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Jul 31, 2022

HP Q3 2022 Earnings Report

HP reported its third quarter fiscal year 2022 results, with EPS above outlook and revenue down 4.1% year over year.

Key Takeaways

HP Inc. announced its fiscal 2022 third quarter results, with a net revenue of $14.7 billion, a decrease of 4.1% year-over-year. The company's GAAP diluted net EPS was $1.08, above the previously provided outlook. HP returned $1.3 billion to shareholders through share repurchases and dividends.

GAAP diluted net EPS was $1.08, exceeding the prior outlook of $0.91 to $0.96 per share.

Non-GAAP diluted net EPS was $1.04, aligning with the previously provided outlook of $1.03 to $1.08 per share.

Net revenue was $14.7 billion, reflecting a 4.1% decrease compared to the prior-year period.

Net cash from operating activities was $0.4 billion, with a free cash flow of $0.3 billion.

Total Revenue
$14.7B
Previous year: $15.3B
-4.1%
EPS
$1.04
Previous year: $1
+4.0%
GAAP Operating Margin
9.5%
Previous year: 9%
+5.6%
Cash dividends declared per share
$0.25
Previous year: $0.194
+29.0%
Gross Profit
$2.9B
Previous year: $3.39B
-14.4%
Cash and Equivalents
$5.39B
Previous year: $3.44B
+56.6%
Free Cash Flow
$300M
Previous year: $1B
-70.0%
Total Assets
$39.2B
Previous year: $35.5B
+10.5%

HP

HP

HP Revenue by Segment

Forward Guidance

For the fiscal 2022 fourth quarter, HP estimates GAAP diluted net EPS to be in the range of $0.44 to $0.54, which includes a GAAP-only charge of approximately $0.27 towards acquisition-related charges for Poly, and non-GAAP diluted net EPS to be in the range of $0.79 to $0.89, which includes an incremental approximate $0.05 headwind driven by Poly’s debt-related expenses and other deal-related costs.

Revenue & Expenses

Visualization of income flow from segment revenue to net income