SAN FRANCISCO (AP)
Hewlett-Packard Co.'s net income rose 5 percent in the latest quarter as it benefited from stronger corporate spending, even as consumer and government demand throughout the industry have wobbled.
The numbers, reported Monday after the market closed, offer more evidence that the technology industry's recovery is lopsided.
Big companies are buoying growth. They have thawed budgets that were frozen during the depth of the recession. Meanwhile, unemployment worries have sapped consumers' appetite for computers, and state governments in the U.S. have slashed spending to plug budget holes. Other technology major leaguers, such as Cisco Systems Inc. and Intel Corp., have issued warnings.
HP said its net income was $2.54 billion, or $1.10 per share, in the three months ended Oct. 31. That compares with $2.41 billion, or 99 cents per share, last year.
Excluding items, the company earned $1.33 per share, topping the $1.27 per share that analysts polled by Thomson Reuters were expecting, excluding items.
Revenue was $33.28 billion, an 8 percent increase over last year. Analysts expected $32.75 billion.
HP's report also marked the first public appearance by the company's new CEO, Leo Apotheker, since he started the job three weeks ago.
Investors are anxiously awaiting word from Apotheker about his strategy for HP.
He takes over the company as it's in mid-stride in a radical makeover. Mark Hurd, HP's former CEO, was spending billions of dollars in acquisitions to make the company less of a one-trick pony that was dependent on printer ink for most of its profits, before he was ousted in the wake of a sexual harassment investigation.
