02.29.24
HP Inc. and its subsidiaries announced fiscal 2024 first quarter net revenue of $13.2 billion, down 4.4% (down 4.9% in constant currency) from the prior-year period.
“Our Q1 results reflect continued progress against our Future Ready plan,” said Enrique Lores, HP president and CEO. “We are bringing terrific innovation to our customers while driving disciplined execution across every facet of the business. As a result, we delivered solid earnings growth this quarter and we are well positioned to accelerate as the market recovers.”
First quarter GAAP diluted net EPS was $0.62, up from $0.47 in the prior-year period and within the previously provided outlook of $0.60 to $0.70. First quarter non-GAAP diluted net EPS was $0.81, up from $0.73 in the prior-year period and within the previously provided outlook of $0.76 to $0.86.
HP's net cash provided by operating activities in the first quarter of fiscal 2024 was $121 million.
HP generated $25 million of free cash flow in the first quarter. Free cash flow includes net cash provided by operating activities of $121 million adjusted for net investments in leases of $62 million and net investments in property, plant and equipment of $158 million.
HP’s dividend payment of $0.2756 per share in the first quarter resulted in cash usage of $0.3 billion. HP also utilized $0.5 billion of cash during the quarter to repurchase approximately 16.7 million shares of common stock in the open market.
Fiscal 2024 first quarter segment results:
• Personal Systems net revenue was $8.8 billion, down 4% year over year (down 5% in constant currency) with a 6.1% operating margin. Consumer PS net revenue was down 1% and Commercial PS net revenue was down 5%. Total units were up 5% with Consumer PS units up 10% and Commercial PS units up 2%.
• Printing net revenue was $4.4 billion, down 5% year over year (down 5% in constant currency) with a 19.9% operating margin. Consumer Printing net revenue was down 22% and Commercial Printing net revenue was down 12%. Supplies net revenue was flat (up 1% in constant currency). Total hardware units were down 17%, with Consumer Printing units down 15% and Commercial Printing units down 18%.
“Our Q1 results reflect continued progress against our Future Ready plan,” said Enrique Lores, HP president and CEO. “We are bringing terrific innovation to our customers while driving disciplined execution across every facet of the business. As a result, we delivered solid earnings growth this quarter and we are well positioned to accelerate as the market recovers.”
First quarter GAAP diluted net EPS was $0.62, up from $0.47 in the prior-year period and within the previously provided outlook of $0.60 to $0.70. First quarter non-GAAP diluted net EPS was $0.81, up from $0.73 in the prior-year period and within the previously provided outlook of $0.76 to $0.86.
HP's net cash provided by operating activities in the first quarter of fiscal 2024 was $121 million.
HP generated $25 million of free cash flow in the first quarter. Free cash flow includes net cash provided by operating activities of $121 million adjusted for net investments in leases of $62 million and net investments in property, plant and equipment of $158 million.
HP’s dividend payment of $0.2756 per share in the first quarter resulted in cash usage of $0.3 billion. HP also utilized $0.5 billion of cash during the quarter to repurchase approximately 16.7 million shares of common stock in the open market.
Fiscal 2024 first quarter segment results:
• Personal Systems net revenue was $8.8 billion, down 4% year over year (down 5% in constant currency) with a 6.1% operating margin. Consumer PS net revenue was down 1% and Commercial PS net revenue was down 5%. Total units were up 5% with Consumer PS units up 10% and Commercial PS units up 2%.
• Printing net revenue was $4.4 billion, down 5% year over year (down 5% in constant currency) with a 19.9% operating margin. Consumer Printing net revenue was down 22% and Commercial Printing net revenue was down 12%. Supplies net revenue was flat (up 1% in constant currency). Total hardware units were down 17%, with Consumer Printing units down 15% and Commercial Printing units down 18%.