HP Q4 profit plunges 91 pc

HP Q4 profit plunges 91 pc

In the year-ago qaurter, the company had a net income of USD 2.53 billion, HP said in a statement last night. The company's net revenues declined by 3 per cent from the year-ago period to USD 32.1 billion in the quarter.

Full the full fiscal year ended last month, HP posted a net revenue of USD 127.2 billion, up one per cent from the previous year. Its net income dipped to USD 7.07 billion in FY 2010-11, from USD 8.71 billion during the previous year.

The technology giant also issued a cautious outlook for the new financial year, saying "We are remaining cautious heading into FY12 but are focused on delivering our earnings outlook and driving shareholder value."

The company's executive vice president and chief financial officer Cathie Lesjak said, "We need to get back to the business fundamentals in fiscal 2012, including making prudent investments in the business and driving more consistent execution."

During the fourth quarter, HP's services business grew 2 per cent to USD 9.3 billion from a year earlier. However, revenue in the company's server group tumbled by 4 per cent to USD 5.7 billion and its printer business fell 10 per cent to USD 6.3 billion.

In terms of geographic regions, emerging countries performed well. BRIC countries such as Brazil, Russia, India and China have collectively registered a revenue of USD 3.8 billion, up 9 per cent over the year-ago period. In addition, Asia Pacific region generated a revenue of USD 6 billion, representing a 3 per cent increase year over year.

However, revenues from Europe, Middle East and Africa decelerated by 6 per cent to USD 11.7 billion and Americas witnessed a decline of 4 per cent to USD 14.5 billion. For the first quarter of fiscal 2012, HP expects an earning per share in the range of USD 0.61-0.64 and projects an earning per share of about USD 3.20 for the full fiscal year.