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

6 Challenges of 5G, and the 9 Pillars of Assurance Strategy

By: Special Guest    9/17/2018

To make 5G possible, everything will change. The 5G network will involve new antennas and chipsets, new architectures, new KPIs, new vendors, cloud di…

Read More

Putting the Flow into Workflow, Paessler and Briefery Help Businesses Operate Better

By: Cynthia S. Artin    9/14/2018

The digital transformation of business is generating a lot of value, through more automation, more intelligence, and ultimately more efficiency.

Read More

From Mainframe to Open Frameworks, Linux Foundation Fuels Up with Rocket Software

By: Special Guest    9/6/2018

Last week, at the Open Source Summit, hosted by The Linux Foundation, the Open Mainframe Project gave birth to Zowe, introduced a new open source soft…

Read More

Unified Office Takes a Trip to the Dentist Office

By: Cynthia S. Artin    9/6/2018

Not many of us love going to see the dentist, and one company working across unified voice, productivity and even IoT systems is out to make the exper…

Read More

AIOps Outfit Moogsoft Launches Observe

By: Paula Bernier    8/30/2018

Moogsoft Observe advances the capabilities of AIOps to help IT teams better manage their services and applications in the face of a massive proliferat…

Read More