04:41 PM EDT, 09/04/2024 (MT Newswires) -- Hewlett Packard Enterprise ( HPE ) late Wednesday reported a surprise increase in fiscal third-quarter earnings while the company's revenue came in stronger than expected.

Adjusted per-share earnings rose to $0.50 during the quarter ended July 31 from $0.49 a year earlier. The consensus on Capital IQ had called for a drop to $0.47. Revenue grew 10% to $7.71 billion, above Wall Street's $7.67 billion view.

Server revenue climbed 35% year over year to $4.28 billion. The intelligent edge division declined 23% to $1.12 billion, while hybrid cloud sales fell 7% to $1.3 billion.

Hewlett Packard ( HPE ) forecasts full-year adjusted EPS between $1.92 and $1.97, compared with the prior $1.85 and $1.95 range. It continues to expect fiscal 2024 revenue to grow by 1% to 3% on a constant currency basis. The consensus on Capital IQ is for normalized EPS of $1.92 and revenue of $29.72 billion.

For the fourth quarter, Hewlett Packard ( HPE ) expects adjusted EPS to be in the range of $0.52 to $0.57 and revenue between $8.1 billion and $8.4 billion. Analysts are estimating $0.55 and $8.15 billion, respectively.

The stock was declining 4.2% in after-hours trade.

Price: 17.98, Change: -0.79, Percent Change: -4.21