HP's Q3 2025 Earnings: AI PCs and Windows 11 Refresh Boost Growth, But Printing Business Declines

HP Inc reported Q3 2025 net revenues of $13.9bn, up 3.1% YoY, and adjusted EPS fell 10.7% to $0.75. The company generated $1.5bn in free cash flows, returning $400m to shareholders. HP's printing business declined 4% to $4bn, while its PC business grew 6% to $9.9bn. Wall Street analysts have a consensus rating of "Hold" with a mean target price of $27.26, lower than the current price.

HP Inc. (NYSE: HPQ) recently reported its fiscal 2025 third quarter financial results, showcasing a mixed performance with revenue growth and a decline in earnings per share (EPS). The company reported net revenues of $13.9 billion, up 3.1% year-over-year (YoY), driven by strong performance in the Personal Systems segment. However, adjusted EPS fell 10.7% to $0.75, largely due to restructuring and other charges.

The company generated $1.5 billion in free cash flow during the quarter, returning $0.4 billion to shareholders through dividends and share repurchases. HP's printing business declined 4% to $4.0 billion, while its PC business grew 6% to $9.9 billion. The company's net cash provided by operating activities was $1.7 billion, and it ended the quarter with $2.9 billion in gross cash.

Wall Street analysts have a consensus rating of "Hold" with a mean target price of $27.26, which is lower than the current price. HP Inc. anticipates generating free cash flow in the range of $2.6 to $3.0 billion for the full fiscal year 2025.

References:
[1] https://investor.hp.com/news-events/news/news-details/2025/HP-Inc--Reports-Fiscal-2025-Third-Quarter-Results/default.aspx