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HP (HPQ) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates
HPQHP(HPQ) ZACKS·2025-05-28 23:01

Financial Performance - HP reported 13.22billioninrevenueforthequarterendedApril2025,ayear−over−yearincreaseof3.313.22 billion in revenue for the quarter ended April 2025, a year-over-year increase of 3.3% [1] - The EPS for the same period was 0.71, down from 0.82ayearago,representingadeclineof13.40.82 a year ago, representing a decline of 13.4% [1] - The reported revenue was a surprise of -1.51% compared to the Zacks Consensus Estimate of 13.42 billion [1] - The EPS surprise was -11.25% against the consensus estimate of 0.80[1]KeyMetrics−Daysinaccountspayablewere130days,betterthanthetwo−analystaverageestimateof134days[4]−Daysofsalesoutstandinginaccountsreceivablewere30days,slightlyabovetheaverageestimateof29days[4]−Daysofsupplyininventorywere70days,comparedtotheaverageestimateof73.5days[4]RevenueBreakdown−NetrevenuefromPersonalSystems−CommercialPSwas0.80 [1] Key Metrics - Days in accounts payable were 130 days, better than the two-analyst average estimate of 134 days [4] - Days of sales outstanding in accounts receivable were 30 days, slightly above the average estimate of 29 days [4] - Days of supply in inventory were 70 days, compared to the average estimate of 73.5 days [4] Revenue Breakdown - Net revenue from Personal Systems - Commercial PS was 6.79 billion, below the average estimate of 6.99billion,withayear−over−yearchangeof+8.76.99 billion, with a year-over-year change of +8.7% [4] - Net revenue from Personal Systems - Consumer PS was 2.24 billion, slightly above the average estimate of 2.20billion,representinga+2.52.20 billion, representing a +2.5% year-over-year change [4] - Total net revenue from Personal Systems was 9.02 billion, below the average estimate of 9.19billion,witha+7.19.19 billion, with a +7.1% year-over-year change [4] - Net revenue from Printing - Supplies was 2.73 billion, slightly below the average estimate of 2.75billion,reflectinga−4.92.75 billion, reflecting a -4.9% year-over-year change [4] - Net revenue from Printing - Commercial Printing was 1.17 billion, below the average estimate of 1.19billion,witha−3.21.19 billion, with a -3.2% year-over-year change [4] - Net revenue from Printing - Consumer Printing was 289 million, slightly above the average estimate of 287.61million,representinga−3.3287.61 million, representing a -3.3% year-over-year change [4] - Total net revenue from Printing was 4.18 billion, below the average estimate of 4.23billion,reflectinga−4.34.23 billion, reflecting a -4.3% year-over-year change [4] Operational Earnings - Earnings from operations in Printing were 814 million, exceeding the average estimate of 795.04million[4]−EarningsfromoperationsinPersonalSystemswere795.04 million [4] - Earnings from operations in Personal Systems were 409 million, below the average estimate of $532.89 million [4] Stock Performance - HP shares returned +11.1% over the past month, outperforming the Zacks S&P 500 composite's +7.4% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance in the near term [3]