HPs Q4 profits up, despite revenue decline

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Hewlett-Packard (HP) reported a 14 percent profit gain in the 2009 fourth quarter, despite a decline in revenue over the same period.

HP posted a $2.4 billion profit for the quarter ending Oct. 31, compared to the $2.1 billion reported for the same quarter a year ago. At the same time the company reported net revenue of $30.8 billion, an 8 percent decline from the $33.6 posted in the fourth quarter a year ago.

Fourth quarter revenue declined 3 percent in the Americas to $13.6 billion, 17 percent in Europe, the Middle East and Africa to $11.7 billion and 1 percent in Asia Pacific to $5.4 billion, according to the company. Revenue from outside of the U.S. in the fourth quarter accounted for 64 percent of its total quarterly revenue.

The Palo Alto, Calif.-based HP said its Enterprise and Servers revenue declined by 17 percent in the fourth quarter to $4.2 billion. Storage revenue declined 20 percent with the midrange Enterprise Virtual Array product line down 23 percent. The company's Industry Standard Server revenue declined 10 percent and Business Critical Systems revenue declined 33 percent, while Enterprise Storage and Servers blade revenue was down 8 percent.