Feb 27 (Reuters) - HP Inc ( HPQ ) beat Wall Street
estimates for first-quarter revenue on Thursday, driven by
strength in its personal systems segment and growing demand for
artificial intelligence-capable systems.
PC market growth is expected to accelerate this year as the
Windows 10 end-of-support deadline in October pushes hundreds of
millions of PC users to refresh their devices.
Demand is also expected to surge as companies launch
AI-capable PCs equipped with advanced and powerful processors
designed for AI tasks.
U.S. President Donald Trump said on Thursday he would impose
an additional 10% duty on Chinese goods on March 4 - on top of
the 10% tariff that he levied on February 4 on imports from
China.
HP has been diversifying its supply chain, and by the end of
October expects more than 90% of HP products sold in North
America to be built outside of China, CEO Enrique Lores said in
an interview.
The PC market achieved its fifth consecutive quarter of
growth in the fourth quarter, with total shipments of desktops,
notebooks and workstations rising 5% to 67.9 million units,
Canalys data showed in January.
HP reported revenue of $13.5 billion for the first quarter
ended January 31, above the average analyst estimate of $13.36
billion, according to data compiled by LSEG.
Net revenue for HP's Personal Systems segment, home to its
desktop and notebook PCs, rose 5% to $9.2 billion. Its
commercial PS net revenue grew 10%.
The PC maker forecast second-quarter adjusted profit per
share to be between 75 cents and 85 cents, compared with
estimates of 86 cents.
HP reiterated its fiscal 2025 adjusted profit forecast of
between $3.45 and $3.75 per share.