HP Inc. Dips on Forecast That Profit May Fall Before Cost Cuts
- Printer business revenue fell 8% in the fiscal fourth quarter
- Market for printers, personal computers ‘uncertain,’ CEO says
HPE and HP Report Earnings: Breaking Down the Numbers
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HP Inc., which sells printers and computers, said profit in the current quarter may fall, signaling that planned cost cuts will be needed to bolster earnings. The shares fell the most in three months.
Chief Executive Officer Dion Weisler is cutting costs while trying to invest in his main products, personal computers and printers, which customers are using less as they opt for smartphones, tablets and other portable devices. HP said last month the company -- which split with Hewlett Packard Enterprise Co. at the end of 2015 -- plans to cut as many as 4,000 employees over three years. That follows a round of roughly 3,000 reductions unveiled last year.