HP CEO Meg Whitman Seen ‘Pleading Patience’ As Revenues Fall 44 Percent Down

Posted on Feb 23 2012 - 5:42am by Editorial Staff

As the HP reported its “mixed” first quarter earnings with the revenues for the period were $30.04 billion, down from $32.3 billion last quarter, its net income was $1.47 billion, and its earnings per share was $0.73, the company CEO Meg Whitman pleaded for patience describing “operational challenges” and other “internal problems” are the reasons that contributed to a fall in earnings, WSJ reports.

Whitman described her turnaround plan, “I feel very good that we know the challenges,” she said. “We know what we’re going to do about them, and we’re headed in the right direction,” as a “multiyear journey.” She also pointed out that “HP also had to battle cautious spending by some business customers in the U.S. Worldwide, revenue in the company’s commercial businesses fell 4 percent.”

Whitman found blaming weak consumer demand and supply shortages due to flooding in Thailand for the lost revenue opportunities in the last quarter, adding to this, she described “HP needed to improve internal procedures and reduce costs to free up money for investments in growing areas,” and pointed that company “now makes much of its revenue from computers and printers, sees opportunities in security services, information management and Internet-based systems known as cloud computing.”

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