HP Q3 2024 Earnings Report
Key Takeaways
HP Inc. reported a 2.4% increase in net revenue to $13.5 billion for the third quarter of fiscal year 2024. GAAP diluted net EPS was $0.65, and non-GAAP diluted net EPS was $0.83. The company generated $1.3 billion in free cash flow and returned $0.9 billion to shareholders through share repurchases and dividends.
Net revenue increased by 2.4% year over year to $13.5 billion.
GAAP diluted net EPS was $0.65, within the outlook of $0.63 to $0.77.
Non-GAAP diluted net EPS was $0.83, within the outlook of $0.78 to $0.92.
Free cash flow for the quarter was $1.3 billion.
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HP Revenue by Segment
Forward Guidance
For the fiscal 2024 fourth quarter, HP estimates GAAP diluted net EPS to be in the range of $0.74 to $0.84 and non-GAAP diluted net EPS to be in the range of $0.89 to $0.99. For fiscal 2024, HP estimates GAAP diluted net EPS to be in the range of $2.62 to $2.72 and non-GAAP diluted net EPS to be in the range of $3.35 to $3.45. For fiscal 2024, HP anticipates generating free cash flow in the range of $3.1 to $3.6 billion.
Positive Outlook
- GAAP diluted net EPS to be in the range of $0.74 to $0.84 for Q4 2024
- Non-GAAP diluted net EPS to be in the range of $0.89 to $0.99 for Q4 2024
- GAAP diluted net EPS to be in the range of $2.62 to $2.72 for fiscal year 2024
- Non-GAAP diluted net EPS to be in the range of $3.35 to $3.45 for fiscal year 2024
- Free cash flow in the range of $3.1 to $3.6 billion for fiscal year 2024
Challenges Ahead
- Fiscal 2024 fourth quarter non-GAAP diluted net EPS estimates exclude $0.15 per diluted share, primarily related to restructuring and other charges, acquisition and divestiture charges, amortization of intangible assets, non-operating retirement-related credits, tax adjustments, debt extinguishment charges and the related tax impact on these items.
- Fiscal 2024 non-GAAP diluted net EPS estimates exclude $0.73 per diluted share, primarily related to restructuring and other charges, acquisition and divestiture charges, amortization of intangible assets, non-operating retirement-related credits, tax adjustments, debt extinguishment charges and the related tax impact on these items.
- Estimates based on information available at this time
- Estimates could differ materially from reported amounts
- Assumes no obligation to update forward looking statements
Revenue & Expenses
Visualization of income flow from segment revenue to net income