Hewlett Packard reported its third quarter results with net revenue clocking in at $27.6 billion, up 1 percent from the same period a year ago.
The results are encouraging for a company that has witnessed multiple losses due to a highly competitive PC market and the emergence of wireless devices eating away at PC market share.
In a conference call on the earnings, HP CEO Meg Whitman said for the first time in three years HP delivered top line revenue growth on a year-over-year basis. “Turnarounds are not linear and we face some tough comparisons in the fourth quarter but overall I continue to be very encouraged by the progress we are making,” she said.
“We are seeing the benefits of the work we have done to get our personal systems and industry standard server business back on track, our printing supplies business and parts of our software portfolio still face some challenges, but HP today is nimbler and better prepared than ever to respond to rapidly changing business conditions,” Whitman said. “On the enterprise servers side of the company we are making progress. I am confident that enterprise servers is on the right path to improved services and profitability.”
HP’s third quarter non-GAAP diluted net earnings per share was $0.89, up 3 percent from the prior-year period while cash flow from operations was reported as $3.6 billion, up 36 percent from the same quarter one year ago.
Whitman said that personal systems had a very good quarter and was up 12 percent from prior year period. It was the third consecutive quarter for growth of personal systems “in a market that has stabilized but nevertheless continues to contract.” She added that HP is seeing growth across all major categories.
In other HP news, the Palo Alto, CA-based company has signed an agreement with UnionRead Information Technology Ltd. to build and operate community clouds in China.
This marks the first firm in China to use HP’s Helion portfolio since it was introduced earlier this year. HP said the inclusion of the Helion cloud offerings in China shows a growing need for demand for cloud services in the country as well as momentum for the Helion brand.