Hewlett Packard Enterprise Revenue Jumps 18% to $9.3B in Q1 FY2026
Hewlett Packard Enterprise reported total revenue of $9.30 billion for the three months ending January 31, 2026, up from $7.85 billion in the prior-year quarter. Net income fell to $452 million from $627 million a year earlier.
Hewlett Packard Enterprise Company, a global technology infrastructure provider, reported total revenue of $9.30 billion for the three months ending January 31, 2026, an 18% increase from $7.85 billion in the same quarter a year earlier. The company posted net income of $452 million, down 28% from $627 million in the prior-year period. Read more earnings reports.
Operating income for the quarter reached $1.27 billion, up 48% from $859 million in the three months ending January 31, 2025. Operating expenses rose to $2.13 billion from $1.45 billion a year earlier, driven by increases in both research and development spending and selling, general, and administrative costs.
The company reported cost of goods sold of $5.90 billion for the quarter, compared to $5.54 billion in the prior-year period. Research and development expenses jumped 57% to $744 million from $475 million, while selling, general, and administrative expenses climbed to $1.70 billion from $1.27 billion.
Cash Position and Operations
Hewlett Packard Enterprise generated $1.18 billion in cash from operations during the quarter, a sharp reversal from negative $390 million in the prior-year period. The company ended the quarter with cash and cash equivalents of $4.84 billion, down from $5.77 billion as of October 31, 2025.
Cash used in investing activities totaled $793 million, compared to $23 million in the prior-year quarter. Cash used in financing activities was $1.35 billion, up from $797 million a year earlier.
Balance Sheet
Total assets stood at $75.77 billion as of January 31, 2026, down slightly from $75.91 billion as of October 31, 2025. Current assets increased to $25.20 billion from $24.99 billion, while inventory rose to $6.91 billion from $6.35 billion.
Total stockholders' equity edged up to $24.77 billion from $24.69 billion. Long-term debt was $17.71 billion as of January 31, 2026, compared to $17.76 billion at the end of the prior quarter. The company's retained earnings deficit narrowed to negative $2.59 billion from negative $2.81 billion.
Per Share Results
Diluted earnings per share came in at $0.31 for the quarter, down from $0.44 in the prior-year period. Basic earnings per share were $0.32, compared to $0.45 a year earlier. The weighted average diluted share count fell to 1.36 billion from 1.41 billion.
| Metric | Q1 FY2026 | Q1 FY2025 | Change |
|---|---|---|---|
| Total Revenue | $9.30B | $7.85B | +18% |
| Operating Income | $1.27B | $859M | +48% |
| Net Income | $452M | $627M | -28% |
| Diluted EPS | $0.31 | $0.44 | -30% |
| Cash from Operations | $1.18B | -$390M | N/A |
| Total Assets | $75.77B | $75.91B | -0.2% |
Asset Composition
Goodwill totaled $23.83 billion as of January 31, 2026, up from $23.77 billion at the end of the prior quarter. Intangible assets declined to $6.10 billion from $6.37 billion. Property, plant, and equipment stood at $5.91 billion, down from $6.00 billion.
Accounts receivable decreased to $4.93 billion from $5.29 billion, while accounts payable rose to $8.38 billion from $7.73 billion. Current liabilities totaled $24.36 billion, down from $24.64 billion at the end of October 2025.