HP cuts profit guidance as Q3 revenue falls short of analyst estimates By Investing.com

Investing.com – HP reported Tuesday fiscal third-quarter revenue that fell short of Wall Street estimates and the personal computing giant cut its annual earnings guidance amid a slower than expected rebound in PC demand.  

HP Inc (NYSE:) fell 5% in after-hours trade following the report.

HP adjusted EPS of $0.86 on revenue of $13.2 billion. Analysts polled by Investing.com anticipated adjusted EPS of $0.86 on revenue of $13.38B.

In its personal systems unit, which includes personal computers and accounts for the majority of growth, revenue fell 11% to $8.9B in Q3 year over year.

Printing net revenue fell 7% to $4.3B, led by partly by supply-chain issues.

Looking ahead, the company forecast adjusted fourth-quarter EPS of $0.85 to $0.97, compared with Wall Street estimates for EPS of $0.95.

For 2023, adjusted EPS was guided in a range of $3.23 to $3.35, below Wall Street estimates of $3.37, and down from a prior range of $3.30 to $3.50. The company also lowered its guidance on annual free cash to $3B from a prior estimate of $3B to $3.5B.

“[T]he external environment has not improved as quickly as anticipated and we are moderating our expectations as a result,” the company said.