Shares of HP Inc (NYSE:HPQ) are down in after-market trading Tuesday after the company’s fiscal second-quarter revenue revealed a major slump in PC sales.
The personal computer company reported $12.9 billion in revenue for the period ended April 30, down 21.7% year-over-year and below Street expectations of $13.09 billion. Non-GAAP earnings were $0.80 per share, down from $1.08 a year earlier and topping expectations of $0.76.
For the second consecutive quarter, HP faced a major year-over-year decline in personal computer sales.
Net revenue from the company’s personal systems division was $8.2 billion, down 29% from the second quarter of 2022. A quarter ago, HP reported a 24% year-over-year decline.
Specifically, consumer personal systems net revenue was down 39% and commercial net revenue was down 24%.
Shares of HP fell nearly 2% to $30.35.
The lone bright spot was the company's earnings per share (EPS), which managed to eke out an expectations beat.
“Our disciplined execution and strong innovation in a tough macro environment allowed us to deliver non-GAAP EPS at the high-end of our target in Q2,” CEO Enrique Lores said in a statement. “We are well-positioned to win in our markets and drive long-term sustainable growth as we make continued progress against our Future Ready plan.”
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