| HP INC. AND SUBSIDIARIES
SEGMENT INFORMATION (Unaudited) (In millions) | ||||||||
| Three months ended | ||||||||
|
October 31,
2018 |
July 31,
2018 |
October 31,
2017 | ||||||
| Net revenue:(a) | ||||||||
| Personal Systems | $ | 10,064 | $ | 9,395 | $ | 9,067 | ||
| Printing | 5,300 | 5,188 | 4,859 | |||||
| Corporate Investments | 2 | 1 | 1 | |||||
| Total segments | 15,366 | 14,584 | 13,927 | |||||
| Other | — | 2 | — | |||||
| Total net revenue | $ | 15,366 | $ | 14,586 | $ | 13,927 | ||
| Earnings before taxes:(a) | ||||||||
| Personal Systems | $ | 378 | $ | 365 | $ | 341 | ||
| Printing | 851 | 832 | 805 | |||||
| Corporate Investments | (20) | (22) | (18) | |||||
| Total segment earnings from operations | 1,209 | 1,175 | 1,128 | |||||
| Corporate and unallocated cost and other | (60) | (61) | (54) | |||||
| Stock-based compensation expense | (65) | (55) | (55) | |||||
| Restructuring and other charges | (40) | (4) | (113) | |||||
| Acquisition-related charges | (26) | (10) | (49) | |||||
| Amortization of intangible assets | (20) | (20) | — | |||||
| Non-operating retirement-related credits | 54 | 56 | 34 | |||||
| Defined benefit plan settlement charges | (5) | (1) | (1) | |||||
| Interest and other, net | (40) | (62) | (42) | |||||
| Total earnings before taxes | $ | 1,007 | $ | 1,018 | $ | 848 | ||
- Effective at the beginning of its first quarter of fiscal year 2018, HP implemented an organizational change to align its segment and business unit financial reporting more closely with its current business structure. The organizational change resulted in the transfer of long life consumables from Commercial to Supplies within the Printing segment. Certain revenues related to service arrangements, which are being eliminated for the purposes of reporting HP’s consolidated net revenue, have now been reclassified from Other to segments. HP has reflected this change to its segment and business unit information in prior reporting periods on an as-if basis. The reporting change had no impact to previously reported consolidated net revenue, earnings from operations, net earnings or net earnings per share.
| HP INC. AND SUBSIDIARIES
SEGMENT INFORMATION (Unaudited) (In millions) | |||||
| Twelve months ended October 31, | |||||
| 2018 | 2017 | ||||
| Net revenue:(a) | |||||
| Personal Systems | $ | 37,661 | $ | 33,321 | |
| Printing | 20,805 | 18,728 | |||
| Corporate Investments | 5 | 8 | |||
| Total segments | 58,471 | 52,057 | |||
| Other | 1 | (1) | |||
| Total net revenue | $ | 58,472 | $ | 52,056 | |
| Earnings before taxes: (a) | |||||
| Personal Systems | $ | 1,411 | $ | 1,210 | |
| Printing | 3,323 | 3,146 | |||
| Corporate Investments | (82) | (87) | |||
| Total segment earnings from operations | 4,652 | 4,269 | |||
| Corporate and unallocated costs and other | (197) | (168) | |||
| Stock-based compensation expense | (268) | (224) | |||
| Restructuring and other charges | (132) | (362) | |||
| Acquisition-related charges | (123) | (125) | |||
| Amortization of intangible assets | (80) | (1) | |||
| Non-operating retirement-related credits | 219 | 135 | |||
| Defined benefit plan settlement charges | (7) | (5) | |||
| Interest and other, net | (1,051) | (243) | |||
| Total earnings before taxes | $ | 3,013 | $ | 3,276 | |
- Effective at the beginning of its first quarter of fiscal year 2018, HP implemented an organizational change to align its segment and business unit financial reporting more closely with its current business structure. The organizational change resulted in the transfer of long life consumables from Commercial to Supplies within the Printing segment. Certain revenues related to service arrangements, which are being eliminated for the purposes of reporting HP’s consolidated net revenue, have now been reclassified from Other to segments. HP has reflected this change to its segment and business unit information in prior reporting periods on an as-if basis. The reporting change had no impact to previously reported consolidated net revenue, earnings from operations, net earnings or net earnings per share.
| HP INC. AND SUBSIDIARIES
SEGMENT/BUSINESS UNIT INFORMATION (Unaudited) (In millions) | ||||||||||||
| Three months ended | Change (%) | |||||||||||
|
October 31,
2018 |
July 31,
2018 |
October 31,
2017 | Q/Q | Y/Y | ||||||||
| Net revenue (a) : | ||||||||||||
| Personal Systems | ||||||||||||
| Notebooks | $ | 6,165 | $ | 5,634 | $ | 5,391 | 9% | 14% | ||||
| Desktops | 2,991 | 2,869 | 2,821 | 4% | 6% | |||||||
| Workstations | 577 | 588 | 526 | (2)% | 10% | |||||||
| Other | 331 | 304 | 329 | 9% | 1% | |||||||
| Total Personal Systems | 10,064 | 9,395 | 9,067 | 7% | 11% | |||||||
| Printing | ||||||||||||
| Supplies | 3,385 | 3,405 | 3,156 | (1)% | 7% | |||||||
| Commercial Hardware | 1,248 | 1,170 | 1,077 | 7% | 16% | |||||||
| Consumer Hardware | 667 | 613 | 626 | 9% | 7% | |||||||
| Total Printing | 5,300 | 5,188 | 4,859 | 2% | 9% | |||||||
| Corporate Investments | 2 | 1 | 1 | 100% | 100% | |||||||
| Total segments | 15,366 | 14,584 | 13,927 | 5% | 10% | |||||||
| Other (b) | — | 2 | — | NM | NM | |||||||
| Total net revenue | $ | 15,366 | $ | 14,586 | $ | 13,927 | 5% | 10% | ||||
- Effective at the beginning of its first quarter of fiscal year 2018, HP implemented an organizational change to align its segment and business unit financial reporting more closely with its current business structure. The organizational change resulted in the transfer of long life consumables from Commercial to Supplies within the Printing segment. Certain revenues related to service arrangements, which are being eliminated for the purposes of reporting HP’s consolidated net revenue, have now been reclassified from Other to segments. HP has reflected this change to its segment and business unit information in prior reporting periods on an as-if basis. The reporting change had no impact to previously reported consolidated net revenue, earnings from operations, net earnings or net earnings per share.
