplies net revenue was down 7% (down 6% in constant currency). Total hardware units were up 2% overall, with Consumer Printing units up 3% and Commercial Printing units down 8%.
Business Outlook
For the fiscal 2023 second quarter, HP estimates GAAP diluted net EPS to be in the range of $0.40 to $0.50 and non-GAAP diluted net EPS to be in the range of $0.73 to $0.83.
For fiscal 2023, HP reaffirms GAAP diluted net EPS to be in the range of $2.22 to $2.62 and non-GAAP diluted net EPS to be in the range of $3.20 to $3.60. For fiscal 2023, HP anticipates generating free cash flow in the range of $3.0 to $3.5 billion.
HP INC. AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
About HP Inc.
HP Inc. (NYSE: HPQ) is a global technology leader and creator of solutions that enable people to bring their ideas to life and connect to the things that matter most. Operating in more than 170 countries, HP delivers a wide range of innovative and sustainable devices, services and subscriptions for personal computing, printing, 3D printing, hybrid work, gaming, and more. For more information, please visit http://www.hp.com.