| (a) | Includes any dilutive effect of restricted stock units, stock options and performance-based awards. | |
| HP INC. AND SUBSIDIARIES
CALCULATION OF DILUTED NET EARNINGS PER SHARE (Unaudited) (In millions, except per share amounts) | |||||
| Twelve months ended | |||||
| October 31, 2024 | October 31, 2023 | ||||
| Numerator: | |||||
| GAAP net earnings | $ | 2,775 | $ | 3,263 | |
| Non-GAAP net earnings | $ | 3,339 | $ | 3,277 | |
| Denominator: | |||||
| Weighted-average shares used to compute basic net earnings per share | 979 | 992 | |||
| Dilutive effect of employee stock plans(a) | 10 | 8 | |||
| Weighted-average shares used to compute diluted net earnings per share | 989 | 1,000 | |||
| GAAP diluted net earnings per share | $ | 2.81 | $ | 3.26 | |
| Non-GAAP diluted net earnings per share | $ | 3.38 | $ | 3.28 | |
| (a) | Includes any dilutive effect of restricted stock units, stock options and performance-based awards. | |
Use of non-GAAP financial measures
To supplement HP’s consolidated condensed financial statements presented on a GAAP basis, HP provides net revenue on a constant currency basis, non-GAAP total operating expense, non-GAAP operating profit, non-GAAP operating margin, non-GAAP other income and expenses, non-GAAP tax rate, non-GAAP net earnings, non-GAAP diluted net EPS, free cash flow, gross cash and net cash (debt). HP also provides forecasts of non-GAAP diluted net EPS and free cash flow.
These non-GAAP financial measures are not computed in accordance with, or as an alternative to, GAAP in the United States. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the tables above or elsewhere in the materials accompanying this news release.
