HP earnings miss estimates as slowing economy takes its toll

The post COVID-19 PC hangover has found its way to the doorsteps of computing giant HP Inc. after making stops at rival Dell and chipmakers like Intel.

HP saw fiscal third-quarter sales fall 4.1% from a year ago, pushed lower by a 32% decline in the number of notebook computer units sold.

The company fell short of analyst estimates for total sales, sales by segment, and earnings.

Net Sales: $14.7 billion vs. $15.6 billion

Personal Systems Sales: $10.1 billion vs. $11.06 billion

Printing Sales: $4.6 billion vs. $4.77 billion

Diluted EPS: $1.04 vs. $1.05 (guidance: $1.03 to $1.08)

HP CEO Enrique Lores told Yahoo Finance Live that the sales shortfall mostly reflects macroeconomic uncertainty that is weighing on the minds of shoppers.

Amid the weak top line results, operating profit margins contracted 150 basis points in HP’s personal systems segment. Margins did rise by 230 basis points in the printing business as HP carefully managed costs and pushed through price increases.

The company is…

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This article was written by and originally published on finance.yahoo.com