Following the closure of its Q2 2023, HP has recorded a drop in revenue of 21.7% year-on-year and 6.7% compared with the previous quarter as consumers and businesses seek to spend less on refreshing hardware such as business laptops.
The $12.9 billion in quarterly revenue was down from $16.5 billion during the same period last year, but even so, company CEO Enrique Lores remains optimistic about having delivered “non-GAAP EPS at the high-end of [the company’s] target in Q2.”
The most detrimental to HP’s profitability during the previous quarter was consumer personal systems, accounting for computers destined for household use, which saw a hefty 39% drop.
HP battles a tough economy
Commercial personal systems also saw a drop to the tune of 24%, which aligns with recent industry predictions hinting at reduced spend on such hardware.
The first three months of 2023 saw HP ship 11,998 desktops and notebooks globally, down 24.1% from 15,816 the year previously, according to figures by research firm Canalys. Still, the computer maker remained in second place (behind Lenovo), accounting for around one in five laptop and desktop sales overall.
Furthermore, the firm’s printing business has also started to show signs of suffering as consumers look to become more environmentally aware. Among consumers, printing revenue saw a 19% drop, however the commercial and business printing business did see a 5% uptick.
While some analysts remain hopeful that PC sales should bounce back, a mutual timeline agreement has not been made. Furthermore, the HP has dug itself some pretty deep holes in recent weeks, not least regarding firmware updates that are causing printers to refuse anything other than HP’s own ink, all culminating in around 100 printer models’ environmental labeling being challenged.
- Need to be smarter about your cash? Here’s the best hybrid working tech to cover all bases
Are you a pro? Subscribe to our newsletter
Sign up to the TechRadar Pro newsletter to get all the top news, opinion, features and guidance your business needs to succeed!
With several years’ experience freelancing in tech and automotive circles, Craig’s specific interests lie in technology that is designed to better our lives, including AI and ML, productivity aids, and smart fitness. He is also passionate about cars and the decarbonisation of personal transportation. As an avid bargain-hunter, you can be sure that any deal Craig finds is top value!