HPE's Bottom Line Contracts Amid Strong Revenue Momentum in Q4

Rugman_Walking · 2025-12-26T02:19:23+00:00

Hewlett Packard Enterprise's Q4 results showed revenue growth of 14.4% to $9.679 billion, but net income fell sharply to $146 million. Adjusted earnings reveal better operational performance, and the company anticipates cautious guidance for the next quarter.

Rugman_Walking

2025-12-26 02:19:23

Abstract generation in progress

Hewlett Packard Enterprise revealed its fourth-quarter financial results, with a mixed performance as revenue growth outpaced profitability gains. The company’s net income plummeted to $146 million, or $0.11 per share, a significant pullback from $1.341 billion, or $0.99 per share, in the corresponding quarter a year prior.

Despite the profit compression, HPE’s top-line performance delivered brighter news. Quarterly revenue climbed 14.4% year-over-year, reaching $9.679 billion compared to $8.458 billion previously. This revenue acceleration suggests robust demand across the enterprise.

When adjusting for certain items, Hewlett Packard Enterprise’s bottom line improved considerably. The company disclosed adjusted earnings of $893 million, translating to $0.62 per share for the quarter. This adjusted metric demonstrates underlying operational performance beneath the headline GAAP figures.

Key Financial Metrics (Q4 GAAP Basis):

Net Income: $146 million versus $1.341 billion year-over-year
Earnings Per Share: $0.11 compared with $0.99 previously
Revenue: $9.679 billion versus $8.458 billion last year

Looking ahead, HPE provided guidance for the next quarter that suggests measured expectations. The company projects EPS in the range of $0.57 to $0.61, while forecasting revenue between $9.0 billion and $9.4 billion. This guidance reflects the company’s cautious outlook as it navigates ongoing market dynamics.

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