Personal computer and printer maker HP (HPQ) late Wednesday matched Wall Street’s earnings target for its fiscal first quarter, but missed on sales. The HP earnings news pushed its stock lower in extended trading.
The Palo Alto, Calif.-based company earned an adjusted 52 cents a share on sales of $14.71 billion in the quarter ended Jan. 31. Analysts expected HP earnings of 52 cents a share on sales of $14.88 billion. On a year-over-year basis, HP earnings rose 8%, while sales inched 1% higher.
For the current quarter, HP expects adjusted earnings per share of 50 to 53 cents, with the midpoint below the consensus estimate. It did not give an outlook for revenue in its fiscal second quarter. Wall Street was modeling earnings per share of 53 cents on sales of $14.29 billion. In the year-earlier quarter, HP earned 48 cents a share on sales of $14 billion.
For fiscal 2019, HP reiterated its guidance of adjusted earnings per share of $2.12 to $2.22. The midpoint of $2.17 is below Wall Street’s target of $2.20.
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“We are benefiting from our market-leading portfolio and accelerating our transformation with momentum in services, solutions and 3D printing as we reinvent HP and position the business for long-term sustainable growth,” Chief Executive Dion Weisler said in a news release.
In the January quarter, sales in HP’s Personal Systems business rose 2% year over year, helped by commercial PC growth.
Sales in its Printing segment were flat, hurt by a 3% decline in printing-supplies revenue.
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