Feeds

HP makes things personal again in Q3

Computers and currency do their thing

Boost IT visibility and business value

In a world of financial doom and gloom, sales of PCs are offering a glimmer of light. Don't believe us? Just look at Hewlett-Packard, which on Tuesday reported a third-quarter profit that beat Wall Street expectations and forecast healthy sales in the current period.

The chief driver for HP's success were sales of PCs, which rose 15 per cent. Notebook sales were particularly helpful, but HP also saw revenue from services jump 14 per cent and sales of printers and ink rise by 3.4 per cent.

HP also benefited from the weak US dollar, which generated highly favorable currency translations for international sales.

Third-quarter net income increased 14 per cent to $2.03bn, or 80 cents a share, from $1.78bn, or 66 cents, in the year-ago period. Profit after acquisition costs and other one-time expenses was 86 cents, three cents higher than the average analyst estimate. Sales rose 10 per cent to $28bn, though when adjusted for currency fluctuations, revenue increased only 5 per cent.

HP shares rose 2 per cent in after-hours trading, following the release of financial results.

HP isn't the only company enjoying growth in a challenging market. Last month, Apple broke revenue records thanks to bumper sales of Macs and iPhones. And in May, Dell posted strong results and for the first time said the majority of its revenue came from overseas customers.

Not everything in the HP report was hunky dory. Gross margins, the percentage of sales left after manufacturing costs, fell slightly from a year ago to 24.2 per cent. Higher costs of computer components and demand for cheaper machines helped contribute to the decline.

HP's earnings report is here. ®

Boost IT visibility and business value

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.