HP Inc. Reports April-Q Sales Decline, Misses Expectations Amidst Weak PC Demand
HP Inc. announced its April-Q sales, amounting to $12.9 billion, which marked a year-over-year decline of 21.7%. The company fell short of consensus expectations, which had anticipated sales of $13.1 billion.
The report highlighted a substantial drop in HPQ's PC sales, which decreased by 29% year-over-year, with unit sales down 28%. The decline was attributed to weakness in both the consumer and commercial markets, with consumer PC sales falling by 34% and commercial PC sales declining by 23%.
CEO Enrique Lores acknowledged the company's progress in reducing excess channel inventory, but emphasized that further reduction is anticipated in the July-quarter.
Looking ahead, HPQ provided guidance for the July-quarter, projecting sales ranging from $13.4 billion to $13.8 billion, along with an estimated earnings per share of 88 cents to 92 cents.
Following the announcement, the company's stock experienced a 2% decrease during after-hours trading.