HP Inc reports higher PC sales, beats profit estimates

HP Inc reported its quarterly earnings, beating analyst estimates. Higher sales in personal computers and workstations countered the low sales of its printer business.

Revenue from HP’s personal systems unit rose 3.6%, or $10.43 billion in the fourth quarter, beating analyst estimates of $10.29 billion.

HP is the second largest PC maker after Lenovo Group Ltd, with a share of 23.8% of the market.

The company’s quarterly results come after it reiterates rejection of Xerox Corp’s $33.5 billion takeover bid.

Xerox was already planning of making its bid hostile if HP fails to open its books for due diligence before a deadline.

However, sales from HP’s printer division decreased 6%, or $4.98 billion.

HP’s overall revenue rose to $15.41 billion, exceeding analyst expectations of $15.25 billion, according to Refinitiv’s IBES data.

Net income dropped to $388 million, or 26 cents per share. On the same period a year ago, HP’s net income was $1.45 billion, or 91 cents per share.

HP earned 60 cents per share, excluding items. It beat average analyst estimate of 58 cents.

Shares were up 2.2% at $20.50 in extended trading.