| HP INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS (Unaudited) (In millions, except per share amounts) | |||||||
| Twelve months ended Oct 31, | |||||||
| 2017 | 2016 | ||||||
| Net revenue | $ | 52,056 | $ | 48,238 | |||
| Costs and expenses: | |||||||
| Cost of revenue | 42,478 | 39,240 | |||||
| Research and development | 1,190 | 1,209 | |||||
| Selling, general and administrative | 4,376 | 3,833 | |||||
| Restructuring and other charges | 362 | 205 | |||||
| Acquisition-related charges | 125 | 7 | |||||
| Amortization of intangible assets | 1 | 16 | |||||
| Defined benefit plan settlement charges | 5 | 179 | |||||
| Total costs and expenses | 48,537 | 44,689 | |||||
| Earnings from continuing operations | 3,519 | 3,549 | |||||
| Interest and other, net | (243 | ) | 212 | ||||
| Earnings from continuing operations before taxes | 3,276 | 3,761 | |||||
| Provision for taxes | (750 | ) | (1,095 | ) | |||
| Net earnings from continuing operations | 2,526 | 2,666 | |||||
| Net loss from discontinued operations | — | (170 | ) | ||||
| Net earnings | $ | 2,526 | $ | 2,496 | |||
| Net earnings per share: | |||||||
| Basic | |||||||
| Continuing operations | $ | 1.50 | $ | 1.54 | |||
| Discontinued operations | — | (0.10 | ) | ||||
| Total basic net earnings per share | $ | 1.50 | $ | 1.44 | |||
| Diluted | |||||||
| Continuing operations | $ | 1.48 | $ | 1.53 | |||
| Discontinued operations | — | (0.10 | ) | ||||
| Total diluted net earnings per share | $ | 1.48 | $ | 1.43 | |||
| Cash dividends declared per share | $ | 0.53 | $ | 0.50 | |||
| Weighted-average shares used to compute net earnings per share: | |||||||
| Basic | 1,688 | 1,730 | |||||
| Diluted | 1,702 | 1,743 | |||||
| HP INC. AND SUBSIDIARIES
ADJUSTMENTS TO GAAP NET EARNINGS, EARNINGS FROM OPERATIONS, OPERATING MARGIN AND DILUTED NET EARNINGS PER SHARE (Unaudited) (In millions, except per share amounts) | |||||||||||||||||||||||
|
Three
months ended October 31, 2017 |
Diluted
net earnings per share |
Three
months ended July 31, 2017 |
Diluted
net earnings per share |
Three
months ended October 31, 2016 |
Diluted
net earnings per share | ||||||||||||||||||
| GAAP net earnings from continuing operations | $ | 660 | $ | 0.39 | $ | 696 | $ | 0.41 | $ | 513 | $ | 0.30 | |||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 113 | 0.06 | 46 | 0.03 | 49 | 0.03 | |||||||||||||||||
| Acquisition-related charges | 49 | 0.03 | 40 | 0.02 | 7 | — | |||||||||||||||||
| Non-operating retirement-related credits | (34 | ) | (0.02 | ) | (34 | ) | (0.02 | ) | (28 | ) | (0.02 | ) | |||||||||||
| Defined benefit plan settlement charges | 1 | — | 1 | — | 179 | 0.10 | |||||||||||||||||
| Tax indemnification credits | (23 | ) | (0.01 | ) | (10 | ) | (0.01 | ) | (435 | ) | (0.25 | ) | |||||||||||
| Adjustments for taxes | (17 | ) | (0.01 | ) | (4 | ) | — | 329 | 0.20 | ||||||||||||||
| Non-GAAP net earnings | $ | 749 | $ | 0.44 | $ | 735 | $ | 0.43 | $ | 614 | $ | 0.36 | |||||||||||
| GAAP earnings from continuing operations | $ | 890 | $ | 955 | $ | 663 | |||||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 113 | 46 | 49 | ||||||||||||||||||||
| Acquisition-related charges | 49 | 40 | 7 | ||||||||||||||||||||
| Non-operating retirement-related credits | (34 | ) | (34 | ) | (28 | ) | |||||||||||||||||
| Defined benefit plan settlement charges | 1 | 1 | 179 | ||||||||||||||||||||
| Non-GAAP earnings | $ | 1,019 | $ | 1,008 | $ | 870 | |||||||||||||||||
| GAAP operating margin from continuing operations | 6 | % | 7 | % | 5 | % | |||||||||||||||||
| Non-GAAP adjustments | 1 | % | 1 | % | 2 | % | |||||||||||||||||
| Non-GAAP operating margin | 7 | % | 8 | % | 7 | % | |||||||||||||||||
