HP exceeds Q3 expectations: rakes $29.7 billion in revenue, still posts a loss

To say that HP is in a bit of a transitional period would probably be an understatement. As expected, the $8 billion hit it took over the EDS purchase severely impacted its bottom line. While revenue was down year-over-year to $29.7 billion, that five percent drop equated to a 568 percent decline in income as the company posted a loss of $8.9 billion. If not for the combined $10.8 billion in charges it was forced to absorb this quarter, the company's net-income would have stood at $2 billion -- which would have been a significant improvement over Q2's $1.6 billion in profit. While such a staggering loss does appear bad, the non-GAAP results should give investors some hope, as the merger and layoff related charges are a one-time deal. Still, the outlook continues to be grim at the Personal Systems Group which has seen revenue drop 10 percent over the last year. The lone bright spot in the company's line up appears to be its software division, where revenue has grown 18 percent year-over-year. CEO Meg Whitman issued a statement alongside the Q3 2012 earnings report looking to assuage nervous investors' fears. "HP is still in the early stages of a multi-year turnaround, and we're making decent progress despite the headwinds," she asserts and assures that better days lie ahead. For more financial fun, check out the PR after the break and all the tables and charts you can handle at the source.

Continue reading HP exceeds Q3 expectations: rakes $29.7 billion in revenue, still posts a loss

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HP exceeds Q3 expectations: rakes $29.7 billion in revenue, still posts a loss originally appeared on Engadget on Wed, 22 Aug 2012 16:38:00 EDT. Please see our terms for use of feeds.