Story image

HPE reports steady revenue growth with its fiscal 3rd quarter results

06 Sep 2017

Hewlett Packard Enterprise today announced financial results for its fiscal 2017 third quarter, ended July 31, 2017.

Third quarter net revenue of $8.2 billion (USD) is up 3% from the prior-year period and up 6% when adjusted for divestitures and currency.

The results indicate a better performance than was perhaps expected, with the software merger with Micro Focus also affecting its future financial outlook.

The company released results as corresponding with Generally Accepted Accounting Principles (GAAP) as well as its own non-GAAP measurements.

GAAP diluted net earnings per share (“EPS”) from continuing operations is down $0.15 from the previous year, while non-GAAP diluted net EPS from continuing operations is down $0.31.

Meg Whitman, HPE CEO says, “The results of the third quarter are an encouraging sign of the progress we are making.” “With better execution, we drove overall revenue growth, exceeded our EPS targets and improved our operating margins sequentially, all while completing the spin-merge of our Software business,” she says.

“There’s more work to do, but we are on the right track.”

HPE’s enterprise group segment revenue is $6.8 billion, up 3% year over year, and up 3% when adjusted for currency, with a 9.3% operating margin.

Other notable growth areas included storage revenue, which is up 11%, networking revenue, which is up 16% and financial services revenue, which is up 10% year over year at $897 million.

Software revenue is $718 million, which is down 3% year over year.

In terms of the fiscal 2017 fourth quarter, HPE estimates GAAP diluted net EPS to be in the range of $0.00 to $0.04 and non-GAAP diluted net EPS to be in the range of $0.26 to $0.30.

HPE is also adjusting its fiscal 2017 full year outlook in connection with the close of its software merger with Micro Focus, which the company says will impact its diluted net EPS by approximately $0.13.

For fiscal 2017, Hewlett Packard Enterprise estimates GAAP diluted net EPS to be in the range of ($0.11) to ($0.07) and non-GAAP diluted net EPS to be in the range of $1.36 to $1.40.

Cloud application attacks in Q1 up by 65% - Proofpoint
Proofpoint found that the education sector was the most targeted of both brute-force and sophisticated phishing attempts.
Huawei picks up accolades for software-defined camera ecosystem
"The company's software defined capabilities enable it to future-proof its camera ecosystem and greatly lower the total cost of ownership (TCO), as its single camera system is applicable to a variety of application use cases."
Gartner: Good talent put off by old tech
Technology now ranks in the top ten reasons Australian employees will leave their current role, according to Gartner’s 4Q18 Global Talent Monitor.
App downtime costs businesses over $700k per event
One hour of business-critical application downtime can cost larger companies $144,062.52 per hour, with an average repair time of over five hours.
Why application downtime costs Aussie businesses more than $762,000 on average
“These findings highlight the critical need for all Australian businesses to ensure ongoing monitoring of applications."
How AI is changing the medical industry
With NVIDIA Clara, developers can speed up their medical imaging applications and implement AI.
The Data Literacy Project expands its library of free courses
Upskilling the workforce in data literacy is fundamental to unlocking business growth.
Digital experience managers, get excited for Adobe Summit 2019
“Digital transformation may be a buzzword, but companies are trying to adapt and compete in this changing environment.”