| 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 | |||||||||||||||||||||||
| January 31, 2023 | October 31, 2022 | January 31, 2022 | |||||||||||||||||||||
| Amounts |
Diluted
net earnings per share | Amounts |
Diluted
net earnings per share | Amounts |
Diluted
net earnings per share | ||||||||||||||||||
| GAAP net earnings (loss) | $ | 487 | $ | 0.49 | $ | (2 | ) | $ | — | $ | 1,086 | $ | 0.99 | ||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 141 | 0.14 | 70 | 0.07 | 68 | 0.06 | |||||||||||||||||
| Acquisition and divestiture charges | 84 | 0.08 | 235 | 0.23 | 20 | 0.02 | |||||||||||||||||
| Amortization of intangible assets | 85 | 0.09 | 74 | 0.07 | 52 | 0.05 | |||||||||||||||||
| Debt extinguishment costs | 8 | 0.01 | — | — | — | — | |||||||||||||||||
| Non-operating retirement-related credits | (10 | ) | (0.01 | ) | (34 | ) | (0.03 | ) | (34 | ) | (0.03 | ) | |||||||||||
| Tax adjustments (a) | (46 | ) | (0.05 | ) | 512 | 0.51 | 11 | 0.01 | |||||||||||||||
| Non-GAAP net earnings | $ | 749 | $ | 0.75 | $ | 855 | $ | 0.85 | $ | 1,203 | $ | 1.10 | |||||||||||
| GAAP earnings from operations | $ | 765 | $ | 767 | $ | 1,359 | |||||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 141 | 70 | 68 | ||||||||||||||||||||
| Acquisition and divestiture charges | 84 | 235 | 20 | ||||||||||||||||||||
| Amortization of intangible assets | 85 | 74 | 52 | ||||||||||||||||||||
| Non-GAAP earnings from operations | $ | 1,075 | $ | 1,146 | $ | 1,499 | |||||||||||||||||
| GAAP operating margin | 5.5 | % | 5.2 | % | 8.0 | % | |||||||||||||||||
| Non-GAAP adjustments | 2.3 | % | 2.5 | % | 0.8 | % | |||||||||||||||||
| Non-GAAP operating margin | 7.8 | % | 7.7 | % | 8.8 | % | |||||||||||||||||
