HP Records Sales Below Expectations and Anticipates Improvement in 2024
HP Inc. announced its quarterly sales results, revealing a slight decrease below analysts’ expectations. The California-based company stated in a Tuesday press release that revenues dropped by 6.5% to $13.8 billion for the period ending on October 31. Sales of corporate computers saw an 11% decline compared to the previous year, reaching $6.21 billion, falling short of expectations.
Topic
the details
Computer manufacturing companies have faced significant challenges recently due to declining demand in the aftermath of the global pandemic. Analysts have recently observed signs of improvement in the industry. In a report released last October, the International Data Corporation (IDC) affirmed that the personal computer market had surpassed the “worst phase,” despite the global economic downturn.
Enrique Lores, CEO of HP, expressed optimism about the upcoming year, citing stabilized corporate demand and increased consumer spending during the upcoming holiday season. This bolsters confidence in the growth of the personal computer market in the fiscal year 2024.
Lores expects
Lores expects consumers and businesses to prefer advanced computers in 2024, leading to an increase in average selling prices. He stated, “More computers are being used as communication tools, so we need better cameras, larger memory, and improved speakers.”
Fourth-quarter revenues for consumer personal computers decreased by 1% to approximately $3.19 billion. The printing unit achieved revenues of $4.4 billion, in line with expectations. The average financial profit for the fourth quarter was 90 cents per share.
The company’s stocks fell by approximately 3.5% in trading sessions, closing at $27.87 on the New York Stock Exchange, while rising by 3.7% throughout the year.
HP Records Sales Below Expectations and Anticipates Improvement in 2024