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Shares of Hewlett Packard Enterprise Co. dipped 3% in after-hours trading Monday after the computing giant reported fourth-quarter revenue that fell short of analyst estimates.
The San Jose, Calif.-based company reported net income of $480 million, or 36 cents a share, compared with a loss of $757 million, or 52 cents, in the year-ago period. Revenue declined 9% to $7.22 billion from $7.95 billion a year ago.
“I am confident in our ability to drive sustainable, profitable growth as we continue to shift our portfolio to higher-value, software-defined solutions and execute our pivot to offering everything as a service by 2022,” HPE Chief Executive Antonio Neri said in a statement following the results. “Our strategy to deliver an edge-to-cloud platform-as-a-service is unmatched in the industry.”
Analysts surveyed by FactSet had expected earnings of 35 cents a share on revenue of $7.4 billion.
HPE did reiterate financial targets for the current business year. It expects $1.01 to $1.17 a share in annual profit, or $1.78 to $1.94 on an adjusted basis.
HPE shares HPE, +1.93% are up 32% this year, compared to the S&P 500 index’s SPX, +0.75% 24.9% gain in 2019.
