As we delve into HP net worth, it’s essential to highlight the driving forces behind their financial success in 2024.
At Ando Money, we bring you up-to-date, insightful analysis of how HP’s personal systems revenue and other key factors contribute to their financial position.
Let’s explore HP’s financial performance, from revenue growth to strategic initiatives.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | HP Inc. |
| Full Name | Hewlett-Packard Inc. |
| Website | www.hp.com |
| Industry | Technology |
| Traded as | NYSE: HPQ |
| ISIN | US40434L1052 |
| Founded | 2015 |
| Founders | Bill Hewlett, David Packard |
| Country/Territory | United States |
| Headquarters | Palo Alto, California, U.S. |
| Chief Executive Officer | Enrique Lores |
| Number of Employees | 51,000 |
| Market Cap | $34.59 billion |
| Total Assets | $38.059 billion |
| Total Equity | -$1.392 billion |
| Revenue | $13.5 billion (Q3 FY24) |
| Net Income | $640 million (Q3 FY24) |
What is the Net Worth/Market Cap of HP in 2024?
HP’s net worth in 2024 is represented by its market capitalization, which stands at $34.59 billion. This figure places HP among the leading global technology companies.
To put things into perspective, several companies in similar sectors maintain comparable or higher market capitalizations. Below is a list of notable names related to HP:
- Dell Technologies
- IBM
- Microsoft
- Oracle
- Apple
- Lenovo
- Cisco Systems
- Adobe
- Intel
- Sony
Want to see how HP compares to the richest companies? Explore more here.
HP Financial Performance Overview
Personal Systems Revenue Performance
HP’s Personal Systems division generated $9.4 billion in Q3 FY24, showing a 5% year-over-year growth.
This segment comprises both commercial and consumer systems, with commercial systems contributing more robustly.
Commercial Personal Systems net revenue increased by 8%, while consumer systems saw a slight dip of 1%.
Despite fluctuating unit sales, the steady demand for commercial systems is a major driver of HP’s overall growth.
Printing Segment Contribution to Overall Revenue
The Printing division brought in $4.1 billion during the same quarter, a 3% decrease from the previous year.
This division includes both consumer and commercial printing. Notably, consumer printing managed a 2% revenue increase, while commercial printing declined by 5%.
HP’s strategy in the printing market remains focused on high-margin areas like commercial printing solutions, which still deliver a healthy 17.3% operating margin despite the downturn.
Supply Chain and Inventory Management Impact
HP’s inventory management has played a key role in maintaining operational efficiency.
By the end of Q3 FY24, HP reported $7.8 billion in inventory, reflecting careful management of supply chain dynamics.
This directly impacts the operating margins, with slight improvements from optimized supply chain processes, helping the company maintain competitiveness in the market.
Impact of Share Repurchase on Financial Health
In Q3 FY24, HP increased its share repurchase authorization to $10.0 billion, with $0.6 billion already utilized to repurchase 17.1 million shares.
This aggressive buyback strategy boosts investor confidence and helps manage the company’s share price by reducing outstanding shares.
While HP’s total equity reflects a deficit of -$1.392 billion, this repurchase program underscores its focus on improving shareholder returns.
Cash Flow from Operations and Free Cash Flow
HP generated $1.4 billion in cash from operations in Q3 FY24, translating into $1.3 billion in free cash flow.
This robust cash generation supports the company’s ability to fund investments, manage debt, and return capital to shareholders.
Cash flow remains a cornerstone of HP’s ability to sustain its business model and invest in future growth.
Financial Performance and Cost Management
HP’s careful cost management is evident in its restructuring and acquisition strategies.
The company recorded $46 million in restructuring charges and $22 million in acquisition-related expenses during Q3 FY24.
These costs, while impacting short-term profits, are part of a long-term strategy to optimize operations and integrate new assets for sustained profitability.
Investments in Research and Development
R&D remains critical to HP’s long-term growth, with $413 million allocated in Q3 FY24.
These investments focus on innovation in personal computing, AI-powered systems, and printing technologies.
By consistently funding research, HP positions itself to remain competitive in the evolving technology landscape, ensuring future revenue growth through cutting-edge solutions.
Leadership and Strategic Direction
Under the leadership of Enrique Lores, HP has continued to refine its business strategy, focusing on areas like AI technology, subscription services, and managed services.
These strategic initiatives have helped HP navigate market challenges while ensuring steady revenue streams and maintaining its competitive edge.
FAQs About HP
How many employees does HP have?
It has approximately 51,000 employees as of 2024, contributing to its global operations in over 170 countries.
Who is the current CEO of HP?
Its current CEO is Enrique Lores, who has been leading the company since 2019.
What is HP’s revenue in 2024?
It reported $13.5 billion in revenue in Q3 FY24, driven by its Personal Systems and Printing divisions.
What are HP’s total assets in 2024?
Its total assets are valued at $38.059 billion as of July 2024.
How does HP generate its revenue?
It generates revenue primarily from two key divisions: Personal Systems and Printing, with a strong focus on commercial solutions and services.
Conclusion
In conclusion, HP’s financial performance in 2024 highlights a well-rounded strategy focusing on both innovation and financial management.
If you’re keen to explore more about companies like HP, feel free to leave a comment or visit Ando Money. We’re always here to provide in-depth financial insights.
