“Strong sales of notebook PCs and printers pushed Hewlett-Packard’s fiscal first-quarter profit up 26% and lifted its top line above Wall Street expectations,” Alexei Oreskovic reports for TheStreet.com.
“The better-than-expected financial results, which H-P reported after Tuesday’s market close, also were achieved by continuing cost-cutting. And H-P signaled that cost controls remained front and center, announcing that it would terminate its pension plan for U.S. workers,” Oreskovic reports.
“The Palo Alto, Calif., company grew first-quarter sales 11% to $25.1 billion, ahead of its own guided range of $24.1 billion and $24.3 billion, as well as Wall Street’s expectation of $24.3 billion,” Oreskovic reports. “Excluding $279 million, or 10 cents a share, in amortization charges for purchased intangibles and in-process research and development costs, H-P said it earned 65 cents a share. On that basis, analysts were expecting 62 cents EPS.”
“H-P said it sold $8.7 billion worth of PCs in its first quarter, with unit shipments up 19% year over year. While desktop PC revenue declined 1%, sales of notebook PCs surged 40%,” Oreskovic reports.
Full article here.
Rex Crum reports for MarketWatch, “H-P said it earned $1.55 billion, or 55 cents a share, compared to $1.23 billion, or 42 cents a share, a year ago.”
“The results underscored what many PC industry watchers see as a growing divide between H-P and its top PC rival Dell Inc. Technology research firm Gartner Inc. said that during the fourth quarter of 2006, H-P held a 17.4% stake of the world’s PC market, with shipments rising 24% from the prior year to 11.7 million units,” Crum reports.
Crum reports, “Dell, meanwhile, fell to second place, with a 13.9% market share. Its shipments of 9.4 million units were down almost 9% from the prior year.”
Full article here.
MacDailyNews Note: Apple last quarter posted revenue of $7.1 billion and a net quarterly profit of $1.0 billion, or $1.14 per diluted share. Apple shipped 1.606 million Macintosh units which represented 28% growth in Mac shipments from the prior year.