quarterly overview November 17, 2005

Size: px

Start display at page:

Download "quarterly overview November 17, 2005"

Basil Blankenship
5 years ago
Views:

1 quarterly overview The information contained in the pages below speaks as of the date issued. Investors should not assume that statements made in these documents remain operative at a later time. View, print or save an Adobe Acrobat PDF file of this document. To view the PDF file, you need to have Adobe Acrobat Reader installed on your computer. Acrobat Reader is a free plug-in. You can download the latest version or download a version with accessibility features. Click on a heading below to view the corresponding page: Financial Information Included in the Earnings Release Consolidated Condensed Statements of Earnings Non-GAAP Consolidated Condensed Statements of Earnings Consolidated Condensed Balance Sheets Consolidated Condensed Statements of Cash Flows Segment Information Segment / Business Unit Information View, print or save an Adobe Acrobat PDF file of this document. To view the PDF file, you need to have Adobe Acrobat Reader installed on your computer. Acrobat Reader is a free plug-in. You can download the latest version or download a version with accessibility features. Click on a heading below to view the corresponding page: Other Financial Information Calculation of Net Earnings Per Share Calculation of Non-GAAP Net Earnings Per Share Selected Financial Information and Key Performance Metrics Geographic Revenue Growth Comparison

2 Page 2 Calculation of Net Earnings Per Share HP's basic earnings per share (EPS) were calculated based on net earnings and the weighted-average number of shares outstanding during the reporting period. The diluted earnings per share include additional dilution from potential issuance of common stock, such as stock issuable pursuant to exercise of stock options and conversion of debt, except when such issuances would be antidilutive. Three months ended July 31, 2004 Net earnings $ 416 $ 73 $ 1,091 subordinated convertible notes, net of taxes Net earnings, adjusted $ 416 $ 73 $ 1,093 basic EPS 2,850 2,873 2,968 Dilution from employee stock plans Zero-coupon subordinated convertible notes Dilutive potential common shares diluted EPS 2,908 2,907 2,991 Net earnings per share: Basic $ 0.15 $ 0.03 $ 0.37 Diluted $ 0.14 $ 0.03 $ 0.37

3 Page 3 Twelve months ended 2004 Net earnings $ 2,398 $ 3,497 subordinated convertible notes, net of taxes - 8 Net earnings, adjusted $ 2,398 $ 3,505 basic EPS 2,879 3,024 Dilution from employee stock plans Zero-coupon subordinated convertible notes - 8 Dilutive potential common shares diluted EPS 2,909 3,055 Net earnings per share: Basic $ 0.83 $ 1.16 Diluted $ 0.82 $ 1.15

4 Page 4 Calculation of Non-GAAP Net Earnings Per Share HP's basic non-gaap earnings per share (EPS) were calculated based on non-gaap net earnings and the weighted-average number of shares outstanding during the reporting period. HP s diluted non-gaap EPS include additional dilution from potential issuance of common stock, such as stock issuable pursuant to exercise of stock options and conversion of debt, except when such issuances would be antidilutive. Three months ended July 31, 2004 Non-GAAP net earnings $ 1,496 $ 1,061 $ 1,227 convertible notes, net of taxes Non-GAAP net earnings, adjusted $ 1,498 $ 1,063 $ 1,229 basic EPS 2,850 2,873 2,968 Dilution from employee stock plans Zero-coupon subordinated convertible notes Dilutive potential common shares diluted EPS 2,915 2,915 2,991 Non-GAAP net earnings per share: Basic $ 0.52 $ 0.37 $ 0.41 Diluted $ 0.51 $ 0.36 $ 0.41 An itemized reconciliation between net earnings on a GAAP basis and non-gaap basis is as follows: GAAP net earnings $ 416 $ 73 $ 1,091 Amortization of purchased intangible assets Pension curtailment gain (199) - - Restructuring charges 1, Acquisition-related charges In-process research and development charges Total non-gaap adjustments to earnings from operations 1, (Gains) losses on investments (14) 6 1 Income tax effect of reconciling items (410) (86) (67) Non-recurring American Jobs Creation Act income tax expense Non-GAAP net earnings $ 1,496 $ 1,061 $ 1,227

5 Page 5 Twelve months ended 2004 Non-GAAP net earnings $ 4,708 $ 4,067 convertible notes, net of taxes 7 8 Non-GAAP net earnings, adjusted $ 4,715 $ 4,075 basic EPS 2,879 3,024 Dilution from employee stock plans Zero-coupon subordinated convertible notes 8 8 Dilutive potential common shares diluted EPS 2,917 3,055 Non-GAAP net earnings per share: Basic $ 1.64 $ 1.34 Diluted $ 1.62 $ 1.33 An itemized reconciliation between net earnings on a GAAP basis and non-gaap basis is as follows: GAAP net earnings $ 2,398 $ 3,497 Amortization of purchased intangible assets Pension curtailment gain (199) - Restructuring charges 1, Acquisition-related charges - 54 In-process research and development charges 2 37 Total non-gaap adjustments to earnings from operations 2, Losses (gains) on investments 13 (4) Income tax effect of reconciling items (600) (234) Non-recurring American Jobs Creation Act income tax expense Non-GAAP net earnings $ 4,708 $ 4,067

6 Page 6 Selected financial information and key performance metrics (In millions except days) 2004 (a) Investment in long-term debt securities $18 $22 Key performance metrics Accounts receivable days sales outstanding 39 days 43 days Inventory days of supply 35 days 39 days (a) Certain reclassifications have been made to prior year amounts in order to conform to the current year presentation. Geographic revenue growth comparison % Growth Q4'05 vs Q3'05 % Growth Q4'05 vs Q4'04 U.S. 9.4% 3.7% Europe 11.1% 7.6% Asia Pacific 7.7% 11.6% Rest of Americas 17.6% 12.4% HP Total 10.4% 7.1%

Financial Information Included in the Earnings Release. Consolidated Condensed Statement of Earnings

Financial Information Included in the Earnings Release. Consolidated Condensed Statement of Earnings quarterly overview November 19, 2003 The information contained in the pages below speaks as of the date issued. Investors should not assume that statements made in these documents remain operative at a