Hewlett-Packard Co. (NYSE: HPQ) reported Tuesday that its fiscal second-quarter profit rose slightly to $2.3 billion, or $1.05 a share, from $2.2 billion, or 91 cents a share, in the year-earlier quarter. On an adjusted basis, the company earned $1.24 a share in the latest quarter. Revenue increased by about 3% to $31.63 billion from $30.85 billion.
"HP executed well and delivered a solid quarter," said Leo Apotheker, HP president and chief executive officer. "Our enterprise strategy, with services at its core, is focused on higher value-added solutions. Today we are accelerating our efforts to align our services business model to our long-term strategy to deliver unprecedented value to our customers and a better return for our shareholders."
HP also revised outlook for the third quarter and the full year fiscal 2011, citing an expected near-term impact from the Japan earthquake and related events, continued softness in sales of consumer PCs, and reduced operating profit expectations for Services. For the third quarter of fiscal 2011, HP estimates revenue of approximately $31.1 billion to $31.3 billion, GAAP diluted EPS of approximately $0.90, and non-GAAP diluted EPS of approximately $1.08. Third quarter fiscal 2011 non-GAAP diluted EPS estimates exclude after-tax costs of approximately $0.18 per share, related primarily to the amortization of purchased intangibles, restructuring charges and acquisition-related charges. HP expects full year fiscal 2011 revenue in the range of $129 billion to $130 billion, GAAP diluted EPS of at least $4.27, and non-GAAP diluted EPS of at least $5.00. Full year fiscal 2011 non-GAAP diluted EPS estimates exclude after-tax costs of approximately $0.73 per share, related primarily to the amortization of purchased intangibles, restructuring charges and acquisition-related charges.
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