HP's EPS Growth: Driving Force Behind FY2024 Success

In the dynamic world of technology, companies must navigate a complex landscape to maintain growth and profitability. HP Inc., a leading provider of computing and printing solutions, has demonstrated its ability to adapt and thrive in this environment, as reflected in its strong fiscal 2024 performance. This article explores the key drivers behind HP's EPS growth and the strategic initiatives that contributed to its success.

HP Inc. reported a 3% increase in non-GAAP diluted net EPS to $3.38 in FY2024, driven by strategic initiatives such as cost-cutting and restructuring. The company's restructuring and other charges totaled $564 million, excluding which non-GAAP EPS would have been $3.95, a 17% increase year-over-year. This suggests that cost-cutting measures significantly contributed to EPS growth, despite a slight decline in GAAP EPS due to charges.



Investments in research and development, particularly in areas like 3D printing and sustainability, also played a role in driving HP's EPS growth. The company's commitment to innovation and sustainability, as evidenced by its strategic focus on these areas, likely contributed to its strong earnings performance.



Acquisitions and divestments have a notable impact on EPS, and HP's FY2024 results reflect this. The company incurred after-tax adjustments of $564 million, or $0.57 per diluted share, related to restructuring and other charges, acquisition and divestiture charges, and amortization of intangible assets. Despite these costs, HP's EPS growth demonstrates its ability to manage its portfolio and drive earnings growth.



HP Inc.'s increasing focus on the commercial segment and enterprise solutions has significantly contributed to its EPS growth in FY2024. The company reported a 3% increase in non-GAAP diluted net EPS, driven by steady progress in Personal Systems and Print, with revenue growth for the second consecutive quarter. This strategy capitalizes on the growing demand for commercial solutions and the trend towards remote work, allowing HP to expand its market reach and tap into new revenue streams.

In conclusion, HP Inc.'s strong EPS growth in FY2024 is a testament to the company's ability to adapt and thrive in a rapidly evolving technology landscape. By focusing on strategic initiatives, investments in R&D, portfolio management, and expanding its commercial segment, HP has demonstrated its commitment to long-term growth and sustainability. As the company continues to navigate the dynamic technology market, investors can expect HP to remain a strong contender in the industry.