03.02.22
HP Inc. and its subsidiaries announced fiscal 2022 first quarter net revenue of $17 billion, up 8.8% (up 8.2% in constant currency) from the prior-year period.
“We once again delivered strong top and bottom-line results with record revenue driven by strong demand and our leadership in hybrid,” said Enrique Lores, HP president and CEO. “Our Q1 performance was particularly strong across our key growth areas that collectively grew double digits including gaming, peripherals, workforce solutions, consumer subscriptions, and industrial graphics and 3D. Our performance reflects progress against our strategy to build a stronger HP.”
First quarter GAAP diluted net EPS was $0.99, up from $0.83 in the prior-year period and above the previously provided outlook of $0.92 to $0.98.
HP's net cash provided by operating activities in the first quarter of fiscal 2022 was $1.7 billion. HP generated $1.4 billion of free cash flow in the first quarter.
Fiscal 2022 First Quarter Segment Results
Personal Systems net revenue was $12.2 billion, up 15% year over year (up 14% in constant currency) with a 7.8% operating margin. Consumer net revenue decreased 1% and Commercial net revenue increased 26%. Total units were down 6% with Notebooks units down 9% and Desktops units up 3%.
Printing net revenue was $4.8 billion, down 4% year over year (down 5% in constant currency) with a 18.2% operating margin. Consumer net revenue was down 23% and Commercial net revenue was up 9%. Supplies net revenue was down 2% (down 3% in constant currency). Total hardware units were down 28% overall, with Consumer units down 31% and Commercial units down 3%.
Outlook
For the fiscal 2022 second quarter, HP estimates GAAP diluted net EPS to be in the range of $0.95 to $1.01 and non-GAAP diluted net EPS to be in the range of $1.02 to $1.08. Fiscal 2022 second quarter non-GAAP diluted net EPS estimates exclude $0.07 per diluted share, primarily related to restructuring and other charges, acquisition-related charges, amortization of intangible assets, non-operating retirement-related (credits)/charges, tax adjustments and the related tax impact on these items.
For fiscal 2022, HP anticipates generating free cash flow of at least $4.5 billion.
“We once again delivered strong top and bottom-line results with record revenue driven by strong demand and our leadership in hybrid,” said Enrique Lores, HP president and CEO. “Our Q1 performance was particularly strong across our key growth areas that collectively grew double digits including gaming, peripherals, workforce solutions, consumer subscriptions, and industrial graphics and 3D. Our performance reflects progress against our strategy to build a stronger HP.”
First quarter GAAP diluted net EPS was $0.99, up from $0.83 in the prior-year period and above the previously provided outlook of $0.92 to $0.98.
HP's net cash provided by operating activities in the first quarter of fiscal 2022 was $1.7 billion. HP generated $1.4 billion of free cash flow in the first quarter.
Fiscal 2022 First Quarter Segment Results
Personal Systems net revenue was $12.2 billion, up 15% year over year (up 14% in constant currency) with a 7.8% operating margin. Consumer net revenue decreased 1% and Commercial net revenue increased 26%. Total units were down 6% with Notebooks units down 9% and Desktops units up 3%.
Printing net revenue was $4.8 billion, down 4% year over year (down 5% in constant currency) with a 18.2% operating margin. Consumer net revenue was down 23% and Commercial net revenue was up 9%. Supplies net revenue was down 2% (down 3% in constant currency). Total hardware units were down 28% overall, with Consumer units down 31% and Commercial units down 3%.
Outlook
For the fiscal 2022 second quarter, HP estimates GAAP diluted net EPS to be in the range of $0.95 to $1.01 and non-GAAP diluted net EPS to be in the range of $1.02 to $1.08. Fiscal 2022 second quarter non-GAAP diluted net EPS estimates exclude $0.07 per diluted share, primarily related to restructuring and other charges, acquisition-related charges, amortization of intangible assets, non-operating retirement-related (credits)/charges, tax adjustments and the related tax impact on these items.
For fiscal 2022, HP anticipates generating free cash flow of at least $4.5 billion.