“Our strong Q3 results and solid beat for the quarter, in the face of unprecedented uncertainty, reflects the agility of our teams and the strength of our portfolio,” mentioned Enrique Lores, HP’s President and CEO. “We’re leveraging our leadership across consumer and commercial markets to capitalize on opportunities – from the essential role of the PC in an era of remote work and school to the rise of subscription-based business models to enable greater flexibility. Our diverse portfolio and disciplined execution are powering our performance and we’re well positioned to drive continued value creation.”
Asset administration
HP’s internet money supplied by working actions within the third quarter of fiscal 2020 was $1.7 billion. Accounts receivable ended the quarter at $5.Three billion, down Four days quarter over quarter to 33 days. Inventory ended the quarter at $5.9 billion, down 12 days quarter over quarter to 45 days. Accounts payable ended the quarter at $14.Three billion, down 20 days quarter over quarter to 108 days.
HP generated $1.6 billion of free money movement within the third quarter. Free money movement consists of internet money supplied by working actions of $1.7 billion adjusted for internet funding in leases of $27 million and internet funding in property, plant & tools of $117 million.
HP’s dividend cost of $0.1762 per share within the third quarter resulted in money utilization of $251 million. HP additionally utilized $953 million of money throughout the quarter to repurchase roughly 56 million shares of frequent inventory within the open market. HP exited the quarter with $4.9 billion in gross money, which incorporates money and money equivalents and short-term investments of $0.2 billion included in different present belongings.
Fiscal 2020 Third quarter section outcomes
Personal Systems internet income was up 7% 12 months over 12 months (up 9% in fixed foreign money) with a 5.5% working margin. Commercial internet income decreased 6% and Consumer internet income elevated 42%. Total items have been up 11% with Notebooks items up 32% and Desktops items down 30%.
Printing internet income was down 20% 12 months over 12 months (down 19% in fixed foreign money) with a 12.2% working margin. Total {hardware} items have been down 2% with Commercial {hardware} items down 32% and Consumer {hardware} items up 3%. Supplies internet income was down 19% (down 18% in fixed foreign money).
Outlook
For the fiscal 2020 fourth quarter, HP estimates GAAP diluted internet EPS to be within the vary of $0.32 to $0.36 and non-GAAP diluted internet EPS to be within the vary of $0.50 to $0.54. Fiscal 2020 Fourth quarter non-GAAP diluted internet EPS estimates exclude $0.18 per diluted share, primarily associated to restructuring and different expenses, acquisition-related expenses, outlined profit plan settlement expenses, amortization of intangible belongings, non-operating retirement-related (credit)/expenses, tax changes and the associated tax impression on these things.
For fiscal 2020, HP estimates GAAP diluted internet EPS to be within the vary of $1.83 to $1.87 and non-GAAP diluted internet EPS to be within the vary of $2.16 to $2.20. Fiscal 2020 non-GAAP diluted internet EPS estimates exclude $0.33 per diluted share, primarily associated to restructuring and different expenses, acquisition-related expenses, outlined…
