HP Profit Lower Than Expected
HP Inc, which houses printer and PC products, adjusted profit for the first quarter below market expectations as it struggles with weak sales. On the other hand, Hewlett Packard Enterprise Co, which holds the corporate hardware and services businesses, maintained its adjusted profit forecast for the year.
"Looking ahead, we expect the PC market to remain challenged for more quarters to come," HP Inc's Chief Executive Dion Weisler said on a conference call with analyst.
Revenue in HP's personal computer and printer businesses fell about 14 percent in the fourth quarter ended Oct. 31, pushing Hewlett-Packard Co's overall revenue down for the fifth straight quarter.
The results are the last for Hewlett-Packard Co, the company that split into two separate companies this month, before HP Inc and Hewlett Packard Enterprise Co start to report separately.
HP Inc forecast adjusted profit of 33-38 cents per share for the quarter ending January.
The company also cut its 2016 adjusted profit forecast to $1.59-$1.69 per share from $1.67-$1.77 per share.
Hewlett-Packard Co's revenue from enterprise services division fell 9 percent, while revenue from its enterprise group rose 2 percent.
Overall, revenue at Hewlett-Packard Co fell 9.5 percent to $25.71 billion.