afternoon, good Thank and everyone. you,
disciplined to what commitments have and we As QX, In in deliver on and investing control Enrique while on continue said, costs we remain we managing our the focus strategically outlook. made. we our can delivering rigorously on
impacted large to enterprise Macroeconomic persisted soft our tightening However, by demand were budget demand. ongoing corporate challenges results quarter. began this and affect
adapting environment, in further current execution. cost are our to operational but the We continued opportunity structure improvement drive see quickly to and
of partially Let declined in our a margin primarily quarter, declines points XX% pricing, EMEA across XX%, favorable down the print revenue billion at due mix, declined commodities the Gross up quarter, including the XX%, was improved me by was each give and driven APJ constant competitive nominally XX% Net in currency, to declined regions. constant the $XX.X currency, and XX.X% look In Americas in by you X.X currency. details. offset and year-on-year, closer XX%.
revenue. or was impacts, Non-GAAP in The rigorous lower the expense an due variable OI&E million, by net primarily both Non-GAAP $X.X XX.X%. driven cost expense interest partially decrease interest down expenses was favorable billion up operating higher offset billion, debt driven $X.X XX.X% primarily by expenses were Poly $XXX currency increase by was compensation, and profit of rates. operating in and Non-GAAP operating management acquisition. to outstanding
share per extinguishment of earnings and a costs excludes net credits. net a decreased primarily non-operating $X.XX tax other net earnings diluted retirement-related approximately intangibles, by of Non-GAAP adjustments, restructuring and totaling million, to or count share Non-GAAP acquisition shares. X related billion expense partially amortization share $XXX and to divestiture-related $X.XX, XX% debt per diluted offset diluted other charges, with charges,
As earnings net was a result, diluted $X.XX. per GAAP QX share
Now segment let's turn performance. to
with presentation revenue quarter. out our reporting Personal start have Systems that pointing me changed we this Let for
think better our the aligns capability, remains commercial. which capabilities reporting in The the We past, Poly, we business product business. composition our and by quarter with with in now Also about and note versus by of full outlined have of of and consumer consumer commercial the included reflects are previous revenue Poly consistent we category, first exception what business how that disclosure is results. which commercial QX with now the manage
of constant headwinds constituted Personal was down declines XX% for and FX driven our while about $X.X our down expected. it were units approximately of tough as represented And in prior in by billion, year or QX, commercial quarter. Total In revenue XX% compare. commercial, a the consumer both revenue XX% soft XX% XX% demand mix with units, Systems with currency, and
our solid sequentially. channel levels made reducing inventory on progress We
elevated with across supply improved and availability, remained levels the that, However, quarter. for the industry. pricing us competition With intensified combined in incrementally
with consistent levels still towards favorably commercial higher-value skews remains backlog Our and pre-pandemic units.
Lower down Drilling gain mix. and volumes, Within headwinds. down the XX% Consumer Commercial offset and was FX were was partially by pricing these promotional Commercial, XX%. details. into were favorable increased revenue
execution and market go-to-market During calendar QX, improved we our our share overall grew sequentially.
We in segments, market high-value, profitable more also share and increased commercial, including our notebooks. desktops
markets. of to and commercial the continues especially focus be profitable Our share on driving growth, premium in our consumer segment
of margins delivered profit with of X.X%. Systems $XXX almost operating Personal operating million
declined partner X.X offset year-over-year, costs, lower and This currency was pricing margin and R&D by Poly variable including Our compensation and points prior funding. primarily increased headwinds, contributions partially promotional favorable costs. to due commodity period
or growing as results our focus as Print relatively navigate NPV pricing revenue reflect Commercial, portfolio our in and Print, constant the favorable unfavorable the $X.X flat, total units was In we was environment. execution The lower of mostly actions. pricing was strength supplies X% X% competitive chain and nominally supply positive our by on by in decline revenue and our as revenue actions In well mix currency. billion, partially Hardware by driven offset down driven QX, currency.
enterprise and hardware increased Graphics in and logistics weakness Industrial declined as by China improved slightly, augmented demand. revenue space. Total the constraints sequentially, reflecting services emerging availability component demand units X% better-than-expected
our level. backlog are reducing progress solid largely to pre-pandemic back make to continued our We and
regions, Commercial in X%. down printer up demand revenue in currency with promotional units or progressing incremental EMEA at X% constant currency, return constraints increased Customer and is budget in which or X% office activity enterprise to constant both uneven and driving remained X%. down up the units By tightening. ease. X% remained tepid to and hardware the Consumer with due Commercial Americas revenue slow pace segment, continue the X% demand was supply soft to Consumer as
currency. billion, and printing by was in and The in partially and nominally ink share actions Commercial. X% toner. constant gains offset in $X.X This in pricing gradual was continued was recovery revenue primarily declining driven Supplies favorable further market a and by X% normalization home decline
savings. X.X cost variable profit Print management $XXX and flat was improvements million, commodity lower costs. driven margin was pricing expense year-on-year higher operating actions favorable promotional and The comp, pricing offset increased largely margin transformation currency XX.X%. and due essentially points cost partially Operating by operating and improvements, to were by of
$X.X In Ready are Personal our portfolio structural We end XX% by our Now the let gross QX of saw in me needs. by to better customer Future plan on cost turn our efforts. structural our track targeted progress FYXXXX. to least savings savings we in strong annual to rate run at streamlining targeting Systems, target on and are deliver of billion
operations reduce our increasing are to engineering on in and by We leverage complexity. product standardizing component few platforms
We to these reduce expect to time improve market and our agility and initiatives shifting duplication response needs.
