AI Earnings Predictions for HP Inc. (HPQ)

EX-99.1

2 hp73126exhibit991q326.htm

EX-99.1

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EXHIBIT 99.1

News Release

HP Inc. Reports Fiscal 2026 Third Quarter Results

PALO ALTO, Calif. – August 26, 2026 (GLOBE NEWSWIRE) – HP (NYSE: HPQ)

•Raising fiscal year 2026 earnings per share ("EPS") and free cash flow outlook

•Third quarter GAAP diluted net EPS of $0.71, inclusive of an $0.11 favorable impact from tariff refunds, and down 11.3% year over year due in part to one-time tax and litigation benefits in the prior year period

•Third quarter non-GAAP diluted net EPS of $0.83, inclusive of an $0.11 favorable impact from tariff refunds, and up 10.7% from the prior year period

•Third quarter net revenue of $15.7 billion, up 12.5% from the prior year period

•Third quarter net cash provided by operating activities of $1.7 billion, free cash flow of $1.6 billion

•Third quarter returned $0.6 billion to shareholders in the form of share repurchases and dividends

HP Inc.'s fiscal 2026 third quarter financial performance

Q3 FY26Q3 FY25Y/Y

GAAP net revenue ($B)$15.7 $13.9 12.5%

GAAP operating margin5.7%5.1% 0.6 pts

GAAP net earnings ($B)$0.66 $0.76 (13%)

GAAP diluted net EPS$0.71 $0.80 (11%)

Non-GAAP operating margin6.5%7.1%

(0.6) pts

Non-GAAP net earnings ($B)$0.77 $0.71 8%

Non-GAAP diluted net EPS$0.83 $0.75 11%

Net cash provided by operating activities ($B)$1.74 $1.66 4%

Free cash flow ($B)$1.57 $1.477%

Notes to table

Information about HP Inc.'s use of non-GAAP financial information is provided under "Use of non-GAAP financial information" below.

Net revenue and EPS results

HP Inc. and its subsidiaries (“HP”) announced fiscal 2026 third quarter net revenue of $15.7 billion, up 12.5% (up 10.9% in constant currency) from the prior-year period.

“In the third quarter we increased both total sales and share in premium products and continued to attract new customers with innovations in WXP, Print, workstations and AI PCs. Our ongoing strategy to address environmental constraints led to meaningful improvements in memory supply and higher fulfillment rates,” said Bruce Broussard, Interim CEO, HP Inc. “The strong foundation we are building as a trusted edge platform positions us well to lead as AI evolves and allows us to help customers improve their AI economics, security, latency and governance.”

“We delivered another strong quarter, with record third quarter revenue, EPS above the top of our guidance range, and are raising our guidance for FY26,” said Karen Parkhill, CFO, HP Inc. “With three solid quarters behind us, we've demonstrated our ability to navigate through a challenging cost environment and are building on that momentum to further mitigate near-term cost pressures while continuing to invest for long-term profitable growth.”

Third quarter GAAP diluted net EPS was $0.71, down from $0.80 in the prior-year period and above the previously provided outlook of $0.47 to $0.63. Third quarter non-GAAP diluted net EPS was $0.83, up from $0.75 in the prior-year period and above the previously provided outlook of $0.61 to $0.71. Both GAAP and non-GAAP diluted net EPS included an $0.11 favorable impact from tariff refunds. Third quarter non-GAAP net earnings and non-GAAP diluted net EPS exclude certain adjustments. Refer to "Adjustments to GAAP Net earnings" section in the below tables.

Asset management

HP's net cash provided by operating activities in the third quarter of fiscal 2026 was $1.7 billion. Accounts receivable ended the quarter at $7.2 billion, up 3 days quarter over quarter to 41 days. Inventory ended the quarter at $10.3 billion, flat quarter over quarter at 73 days. Accounts payable ended the quarter at $21.4 billion, flat quarter over quarter at 151 days.

HP generated $1.6 billion of free cash flow in the third quarter of fiscal 2026. Free cash flow includes net cash provided by operating activities of $1.7 billion adjusted for net investment in leases from integrated financing of $20 million and net investments in property, plant, equipment and purchased intangibles of $187 million.

HP’s dividend payment of $0.30 per share in the third quarter resulted in cash usage of $274 million. HP also utilized $300 million of cash during the quarter to repurchase approximately 12.2 million shares of common stock in the open market. HP exited the quarter with $4.2 billion in gross cash, which includes cash and cash equivalents of $4.2 billion and short-term investments of $3 million included in other current assets.

Fiscal 2026 third quarter segment results

•Personal Systems net revenue was $11.8 billion, up 18% year over year (up 17% in constant currency) with a 4.6% operating margin. Consumer PS net revenue was up 10% and Commercial PS net revenue was up 22%. Total units were down 16% with Consumer PS units down 19% and Commercial PS units down 14%.

