HP(US:HPQ) Hua Er Jie Jian Wen·2025-11-26 07:14Group 1 - HP announced plans to cut up to 10% of its workforce, affecting approximately 4,000 to 6,000 employees, as part of its AI strategy [1][2] - The restructuring is expected to incur costs of about $650 million, with $250 million occurring in the current fiscal year, but is projected to save at least $1 billion annually by the end of fiscal year 2028 [1][2] - The company is facing rising costs in its personal computer business, with memory chip prices increasing due to surging demand for AI in data centers, which is expected to negatively impact earnings by $0.30 per share this fiscal year [1][2] Group 2 - CEO Enrique Lores emphasized that the restructuring is a core initiative for adopting AI across the company, viewing it as a unique opportunity for sustained transformation and competitiveness over the next 10 to 20 years [2] - Despite job cuts in some areas due to AI adoption, HP plans to invest in certain sectors to further integrate AI into its product offerings [2] - HP's financial outlook for the current fiscal year is below market expectations, with adjusted earnings per share projected between $2.90 and $3.20, lower than analyst expectations of $3.34 [2] Group 3 - HP's Q4 performance showed mixed results, with profits of $795 million or $0.84 per share, down from $906 million or $0.93 per share year-over-year [3] - Adjusted earnings per share were $0.93, slightly above analyst expectations of $0.92, while revenue grew by 4.2% to $14.64 billion, exceeding analyst forecasts of $14.5 billion [3] - The personal systems business revenue increased by 8% to $10.35 billion, offsetting a 4% decline in the printing business, which generated $4.27 billion [3]