US computer giant Hewlett-Packard reported a 17-per cent fall in quarterly net profit and said it plans to cut two per cent of its workforce, or nearly 6,400 workers, over the next year.
HP said net profit fell to $1.7 billion, or 86 cents per share, in the second quarter of its fiscal year from $2.1 billion, or 87 cents per share, a year ago, in line with the expectations of Wall Street analysts.
The Palo Alto, California-based company, the world's largest manufacturer of personal computers, said revenue was down three per cent in the quarter which ended on April 30 to $27.4 billion.
Chief financial officer Cathy Lesjak announced the planned layoffs in a conference call with analysts after the release of the results.
“We will be taking some targeted action to structurally change and improve the effectiveness of our product businesses,” she said.
“These actions will result in the elimination of approximately two per cent of the HP workforce as we further streamline and simplify our organization and supply chain. These actions will be implemented over the next 12 months.”
The only bright spot for HP in the quarter was in its services business, which notched up an operating profit of $1.17 billion in the quarter due to its purchase last year of EDS. “Our services business continued to deliver strong profitability with an increased deal pipeline and the EDS integration tracking ahead of schedule,” said HP chairman and chief executive Mark Hurd.
HP said revenue from its enterprise storage and servers division fell 28 per cent to $3.5 billion while software revenue declined 15 per cent to $880 million. Computer shipments were flat in a “challenging environment” and the division saw revenue fall 19 per cent to $8.2 billion. Revenue from laptop computers was down 13 per cent while desktop computer revenue fell 24 per cent.
Operating profit for the division fell to $374 million from $544 million a year ago. The imaging and printing group saw revenue decline by 23 per cent to $5.9 billion and operating profit fall to $1.1 billion from $1.2 billion a year earlier.
HP said revenue grew nine per cent in the Americas to $12.1 billion and declined by 11 per cent in Europe, the Middle East and Africa to $10.6 billion. Revenue fell 10 per cent in Asia Pacific to $4.7 billion.
HP said it expects third quarter revenue to be flat and full fiscal year revenue to decline by four per cent to five per cent with full-year earnings per share of between $3.76 to $3.88.
Agencies
Showing posts with label Palo Alto. Show all posts
Showing posts with label Palo Alto. Show all posts
Friday, May 22, 2009
Sunday, April 26, 2009
SAP Unviels Co-Innovation Lab in Bangalore
SAP AG formally launched its Co-Innovation Lab in Bangalore, the third such lab in the world by the company. The lab that started its operation in October last year, joins the league of similar labs in Palo Alto and Tokyo. "The main goal of this lab is to create a platform for collaboration between SAP and its customers and partners on solutions to different challenges in the industry", said Satyajit Singh Mecker, Senior Vice President, Global Ecosystem and Partner Group.
The SAP Co-Innovation Lab hosts a simulated heterogeneous datacenter, integrating hardware and software from SAP and other participating sponsors. "This lab is not like a R&D lab, but it is a real lab, where partners and customers can solve their problems by collaboration", said Satyajit.
Wipro Technologies, a SAP partner, was one of the first to benefit from this SAP initiative. An Insurance Claims Analytics solution was developed by Wipro by working on a platform that was developed in the SAP Co-Innovation Lab. Some of the other partners associated with the lab include Cisco, HP and Intel.
SAP India that now has over 3,800 customers with 2,900 SMEs in the list, wants to tap the potential in the Indian market by this collaborative effort. "India, especially Bangalore has been a region that has seen explosive growth and the global meltdown has not diminished its stature in the global market", said Dr. Axel Henning Saleck, Vice President and Head of the Global SAP Co-Innovation Labs.
"In 2006, SAP had announced a total investment of one billion dollar in India over 5 years and establishment of this lab is part of the investment", said Satyajit. According to Satyajit, the company sees tremendous potential in the Indian market in segments like information technology, engineering, construction, chemicals and automotive. "The current challenge that we see in India is to maintain a balance between customers and partners and keep the focus right", added Satyajit.
Agencies
The SAP Co-Innovation Lab hosts a simulated heterogeneous datacenter, integrating hardware and software from SAP and other participating sponsors. "This lab is not like a R&D lab, but it is a real lab, where partners and customers can solve their problems by collaboration", said Satyajit.
Wipro Technologies, a SAP partner, was one of the first to benefit from this SAP initiative. An Insurance Claims Analytics solution was developed by Wipro by working on a platform that was developed in the SAP Co-Innovation Lab. Some of the other partners associated with the lab include Cisco, HP and Intel.
SAP India that now has over 3,800 customers with 2,900 SMEs in the list, wants to tap the potential in the Indian market by this collaborative effort. "India, especially Bangalore has been a region that has seen explosive growth and the global meltdown has not diminished its stature in the global market", said Dr. Axel Henning Saleck, Vice President and Head of the Global SAP Co-Innovation Labs.
