Executive Summary
Hewlett Packard Enterprise (0J51.L) reported Q4 2024 revenue of USD 8.482 billion, marking a 15.4% year-over-year increase and a 10.5% sequential rise. The company delivered net income of USD 1.366 billion and diluted earnings per share (EPS) of USD 1.00, supported by a strong operating cadence and favorable mix, despite ongoing margin pressures typical of a large hardware platform. Free cash flow (FCF) reached USD 1.422 billion, underpinning a robust balance sheet with USD 14.846 billion in cash and cash equivalents and a net debt position of USD 4.97 billion. These cash flows funded modest capital returns (USD 50 million of share repurchases and USD 169 million of dividends) and left ample liquidity for growth initiatives and working-capital management.
Key Performance Indicators
QoQ: 166.80% | YoY:112.77%
QoQ: 161.54% | YoY:104.00%
Key Insights
Revenue: USD 8.482 billion; YoY 15.39%, QoQ 10.54%. Gross Profit: USD 2.561 billion; YoY 0.08%, QoQ 9.35%. Operating Income: USD 0.823 billion; YoY 62.33%, QoQ 45.41%. Net Income: USD 1.366 billion; YoY 112.77%, QoQ 166.80%. EPS (diluted): USD 1.00; YoY 104.00%, QoQ 161.54%. Gross Margin: 30.19%; Operating Margin: 9.70%; Net Margin: 16.10%. Cash Flow: Operating Cash Flow USD 2.03 billion; Free Cash Flow USD 1.422 billion. Balance Sheet: Cash and cash equivalents USD 14.846 billion; Total assets ...
Financial Highlights
Revenue: USD 8.482 billion; YoY 15.39%, QoQ 10.54%. Gross Profit: USD 2.561 billion; YoY 0.08%, QoQ 9.35%. Operating Income: USD 0.823 billion; YoY 62.33%, QoQ 45.41%. Net Income: USD 1.366 billion; YoY 112.77%, QoQ 166.80%. EPS (diluted): USD 1.00; YoY 104.00%, QoQ 161.54%. Gross Margin: 30.19%; Operating Margin: 9.70%; Net Margin: 16.10%. Cash Flow: Operating Cash Flow USD 2.03 billion; Free Cash Flow USD 1.422 billion. Balance Sheet: Cash and cash equivalents USD 14.846 billion; Total assets USD 71.263 billion; Net debt USD 4.970 billion; Debt to capitalization 0.444. Return metrics: ROA 1.92%, ROE 5.50%, Asset Turnover 0.119. Valuation signals: P/E ~4.74, P/B ~1.04, P/FCF ~18.22, EV/Revenue ~3.9, EV/EBITDA around 15.0. Dividend yield ~0.65%, payout ratio ~12.4%.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
8.48B |
15.39% |
10.54% |
| Gross Profit |
2.56B |
0.08% |
9.35% |
| Operating Income |
823.00M |
62.33% |
45.41% |
| Net Income |
1.37B |
112.77% |
166.80% |
| EPS |
1.02 |
104.00% |
161.54% |
Key Financial Ratios
operatingProfitMargin
9.7%
operatingCashFlowPerShare
$1.55
freeCashFlowPerShare
$1.08
dividendPayoutRatio
12.4%
Management Commentary
No earnings call transcript data provided in the input. Therefore, no management quotes or thematic quotes can be extracted or summarized from the QQ4 2024 call.
Not available in provided transcript data.
— N/A
Not available in provided transcript data.
— N/A
Forward Guidance
No explicit forward guidance was included in the provided data set. Based on QQ4 2024 results and prevailing industry trends, near-term revenue growth is likely to reflect continued data-center refresh cycles, Aruba networking expansion in enterprise campuses, and ongoing demand for hybrid IT and edge solutions. Profitability may remain constrained by hardware-volume pricing pressures and mix shift toward services and higher-value offerings. Key catalysts include the acceleration of consumption-based models, improving supply chain dynamics, and continued cash-flow discipline. A cautious outlook would emphasize monitoring enterprise IT spend, competing hardware pricing, and the pace of ASP (average selling price) stabilization within core segments.