HP posts profit
Imaging and printing and storage among areas that saw turnover increase
Hewlett Packard (HP) has revealed a six per cent increase in turnover to $22.7bn for its first quarter 2006 ended 31 January.
Non-GAAP net profit stood at $1.4bn compared to $1.1bn in Q1 2005.
Mark Hurd, chief executive of HP said: “We are continuing to deliver on our plan to strengthen HP and better serve our customers. Growth was balanced across most of our businesses and geographies, cash flow was strong and we were disciplined in controlling costs. While hard work remains ahead of us, our efforts are starting to show results.”
Sales in the firm's computer division increased by eight per cent, as it did in the key imaging and printing group. Supply turnvoer rose 11 per cent and enterprise storage and servers group turnover rose by five per cent.
However, in HP Services, turnover declined two per cent year-over-year to $3.8bn. On a year-over-year basis, Technology Services turnover declined two per cent, while Managed Services and Consulting and Integration declined one per cent each. HP Financial Services also reported a decrease in turnover, down 11 per cent to $496m for the quarter.
HP predicted that turnover for the current quarter would be in the range of between $22.4bn and $22.6bn, while full year turnover for 2006 is expected to be around the $90bn mark.