drove significant in actions our corporate where business We to also costs took optimize savings. we
headcount print businesses, structural to and core and supplies, supply costs optimize our continue We reductions. reduce across in our particularly in including chain, office
addition, enabled from our continue to benefits more to customer and In experience. our provide support investments we digital to our capabilities support see enhancing transform customer-centric services a organization
continue customer We assets AI-based engagement using our technology. digitizing response voice support interactive
We connected seamless this deliver experience. our processes a to automate help initiative and will support more expect
exit in eligible voluntary operating to headcount from in of States. employee Lastly, program Ready enhanced be with majority consistent Ready retire growth Future in QX. to to we in our ability the during drive offer our as benefits. participants retirement early by into part cost to HP X,XXX the the I to opportunity Future January, reduce our More reductions announced a plan target investments the confident with X,XXX, provided United to The expected goals, key than enabling have with XXX areas. opted our continue employees
outflow our me move negative flow an and to from capital QX free let with was and in flow expectations. cash Now billion, cash line operations $X.X nominally was of allocation. cash flow
the comp Personal lower with as and timing associated as seasonality payments Systems. restructuring charges well normal by impacted in were results Our of variable volumes
the to free is be program. of receipts impacted This our net was cash flow. to expected cash to and full-year favorably our related our payments Additionally, neutral flow by free timing factoring
in increase strategic conversion in unfavorable up an sequentially, driving primarily and quarter. the due XX seven impacting cash DOI DPO. an days increased This buys business and The to DOI days minus both mix was cycle
inventory While we volumes we decreased more billion have our QX, excellence. our work inventory $X.X our to in sequentially align through business better operational to
of in however, will, which continue would strategic advantage transit, both take result inventory. more economic to of buys, We like more seed opportunities carrying or
of maintain financial rating In We towards and credit leverage range. target in with $XXX profile needed to share our million we and to high our quarter limited disciplined current an $XXX to and our our in million the prudently including finished dividends. QX, our share amount we $XXX repurchases shareholders, manage the approximately the our end in environment, Consistent returned cash QX repurchases dilution. share offset management strategy challenging to leverage million
Looking forward competitive. focused remain end markets to we FYXXXX, will conditions. and QX and our we can that remain remain We demand difficult what on and of navigate the the challenged customer rest expect these as market macro we will control environment
progresses performance continue invest to in our We as improve businesses. costs, continuing operations streamline growth year the rigorously and while to our will manage
the overall mind related In financial in outlook. and keep following QX to particular, our
Given modeling scenarios assumptions. are we the based challenging on macro multiple environment, several
which Consistent are For XXXX. will FYXXXX, reflected wide fiscal we to outlook I we in during a with economic ranges recovery expecting we a shared our view not potential outcomes, see range of continue shortly. November, significant in are discuss the
savings We structural the Ready on regarding our and efficiencies Future in made will our to transformation progress focus QX cost consistent continue driving with business in strategy. we
cost into of these will the scale savings year. back expect We half the
Given we year-over-year about a to U.S. for now recent expect X in percentage weakness the FYXXXX. currency headwind dollar, be
we expense, for as QX approximately for a based run expect will billion FYXXXX the OI&E rate now on be $X.X year. it Regarding
in continue than with stronger of FYXXXX, to expect the billion the to range billion We free of first. FYXXXX half be flow second cash the to $X.X for $X
cash flow As outflows. $XXX restructuring a includes outlook million free reminder, cash our approximately of FYXXXX
the Personal a high overall in percent to teens Turning TAM by PC FYXXXX. now decline expect Systems. to We unit market
single-digit. Specifically, sequentially expect under a Systems near-term pressure will we Personal remain revenue for high by QX, decline and
year QX. of by normalize inventory course the early levels channel are the back as over improve of to to elevated fiscal revenue the expect expected We half
units expect partially value, and shifts we've services expect improved continue will today. high discussed profitable toward We this headwinds more mix and offset the drive to to help
We QX be logistics continues expect pricing commodities given long-term in in Personal costs and of the elevated HP to our half improved channel lower as to levels, quarter. Systems the inventory margins X% be But to competitive. range industry X% very and in
Future to we and half be the improvement margins the savings. in driven expect gradual solidly revenue For FYXXXX, transformation target our in back increasing in of year PC range by the Ready
print mix improves uncertainty expect and Print, will will as saw in to will headwinds and With In trends. QX, partially corporate similar component improve, office what for offset to office expect we cost into continued softness gradually but persist we normalization tightening to particularly chain, remain these providing least demand management Disciplined commercial. we to macro budgeting supply and favorable for persist hardware, shortages pricing. support consumer for and continue regard should QX help at further
Regarding supplies, closer be high to currency to our decline versus previous QX expectation constant double to in revenue digits. expect single-digit we down by a
its not of supplies long-term Given believe variability, we growth indicative growth. inter-quarter is do our
FYXXXX in in decline mid-single to revenue constant to low expect by currency. to continue We digits
XX% hardware We the to QX, now of constraints. above high driven for margins our be by expect print end range continued XX% to
be system our our progress FYXXXX margins high pricing, and profitability driven on will rebalancing the above of management, continued also disciplined expect range, Ready by including Future We savings. end rigorous transformation cost
into considerations for these the following XXXX. we QX year providing and are fiscal account, Taking outlook
of range $X.XX be second per quarter quarter diluted to share the per $X.XX. We GAAP and expect to diluted in $X.XX in earnings net second non-GAAP the be range to net earnings of $X.XX to share
GAAP earnings per earnings of range share the in $X.XX per $X.XX share and be diluted range diluted to non-GAAP net to be to in FYXXXX FYXXXX the net expect $X.XX. of to We $X.XX
priorities your here value the demanding open actions to both we and making are so our continue right to against our I'll for short taking the the confident a environment. create for shareholders. stop make am could line meaningful long-term questions. I we progress decisions long-term right and strategic in We
