HP Inc revenue drops as printing hit hardest

Vendor's printing revenue declined 14 per cent in Q3

HP Inc's revenue dropped in Q3 amid "challenging and somewhat volatile" market conditions, according to CEO Dion Weisler.

For the three months ending 31 July, HP Inc saw net revenue decline four per cent year on year to $11.9bn (£9bn).

Printing net revenue took the biggest hit, declining 14 per cent year on year to $4.4bn.

On a conference call, Weisler said: "Overall, we delivered on our financial commitments in the third quarter and I'm pleased with our progress.

"However, with the markets remaining challenging and somewhat volatile, we have more work to do.

"We will keep our eye on cost controls, while continuing to focus on executing our strategy, protecting our core business through solid execution, delivering our growth initiatives and investing in category-creating opportunities for the future."

HP Inc's PC division improved slightly more than was forecast, as did personal systems, despite the decline in the printing arm of the business.

Weisler claimed that the vendor has a "healthy" channel inventory, having implemented a reduction of $225m in Q3. A further $225m reduction is expected in Q4.

HP Inc cut around 1,000 jobs in Q3, taking the number of cuts in this fiscal year to 2,300. The total figure is set to reach 3,000 by the end of the year.

HP Inc shares fell around five per cent after closing to $13.6 per share following the announcement.