HP Q3 FY2026 Revenue Rises 12.5% to $15.7 Billion; Adjusted EPS $0.83

HP reported results for the third quarter of fiscal 2026, with revenue of $15.7 billion, up 12.5% year over year, and adjusted earnings per share of $0.83, up 11%. Personal systems net revenue was $11.8 billion, up 18% (17% in constant currency), with an operating margin of 4.6%. Within personal systems, consumer net revenue grew 10% and commercial net revenue grew 22%. Total units declined 16% year over year, with consumer personal systems units down 19% and commercial personal systems units down 14%.

Printing net revenue was $3.9 billion, down 2% (down 4% in constant currency), with an operating margin of 18.1%. Consumer printing net revenue declined 2%, commercial printing net revenue declined 1%, and supplies net revenue declined 3% (down 4% in constant currency). Total hardware units declined 7%, with consumer printing units down 9% and commercial printing units down 2%.

In terms of cash flow, net cash provided by operating activities in the third quarter was $1.7 billion, and free cash flow was $1.6 billion. Accounts receivable at quarter-end were $7.2 billion, up three days sequentially to 41 days. Inventory was $10.3 billion, flat sequentially at 73 days. Accounts payable were $21.4 billion, flat sequentially at 151 days. The company paid a dividend of $0.30 per share, for cash outlays of $274 million, and used $300 million in cash to repurchase approximately 12.2 million common shares in the open market. Total cash at quarter-end was $4.2 billion.

HP Interim Chief Executive Officer Bruce Broussard said that in the third quarter, total premium product sales and market share both grew, and the company continued to attract new customers through innovation in WXP, printing, workstations, and AI PCs. The company is advancing its strategy to address environmental constraints, significantly improving memory supply, increasing delivery rates, and building an edge platform to support artificial intelligence development.