HP operates on a fiscal year that ends on 31 October, and its Financial Quarters end January, April, July and October.
HP’s recent financial performance over the last few years has been mixed: revenue has grown modestly, particularly in its PC business, but profitability has come under pressure from tariffs, higher component costs and macroeconomic uncertainty.
HP inc. has released its fiscal 2026 second quarter financial performance. When reviewing the same quarter – 2026 vs 2025, top line results, on generally accepted accounting practices, indicate:
- Revenue has increased by 9%, to $14.4bn
- Operating margin has decreased by 0.7%
Bruce Broussard, Interim CEO, HP Inc, commented:
“During the second quarter, we continued executing our future of work strategy through intelligent devices, edge AI, and connected experiences while navigating rising commodity costs. We introduced innovations across AI PCs, Z workstations, AI-powered print, and HP IQ that simplify work and improve productivity. These reflect our progress in building intelligent devices and services that capture the value of AI at the edge and support long-term growth.”
Fiscal 2026 second quarter segment results (as per HP, assumed non-GAAP)
- Personal Systems net revenue contributed $10.2 billion, up 13% year over year (up 10% in constant currency) with a 5.2% operating margin.
- Consumer Personal Systems net revenue was up 10% and Commercial Personal Systems net revenue was up 14%. Total units were down 7% with Consumer Personal Systems units down 8% and Commercial Personal Systems units down 7%.
- Printing net revenue was $4.2 billion, flat year over year (down 2% in constant currency) with an 18.3% operating margin. Consumer Printing net revenue was down 10% and Commercial Printing net revenue was flat. Supplies net revenue was up 1% (flat in constant currency).
- Total (Printing) hardware units were down 7%, with Consumer Printing units down 8% and Commercial Printing units down 4%.
The major challenges HP continues to face include:
- rising memory and DRAM costs driven by AI infrastructure demand
- tariff-related expenses
- pressure on margins
- slower enterprise spending, and
- weakness in parts of the print market.
HP is still generating substantial revenue and growing its commercial PC business, but profits are being squeezed by higher costs and market uncertainty. The company remains financially strong, but investors are watching closely to see whether AI PCs and workplace technology can offset ongoing declines in traditional printing.
Related Post: HP Imagine 2026: Showcasing the Future of Work.
