HP Earnings Down, but Investors See Light at End of Tunnel
Revenue and profits were both down in double figures, but the good news was that they were not down as much as expected by Wall Street analysts.Hewlett-Packard, battling falling demand for personal desktop and laptop computers by selling more servers, storage and software as well as cutting costs, turned in a mixed-bag Q2 2013 earnings report on May 22. Revenue and profits were both down in double figures, but the good news was that they were not down as much as expected by Wall Street analysts. HP's profits totaled $1.1 billion, or 55 cents per share, during its most recently completed quarter. That was down 32 percent from $1.6 billion, or 80 cents per share, last year. Revenue fell 10 percent from a year ago to $27.6 billion. A survey of analysts had projected HP would come in at 81 cents a share on revenue of $28.12 billion.
Despite the dips in bottom-line numbers, HP investors apparently see enough progress in the approach of CEO Meg Whitman (pictured) to think the company is finally making headway in its turnaround.