"In 2006, SAP had announced a total investment of one billion dollar in India over 5 years and establishment of this lab is part of the investment", said Satyajit. According to Satyajit, the company sees tremendous potential in the Indian market in segments like information technology, engineering, construction, chemicals and automotive. "The current challenge that we see in India is to maintain a balance between customers and partners and keep the focus right", added Satyajit.
Agencies
Saturday, December 6, 2008
No raise for Hewlett-Packard employees
If you are a Hewlett-Packard employee, you don’t have a raise coming your way. According to an internal memo, the company plans to use the funds meant for raises and bonuses to fund pension plans and other benefits. Interestingly, the memo also indicates that the upper management has nothing to worry.
Employees have been notified by e-mail that they won’t receive a salary increase in fiscal 2009, which began in November. The world’s largest personal-computer maker is freezing salaries as part of Chief Executive Officer Mark Hurd’s efforts to contain costs. The company has already gone ahead and cut jobs, closed offices and merged data centers to lift profit. It is also limiting travel, curtailing hiring and eliminating “favorite science projects” to save on research costs in 2009, Chief Financial Officer Cathie Lesjak said last month on a conference call.
Hewlett-Packard, which has 320,000 employees, declined to confirm the salary freeze. “In this difficult macroeconomic environment, we believe it is prudent and responsible to reduce costs where possible,” said spokeswoman Emma McCulloch. “HP has a longstanding and disciplined approach to managing costs in order to invest in the company’s growth.”
Hewlett-Packard, based in Palo Alto, California, the shares have dropped 34 per cent this year.
Hurd, who became CEO in 2005, received $25.3 million in total compensation in fiscal 2007.
Source: Economic Times
Employees have been notified by e-mail that they won’t receive a salary increase in fiscal 2009, which began in November. The world’s largest personal-computer maker is freezing salaries as part of Chief Executive Officer Mark Hurd’s efforts to contain costs. The company has already gone ahead and cut jobs, closed offices and merged data centers to lift profit. It is also limiting travel, curtailing hiring and eliminating “favorite science projects” to save on research costs in 2009, Chief Financial Officer Cathie Lesjak said last month on a conference call.
Hewlett-Packard, which has 320,000 employees, declined to confirm the salary freeze. “In this difficult macroeconomic environment, we believe it is prudent and responsible to reduce costs where possible,” said spokeswoman Emma McCulloch. “HP has a longstanding and disciplined approach to managing costs in order to invest in the company’s growth.”
Hewlett-Packard, based in Palo Alto, California, the shares have dropped 34 per cent this year.
Hurd, who became CEO in 2005, received $25.3 million in total compensation in fiscal 2007.
Source: Economic Times
No raise for Hewlett-Packard employees
If you are a Hewlett-Packard employee, you don’t have a raise coming your way. According to an internal memo, the company plans to use the funds meant for raises and bonuses to fund pension plans and other benefits. Interestingly, the memo also indicates that the upper management has nothing to worry.
Employees have been notified by e-mail that they won’t receive a salary increase in fiscal 2009, which began in November. The world’s largest personal-computer maker is freezing salaries as part of Chief Executive Officer Mark Hurd’s efforts to contain costs. The company has already gone ahead and cut jobs, closed offices and merged data centers to lift profit. It is also limiting travel, curtailing hiring and eliminating “favorite science projects” to save on research costs in 2009, Chief Financial Officer Cathie Lesjak said last month on a conference call.
Hewlett-Packard, which has 320,000 employees, declined to confirm the salary freeze. “In this difficult macroeconomic environment, we believe it is prudent and responsible to reduce costs where possible,” said spokeswoman Emma McCulloch. “HP has a longstanding and disciplined approach to managing costs in order to invest in the company’s growth.”
Hewlett-Packard, based in Palo Alto, California, the shares have dropped 34 per cent this year.
Hurd, who became CEO in 2005, received $25.3 million in total compensation in fiscal 2007.
Source: Economic Times
Employees have been notified by e-mail that they won’t receive a salary increase in fiscal 2009, which began in November. The world’s largest personal-computer maker is freezing salaries as part of Chief Executive Officer Mark Hurd’s efforts to contain costs. The company has already gone ahead and cut jobs, closed offices and merged data centers to lift profit. It is also limiting travel, curtailing hiring and eliminating “favorite science projects” to save on research costs in 2009, Chief Financial Officer Cathie Lesjak said last month on a conference call.
Hewlett-Packard, which has 320,000 employees, declined to confirm the salary freeze. “In this difficult macroeconomic environment, we believe it is prudent and responsible to reduce costs where possible,” said spokeswoman Emma McCulloch. “HP has a longstanding and disciplined approach to managing costs in order to invest in the company’s growth.”
Hewlett-Packard, based in Palo Alto, California, the shares have dropped 34 per cent this year.
Hurd, who became CEO in 2005, received $25.3 million in total compensation in fiscal 2007.
Source: Economic Times
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