HP (HPQ) FY2019 results: revenue $58.8 billion, up 0.5% on the year
HP Inc. (HPQ) reported revenue of $58.8 billion for fiscal 2019, the year ended 31 October 2019, up 0.5% on the year before. Net income was $3.2 billion, down 40.8%, and diluted earnings per share $2.07. The figures are the company's own, from the 10-K it filed with the SEC on 12 December 2019.
Revenue
$58.8 billion
+0.5% on the year
FY2012FY2019
Operating margin
6.6%
6.6% a year earlier
FY2012FY2019
Net income
$3.2 billion
-40.8% on the year
FY2012FY2019
Diluted EPS
$2.07
-36.5% on the year
FY2012FY2019
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Revenue
58,756
58,472
52,056
+0.5%
Cost of revenue
47,586
47,803
42,478
-0.5%
Gross profit
11,170
10,669
9,578
+4.7%
Gross margin
19.0%
18.2%
18.4%
Research and development
1,499
1,404
1,190
+6.8%
Selling, general and administrative
5,368
5,099
4,532
+5.3%
Operating income
3,877
3,831
3,368
+1.2%
Operating margin
6.6%
6.6%
6.5%
Interest expense
242
312
309
-22.4%
Pre-tax income
2,523
3,013
3,276
-16.3%
Income tax
-629
-2,314
750
Effective tax rate
-24.9%
-76.8%
22.9%
Net income
3,152
5,327
2,526
-40.8%
Net margin
5.4%
9.1%
4.9%
Diluted EPS
$2.07
$3.26
$1.48
-36.5%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Operating cash flow
4,654
4,528
3,677
+2.8%
Capital expenditure
671
546
402
+22.9%
Free cash flow
3,983
3,982
3,275
+0.0%
Free cash flow margin
6.8%
6.8%
6.3%
Cash from investing
-438
-716
-1,717
Cash from financing
-4,845
-5,643
-1,251
Depreciation and amortisation
744
528
354
+40.9%
Share-based compensation
297
268
224
+10.8%
Buybacks
2,405
2,557
1,412
-5.9%
Dividends paid
970
899
894
+7.9%
Dividend per share
$0.64
$0.56
$0.53
+14.3%
Diluted shares, weighted
1,524m
1,634m
1,702m
-6.7%
Shares outstanding at period end
1,458m
1,560m
1,650m
-6.5%
Balance sheet
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Shareholders' equity
-1,211
-639
-3,408
Non-controlling interest
18.0
n/a
n/a
Debt
5,137
5,987
7,819
-14.2%
Other liabilities
29,523
29,274
28,502
+0.9%
Total liabilities and equity
33,467
34,622
32,913
-3.3%
Fixed assets
2,794
2,198
1,878
+27.1%
Goodwill
6,372
5,968
5,622
+6.8%
Intangible assets
661
453
3.0
+45.9%
Investments
0.0
764
1,210
Trading assets
56.0
764
1,210
-92.7%
Cash and equivalents
4,537
5,166
6,997
-12.2%
Receivables
6,031
5,113
4,414
+18.0%
Inventory
5,734
6,062
5,786
-5.4%
Other assets
7,282
8,134
5,793
-10.5%
Total assets
33,467
34,622
32,913
-3.3%
10-K for the year ended 31 October 2019, filed 12 December 2019: the filing.