NYSE$HPE

Hewlett Packard Enterprise Co · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

HPE delivered record quarterly results across key performance metrics.

Hewlett Packard Enterprise (HPE) reported strong Q4 2022 results, with revenue up 7% year-over-year to $7.9 billion and non-GAAP EPS up 10% to $0.57. The company's annualized revenue run-rate (ARR) was $936 million, up 17% year-over-year.

  • Revenue was $7.9 billion, up 7% year-over-year (up 12% adjusted for currency).
  • Annualized revenue run-rate (ARR) was $936 million, up 17% year-over-year (up 25% adjusted for currency).
  • GAAP EPS was ($0.23), down 112% year-over-year, including a non-cash goodwill impairment charge of $905 million.
  • Non-GAAP EPS was $0.57, up 10% year-over-year.

Headline financials

Total Revenue

$7.87B

Previous: $7.35B+7.0%
EPS (adj)

$0.57

Previous: $0.52+9.6%
Gross Margin

32.9%

Previous: 32.9%+0.0%
Non-GAAP Gross Margin

33.1%

Previous: 33.0%+0.3%
Free Cash Flow

$2B

Previous: $94M+2027.7%
Net Income

-$304M

Previous: $2.55B-111.9%
Operating Income

-$339M

Previous: $350M-196.9%
Gross Profit

$2.59B

Previous: $2.42B+7.2%
Cash & Equivalents

$4.16B

Previous: $4B+4.2%
Total Assets

$57.1B

Previous: $57.7B-1.0%
Stock-Based Comp

$85M

Previous: $78M+9.0%

Revenue & EPS history

Hewlett Packard Enterprise · Revenue · Quarterly

$7.87B

Q4 2022+7%vs Q4 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Hewlett Packard Enterprise · $126M total across 1 segment · Q4 2020

  • Corporate Investments
    $126M

Forward guidance

HPE estimates Q1 fiscal 2023 revenue to be in the range of $7.2 billion to $7.6 billion. Reiterates fiscal 2023 revenue growth of 2%-4% adjusted for currency. Reiterates free cash flow guidance of $1.9 to $2.1 billion. Estimates Q1 fiscal 2023 GAAP diluted net EPS to be in the range of $0.32 to $0.40 and non-GAAP diluted net EPS to be in the range of $0.50 to $0.58. Reiterates fiscal 2023 GAAP diluted net EPS to be in the range of $1.38 to $1.46 and non-GAAP diluted net EPS to be in the range of $1.96 to $2.04

Tailwinds

  • Estimates Q1 fiscal 2023 revenue to be in the range of $7.2 billion to $7.6 billion.
  • Reiterates fiscal 2023 revenue growth of 2%-4% adjusted for currency
  • Reiterates free cash flow guidance of $1.9 to $2.1 billion.
  • Estimates Q1 fiscal 2023 GAAP diluted net EPS to be in the range of $0.32 to $0.40 and non-GAAP diluted net EPS to be in the range of $0.50 to $0.58.
  • Reiterates fiscal 2023 GAAP diluted net EPS to be in the range of $1.38 to $1.46 and non-GAAP diluted net EPS to be in the range of $1.96 to $2.04

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

-0.2%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+1.0%

Avg return

30 days after

49%

23 / 47 earnings

Positive

+11.6%

Q1 2018

Best reaction

-12.0%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.2%-1.1%+13.8%
Q4 2025+10.2%+10.3%+5.5%
Q3 2025+1.4%+4.6%+7.1%
Q2 2025+0.7%+3.5%+20.6%
Q1 2025-12.0%-16.0%-28.8%
Q4 2024+10.1%+0.7%+0.3%
Q3 2024-7.5%-7.7%+8.2%
Q2 2024+8.5%+11.6%+15.2%
Q1 2024+4.7%+21.8%+19.3%
Q4 2023+5.9%+8.3%+10.1%
Q3 2023+3.4%+7.1%+5.0%
Q2 2023-6.0%-0.7%+8.5%
Q1 2023-1.7%-3.4%+2.5%
Q4 2022+7.9%+7.3%+2.4%
Q3 2022-0.9%-3.5%-11.7%
Q2 2022-4.1%-2.4%-16.9%
Q1 2022+6.7%+3.1%+5.0%
Q4 2021-2.7%+3.8%+8.8%
Q3 2021+0.9%-2.1%-4.7%
Q2 2021+0.7%+1.6%-7.9%
Q1 2021-0.3%-1.4%+7.5%
Q4 2020+4.3%+11.8%+7.3%
Q3 2020+0.5%+2.2%-5.1%
Q2 2020-10.8%-8.4%-4.5%
Q1 2020-4.9%-7.0%-27.2%
Q4 2019-6.7%-7.5%-7.0%
Q3 2019+3.3%+6.8%+13.1%
Q2 2019-2.2%-3.7%+1.6%
Q1 2019+1.7%+4.7%-4.7%
Q4 2018+3.4%-5.1%-15.0%
Q3 2018+1.6%+0.5%-1.0%
Q2 2018-11.0%-11.4%-11.9%
Q1 2018+11.6%+15.8%+8.5%
Q4 2017-7.0%-5.5%+4.5%
Q3 2017-3.8%-8.3%+3.6%
Q2 2017-7.0%-9.0%-12.0%
Q1 2017-7.4%-7.9%-8.1%
Q4 2016+1.9%+0.4%+2.8%
Q3 2015-5.3%-4.2%+1.1%
Q3 2016-2.2%-2.6%+2.2%
Q2 2016+7.9%+13.6%+22.3%
Q1 2015+5.4%
Q1 2016+11.0%
Q4 2015-3.6%
Q4 2014-3.6%
Q4 2013-3.6%
Q2 2015-3.6%
Q3 2014
Q2 2014
Q1 2014

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