HP Guides Q2 EPS to $0.90–$1.10 After $12.6B Q1 Beat

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HP posted Q1 revenue of $12.6 billion and adjusted EPS of $1.13, topping estimates, but guided Q2 EPS to $0.90–$1.10 at the low end of its prior range due to rising memory costs. Shares slid after management highlighted sustained margin pressure in printing and personal systems.

1. Q1 Performance

HP posted revenue of $12.6 billion and adjusted EPS of $1.13, exceeding estimates and driven by strong demand in personal systems and printing segments.

2. Q2 Guidance and Memory Costs

Management guided Q2 EPS to $0.90–$1.10 at the low end of its previous range, citing a surge in memory component costs that will pressure margins across business lines.

3. Market Reaction

Shares declined in trading following the release as investors weighed the beat against the cautious outlook, particularly concerns over sustained margin headwinds from memory price volatility.

Sources

BFMM