•Pri

EX-99.1

2 hp43026exhibit991q226.htm

EX-99.1

Document

1501 Page Mill Road

Palo Alto, CA 94304

hp.com

Editorial contacts

HP Inc. Media Relations

MediaRelations@hp.com

HP Inc. Investor Relations

InvestorRelations@hp.com

EXHIBIT 99.1

News Release

HP Inc. Reports Fiscal 2026 Second Quarter Results

PALO ALTO, Calif. – May 27, 2026 (GLOBE NEWSWIRE) – HP (NYSE: HPQ)

•Second quarter GAAP diluted net earnings per share ("EPS") of $0.49, up 16.7% from the prior year period

•Second quarter non-GAAP diluted net EPS of $0.86, up 21.1% from the prior year period

•Second quarter net revenue of $14.4 billion, up 9.0% from the prior year period

•Second quarter net cash provided by operating activities of $0.9 billion, free cash flow of $0.8 billion

•Second quarter returned $374 million to shareholders in the form of dividends and share repurchases

HP Inc.'s fiscal 2026 second quarter financial performance

Q2 FY26Q2 FY25Y/Y

GAAP net revenue ($B)$14.4 $13.2 9.0%

GAAP operating margin4.2%4.9% (0.7) pts

GAAP net earnings ($B)$0.45 $0.41 11%

GAAP diluted net EPS$0.49 $0.42 17%

Non-GAAP operating margin7.5%7.3%

0.2 pts

Non-GAAP net earnings ($B)$0.79 $0.68 17%

Non-GAAP diluted net EPS$0.86 $0.71 21%

Net cash provided by operating activities ($B)1

$0.9 $0.0 NM

Free cash flow ($B)1

$0.8 $(0.1)NM

Notes to table

Information about HP Inc.'s use of non-GAAP financial information is provided under "Use of non-GAAP financial information" below.

1. "NM" represents not meaningful either because the amount is too small or large to be meaningful for comparative purposes.

Net revenue and EPS results

HP Inc. and its subsidiaries (“HP”) announced fiscal 2026 second quarter net revenue of $14.4 billion, up 9.0% (up 6.3% in constant currency) from the prior-year period.

"During the second quarter, we continued executing our future of work strategy through intelligent devices, edge AI, and connected experiences while navigating rising commodity costs,” said Bruce Broussard, Interim CEO, HP Inc. “We introduced innovations across AI PCs, Z workstations, AI-powered print, and HP IQ that simplify work and improve productivity. These reflect our progress in building intelligent devices and services that capture the value of AI at the edge and support long-term growth.”

“We delivered strong second-quarter results, with 9% revenue growth and even stronger earnings and free cash flow,” said Karen Parkhill, CFO, HP Inc. “With two solid quarters behind us, we are executing with discipline in a dynamic environment and are strengthening our outlook for the fiscal year to reflect this.”

Second quarter GAAP diluted net EPS was $0.49, up from $0.42 in the prior-year period and below the previously provided outlook of $0.52 to $0.58. Second quarter non-GAAP diluted net EPS was $0.86, up from $0.71 in the prior-year period and above the previously provided outlook of $0.70 to $0.76. Second quarter non-GAAP net earnings and non-GAAP diluted net EPS exclude certain adjustments. Refer to "Adjustments to GAAP Net earnings" section in the below tables.

Asset management

HP's net cash provided by operating activities in the second quarter of fiscal 2026 was $0.9 billion. Accounts receivable ended the quarter at $6.1 billion, up 5 days quarter over quarter to 38 days. Inventory ended the quarter at $9.2 billion, up 5 days quarter over quarter to 73 days. Accounts payable ended the quarter at $19.2 billion, up 10 days quarter over quarter to 151 days.

HP generated $0.8 billion of free cash flow in the second quarter of fiscal 2026. Free cash flow includes net cash provided by operating activities of $0.9 billion adjusted for net investment in leases from integrated financing of $24 million and net investments in property, plant, equipment and purchased intangibles of $170 million.

HP’s dividend payment of $0.30 per share in the second quarter resulted in cash usage of $274 million. HP also utilized $100 million of cash during the quarter to repurchase approximately 5.2 million shares of common stock in the open market. HP exited the quarter with $3.7 billion in gross cash, which includes cash and cash equivalents of $3.7 billion and short-term investments of $3 million included in other current assets.

Fiscal 2026 second quarter segment results

•Personal Systems net revenue was $10.2 billion, up 13% year over year (up 10% in constant currency) with a 5.2% operating margin. Consumer PS net revenue was up 10% and Commercial PS net revenue was up 14%. Total units were down 7% with Consumer PS units down 8% and Commercial PS units down 7%.

•Printing net revenue was $4.2 billion, flat year over year (down 2% in constant currency) with an 18.3% operating margin. Consumer Printing net revenue was down 10% and Commercial Printing net revenue was flat. Supplies net revenue was up 1% (flat in constant currency). Total hardware units were down 7%, with Consumer Printing units down 8% and Commercial Printing units down 4%.

Outlook

For the

hpq-202602240000047217false00000472172026-02-242026-02-24

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

February 24, 2026

Date of Report (Date of Earliest Event Reported)

HP Inc.

(Exact name of registrant as specified in its charter)

Delaware1-442394-1081436 (State or other jurisdiction of incorporation)(Commission File Number)(I.R.S. Employer Identification No.)

1501 Page Mill Road,Palo Alto,California94304 (Address of principal executive offices)(Zip code)

(650) 857-1501 (Registrant’s telephone number, including area code) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act:

Title of each classTrading Symbol(s) Name of each exchange on which registered Common stock, par value $0.01 per shareHPQNew York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2). Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.          ☐

Item 2.02.Results of Operations and Financial Condition.

The information contained in this Item 2.02 and in the accompanying Exhibit 99.1 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Exchange Act or the Securities Act of 1933, as amended (the “Securities Act”), except as shall be expressly set forth by specific reference in such filing.

On February 24, 2026, HP Inc. (“HP”) issued a news release relating to the results of operations for its fiscal quarter ended January 31, 2026. A copy of the news release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01.Financial Statements and Exhibits.

(d)Exhibits

Exhibit NumberDescription 99.1HP Inc. News Release dated February 24, 2026.

104Cover Page Interactive Data File, formatted in Inline XBRL.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

HP Inc.

DATE: February 24, 2026By:/s/ JULIE JACOBS Name:Julie Jacobs Title:Chief Legal Officer, General Counsel, and Corporate Secretary