HP and Dell Announce Declining Quarterly Results

By Chris Freeburn February 23, 2012

Hewlett-Packard (HP) has issued dismal first quarter financial results. The world’s largest personal computer manufacturer reported that first quarter (1Q) revenues slid seven percent to $30.7 billion, compared to $32.3 billion in 1Q 2011. Quarterly income fell, too, down sharply to $1.47 from $2.6 billion in the prior 1Q. Adjusted quarterly profit numbers beat analysts’ expectations, however. FactSet Research had predicted 87 cents per share earnings, while HP’s accounting-adjusted per share earnings came in at 92 cents.

The first quarter results provided the first measure of Meg Whitman’s tenure as CEO. Whitman, who replaced Leo Apotheker in September, chose to focus on the positive. “We delivered on our Q1 outlook and remained focused on the fundamentals to drive long-term sustainable returns,” she said in a statement. “We are taking the necessary steps to improve execution, increase effectiveness and capitalize on emerging opportunities.”

Whitman’s rosy assessment aside, the New York Times pointed out that the numbers show revenue declining at every HP division. The company’s personal computers business was particularly hard hit, sliding 15 percent, to $8.9 billion in 1Q. Even HP’s long-standing cash cow, Printing and Imaging, fell seven percent to $6.3 billion.

The Times noted that HP’s poor showing follows depressed results announced by Dell Computer, whose fiscal fourth quarter income slid 18 percent, dropping to $764 million even as Dell’s revenue increased two percent to $16 billion. Dell also sounded a pessimistic note for its upcoming first quarter, predicting computer sales will tumble seven percent.




Edited by Rich Steeves
SHARE THIS ARTICLE
Related Articles

Bloomberg BETA: Models Are Key to Machine Intelligence

By: Paula Bernier    4/19/2018

James Cham, partner at seed fund Bloomberg BETA, was at Cisco Collaboration Summit today talking about the importance of models to the future of machi…

Read More

Get Smart About Influencer Attribution in a Blockchain World

By: Maurice Nagle    4/16/2018

The retail value chain is in for a blockchain-enabled overhaul, with smarter relationships, delivering enhanced transparency across an environment of …

Read More

Facebook Flip-Flopping on GDPR

By: Maurice Nagle    4/12/2018

With GDPR on the horizon, Zuckerberg in Congress testifying and Facebook users questioning loyalty, change is coming. What that change will look like,…

Read More

The Next Phase of Flash Storage and the Mid-Sized Business

By: Joanna Fanuko    4/11/2018

Organizations amass profuse amounts of data these days, ranging from website traffic metrics to online customer surveys. Collectively, AI, IoT and eve…

Read More

Satellite Imaging - Petabytes of Developer, Business Opportunities

By: Doug Mohney    4/11/2018

Hollywood has programmed society into believing satellite imaging as a magic, all-seeing tool, but the real trick is in analysis. Numerous firms are f…

Read More