The company said that it had $0.48 in earnings per share (EPS) on $11.89 billion in revenue, versus the consensus estimates from Thomson Reuters that called for $0.44 in EPS on $11.47 billion in revenue.
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HP released its latest earnings report after closing bell tonight, posting adjusted earnings of 48 cents per share on $11.89 billion in revenue. Third quarter non-GAAP net earnings from continuing operations and non-GAAP diluted net EPS from continuing operations exclude after-tax adjustments of $17 million, or $0.01 per share, related to restructuring and other charges, amortization of intangible assets, tax indemnifications, and non-operating retirement-related credits / (charges).
HP also said it is on track to cut its cost structure by more than $1 billion. Accounts payable ended the quarter at $10.4 billion, up 8 days quarter over quarter to 96 days. The stock is now down 0.75 on 710K shares.
Net revenues from the company’s Personal Systems segment remained flat with the year-ago result or rose 2% in constant currency. Total units went up 4 percent with Notebooks units lifting 12 percent and Desktops units declining 6 percent. Printing net revenue declined 14% year-over-year, with a 20.4% operating margin. Total hardware units were down 10% with Commercial hardware units down 2% and Consumer hardware units down 14%. Supplies revenue fell 18% or 13% in constant currency. The Q4 2016 consensus earnings estimates for the company have stabilized at US$0.41 per share. Wall Street’s consensus for HP’s fourth quarter stands at 41 cents per share in adjusted earnings and $11.8 billion in revenue. The net profit from continuing operations rose to Dollars 843 million from 700 million. Analysts expected EPS of $0.44.
Shares of HP slumped by as much as 4.44% to $13.76 in after-hours trades on Wednesday. Over the 52-week time span, the stock notched a high price of $14.82 and its minimum price was $8.91.
In taking a look at technical levels, shares are trading 7.53% away from the 50 day simple moving average and 21.06% away from the 200 day simple moving average.
On the ratings front, HPQ has been the subject of a number of recent research reports.
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HP dropped below Wednesday’s trading range going into the close and finished with a loss of 0.17 at $14.40 on above average volume.
