HP, the Palo Alto-based personal computer and device maker, has announced its profit guidance for fiscal year 2024, which falls below analysts' expectations.
The company projects earnings of $2.75 to $3.15 per share for fiscal year 2024, concluding in October of that year. The midpoint of this range, $2.95 per share, indicates a decrease compared to fiscal year 2022, during which HP reported a profit of $3.05 per share.
According to analysts polled by FactSet, the expected profit is $3.21 per share.
HP forecasts adjusted earnings of $3.25 to $3.65 per share for fiscal year 2024. This differs from the expected $3.48 per share anticipated by analysts surveyed by FactSet.
To achieve these figures, the company plans to account for 50 cents per share related to restructuring and other charges.
Free Cash Flow and Investor Return
Anticipating the current business environment, HP estimates a free cash flow range of $3.1 billion to $3.6 billion for fiscal year 2024. The company intends to allocate this free cash flow towards providing returns to its investors.