Hewlett Packard Enterprise Announces Outlook - Quick Facts

(RTTNews) - Hewlett Packard Enterprise (HPE) announced, for fiscal 2018, revenue is expected to grow approximately 7% year-over-year, when adjusted for sales to tier-1 service providers. Non-GAAP net EPS is expected to be approximately $1.50 to $1.55. HPE expects to return $4.1 billion in cash to shareholders in fiscal 2018 through $3.5 billion in share repurchases and $600 million in dividend payments.

For fiscal 2019, the company expects net revenue growth when adjusted for currency fluctuations and sales to tier-1 service providers. HPE expects non-GAAP operating profit growth to be approximately 6-8% year-over-year. The company expects non-GAAP diluted net EPS of $1.51 to $1.61.

For fiscal 2019, free cash flow is expected to grow 50% year-over-year to $1.4-$1.6 billion. On a normalized basis that excludes one-time items, free cash flow is expected to be approximately $2.1-$2.3 billion. HPE reiterated its commitment to returning approximately $2.9 billion in total to shareholders, consisting of $2.3 billion in share repurchases and approximately $600 million in dividends.

Over the long-term, the company expects to accelerate growth in the Intelligent Edge segment and drive profitable growth in the Hybrid IT segment. The company expects operating profit to grow approximately 4-5% annually. EPS is expected to grow at a higher rate of approximately 7-9% annually. Free cash flow is expected to trend towards normalized levels in fiscal 2020 and track earnings over time.