HPE: Q2 EPS below expectations
(CercleFinance.com) - On Thursday evening Hewlett Packard Enterprise (HPE) reported Q2 2019-20 adjusted EPS that was almost halved at 22 cents, seven cents short of the conensus, with an adjusted operating margin that fell 2.
8 points to 6.1%.
The IT group saw its adjusted gross margin slip 0.2 point to 32%, for revenues that are down 16% to six billion dollars (-15% at constant exchange rates), with the company saying that it was penalised by logistics constraints and delays in customer acceptance.
After withdrawing its annual targets in early April, HPE has announced a plan to optimise costs and prioritise investments over three years, from which it expects to make net savings of at least 800 million dollars per year.
Copyright (c) 2020 CercleFinance.com. All rights reserved.