The personal computer and printer maker tops Wall Street's consensus view as Meg Whitman runs her first conference call as CEO.
NEW YORK (TheStreet) -- Hewlett-Packard(:HPQ) topped Wall Street's earnings expectations Monday, thanks to growth in its services and software businesses.
The beat gave HP shares a bounce in after-hours action and provided a positive backdrop for the Dow component's conference call, which is the first for new CEO Meg Whitman since she took the top job at the company.
Adjusted earnings per share fell 12% year-over-year to $1.17 per share for HP's fiscal fourth quarter ended in October, while adjusted net revenue dropped 3% from last year to $32.3 billion. Meg Whitman
The average estimate of analysts polled by Thomson Reuters was for earnings of $1.13 per share and sales of $32 billion.
Shares of HP popped 1.3% to $27.21 on after-hours volume of 1.95 million, according to Nasdaq.com. Earlier in the late session, the stock ran as high as $28.34.
Revenue from HP's services business grew 2% year-over-year during the quarter to $9.3 billion, while its software line jumped 28%.
Revenue in its enterprise servers division fell 4% to $5.7 billion.
"HP has a great opportunity to build on our strong hardware, software, and services franchises with leading market positions, customer relationships, and intellectual property," said Whitman in the company's press release. "We need to get back to the business fundamentals in fiscal 2012, including making prudent investments in the business and driving more consistent execution."
CFO Catherine Lesjak said the company was "remaining cautious" about fiscal 2012, and HP forecast non-GAAP earnings of 83 cents a share for its fiscal first quarter ending in January. Wall Street's current consensus view is for a profit of $1.11 a share. For the full year, the Dow component sees non-GAAP earnings of at least $4 per share vs. the average analysts' estimate of $4.54 a share.
--Written by Olivia Oran in New York.
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