HP Reports 3 Percent Revenue Growth

(NYSE:HPQ) reported third-quarter 2025 results on August 27, 2025, posting 3% year-over-year revenue growth, a fifth consecutive positive quarter, and strong performance in personal systems and AI PC (AIPC) adoption. The company maintained profit margins within target ranges, accelerated supply chain diversification, and reaffirmed its full-year free cash flow and earnings guidance. The following highlights provide a detailed look at HP's operating momentum, risk management, and investment thesis updates, supported by direct management commentary.

HP’s personal systems segment, which includes PCs and workstations, delivered a 6% year-over-year revenue gain and reached a 5.4% operating margin, returning to the guidance target range. Sequential revenue was up 10% and units climbed 13%, driven by robust commercial activity, higher average selling prices (ASPs), and strong back-to-school demand in North America and China.

This result demonstrates HP's ability to regain operational leverage through premium product mix optimization and disciplined cost management, supporting the company's long-term earnings growth in a cyclical industry.

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Source Fool.com