HP Inc. Posts Mixed Q4 Results: Revenue Climbs Despite Earnings Decline

HP Inc. (HPQ) delivered a complicated quarter in its latest financial update, with top-line growth failing to translate into bottom-line expansion. The technology company generated Q4 revenue of $14.639 billion, up 4.2% year-over-year from $14.055 billion, but net income slipped to $795 million from $906 million in the prior-year period.

The earnings picture becomes clearer when examining adjusted metrics. Excluding special items, HP Inc. posted adjusted earnings of $877 million, or $0.93 per share—a figure that managed to exceed analyst consensus expectations of $0.92 per share. On a GAAP basis, however, earnings per share declined to $0.84 from $0.93 last year, highlighting the impact of one-time items on reported results.

Q4 Performance Summary

The quarter showcased the company’s ability to grow revenue amid challenging market conditions, though profitability pressures remained evident. Revenue expansion of 4.2% demonstrates resilience in demand, yet the absolute decline in net income suggests rising operational costs or margin compression. The gap between GAAP and adjusted EPS underscores the significance of non-recurring charges affecting reported earnings.

Forward Guidance Reflects Caution

Looking ahead, HP Inc. provided measured guidance for the next quarter, projecting EPS in the range of $0.73 to $0.81. This guidance band suggests management’s cautious stance toward near-term headwinds, even as the company managed to top analyst expectations in Q4. The company’s ability to beat estimates on an adjusted basis may provide some reassurance to investors, but the forward outlook implies potential margin pressure or revenue challenges anticipated in the coming period.