Rise in desktop and laptop sales helped HP beat Wall Street estimates
Though HP didn't reclaim its spot as the number one supplier of PCs, the second-place OEM surprised analysts with a strong third quarter. HP's net revenue in the third quarter came to $27.6 billion, up 1 percent compared to the same period a year ago, while earnings per share came to $0.89, up 3 percent year-over-year. That's slightly better than Wall Street's estimate of a drop in revenue to $27.01 billion.
HP has been working hard to turn things around as it restructures its operations. Unfortunately, doing so entailed making significant job cuts in the tens of thousands, though on the bright side those efforts seem to be paying off.
"Overall, I'm very pleased with the progress we've made," said Meg Whitman, chairman, president and chief executive officer, HP. "When I look at the way the business is performing, the pipeline of innovation and the daily feedback that I receive from our customers and partners, my confidence in the turnaround grows stronger."
HP's revenue from its PC division rose 12 percent year-over-year, with a 9 percent uptick in desktop sales and an 18 percent jump in notebook sales. This helped offset declines in printing, software, and enterprise revenue.