Hewlett-Packard Profit Tops Estimates; Q4 Outlook Weak, Tightens FY Guidance

(RTTNews) - Hewlett-Packard Co (HPQ) on Thursday reported third-quarter net earnings of $854 million or $0.47 per share compared with $985 million or $0.52 per share last year.

Excluding separation costs, amortization expense and other one-time items, adjusted earnings for the quarter were $0.88 per share compared with $0.89 per share a year ago.

Revenues for the quarter were down 8 percent at $25.35 billion compared with $27.59 billion in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.85 per share on revenues of $25.44 billion for the quarter. Analysts' estimates typically exclude special items.

The company attributed lower sales to a slump at its Printing and Personal Systems as well as Enterprise Services segments.

On a constant currency basis, revenues for the quarter were down 2 percent, the company said.

Operating margin for the quarter fell to 4.8 percent from 5.3 percent last year.

For the fourth quarter, the company expects adjusted earnings of $0.92 to $0.98, while analysts expect $1.00 per share.

For the full year 2015, the company now expects adjusted earnings of $3.59 to $3.65 per share, from prior guidance of $3.53 to $3.73 per share. Analysts expect earnings of $3.64 per share.