HP 4th Quarter Profits

Date: February 18, 2010

New York, NY -- According to a story from the PC Magazine website, for the fourth quarter of the fiscal year which ended Oct. 31, HP was led not by printers or PCs, but their services division. Overall, HP earned $2.4 billion in profit from the $30.8 billion they put forth in revenue. The services business jumped an astounding 65 percent from last year and its technology solutions business was up 20 percent. Unfortunately, the rest of the divisions were not as lucky and they all fell.

The losses didn’t worry CEO Mark Hurd, however. Despite printers being down 20 percent, Hurd said that the Imaging and Printing Group (IPG) was ready to recover and then attack. The lack of printer sales was bolstered slightly because people were still investing money into ink. CFO Cathy Lesjak has stated that they are willing to trade operating money for growth for the IPG.

The PC and notebook division did not reach the same heights as it did in the third quarter, with notebook revenue falling 8 percent, and desktop revenue falling 12. Despite the 8 percent revenue loss, the number of notebooks sold was actually up 17 percent. The difference can most likely be attributed to the falling cost of notebooks.

BY ADAM HAIGH, Editor