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Jul 31, 2021

HP Q3 2021 Earnings Report

HP reported third quarter results with revenue up 7.0% and non-GAAP EPS more than doubled year over year.

Key Takeaways

HP Inc. reported strong third quarter results, driven by sustained demand for its technology. Net revenue increased by 7.0% year over year, and non-GAAP EPS more than doubled. The company returned $1.7 billion to shareholders through share repurchases and dividends.

GAAP diluted net EPS was $0.92, above the previously provided outlook of $0.77 to $0.81 per share.

Non-GAAP diluted net EPS was $1.00, above the previously provided outlook of $0.81 to $0.85 per share.

Net revenue was $15.3 billion, up 7.0% from the prior-year period.

Free cash flow was $1.0 billion.

Total Revenue
$15.3B
Previous year: $14.3B
+7.0%
EPS
$1
Previous year: $0.49
+104.1%
GAAP Operating Margin
9%
Previous year: 5.4%
+66.7%
Non-GAAP Operating Margin
9.8%
Previous year: 6.1%
+60.7%
Cash dividends declared per share
$0.194
Previous year: $0.176
+10.0%
Gross Profit
$3.39B
Previous year: $2.39B
+41.6%
Cash and Equivalents
$3.44B
Previous year: $4.68B
-26.5%
Free Cash Flow
$1B
Previous year: $1.6B
-37.5%
Total Assets
$35.5B
Previous year: $34.2B
+3.7%

HP

HP

HP Revenue by Segment

Forward Guidance

For the fiscal 2021 fourth quarter, HP estimates GAAP diluted net EPS to be in the range of $0.82 to $0.88 and non-GAAP diluted net EPS to be in the range of $0.84 to $0.90. For fiscal 2021, HP estimates GAAP diluted net EPS to be in the range of $3.56 to $3.62 and non-GAAP diluted net EPS to be in the range of $3.69 to $3.75. For fiscal 2021, HP anticipates generating free cash flow of at least $4.0 billion.

Revenue & Expenses

Visualization of income flow from segment revenue to net income