HP INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
(Unaudited)
(In millions, except per share amounts)
| Nine months ended | |||||||
| July 31, 2019 | July 31, 2018 | ||||||
| Net revenue | $ | 43,349 | $ | 43,106 | |||
| Costs and expenses: | |||||||
| Cost of revenue | 35,103 | 35,134 | |||||
| Research and development | 1,110 | 1,050 | |||||
| Selling, general and administrative(a) | 3,963 | 3,836 | |||||
| Restructuring and other charges | 141 | 92 | |||||
| Acquisition-related charges | 12 | 97 | |||||
| Amortization of intangible assets | 87 | 60 | |||||
| Total costs and expenses | 40,416 | 40,269 | |||||
| Earnings from operations | 2,933 | 2,837 | |||||
| Interest and other, net(a) | (902 | ) | (831 | ) | |||
| Earnings before taxes | 2,031 | 2,006 | |||||
| Benefit from taxes | 733 | 1,870 | |||||
| Net earnings | $ | 2,764 | $ | 3,876 | |||
| Net earnings per share: | |||||||
| Basic | $ | 1.81 | $ | 2.38 | |||
| Diluted | $ | 1.80 | $ | 2.36 | |||
| Cash dividends declared per share | $ | 0.64 | $ | 0.56 | |||
| Weighted-average shares used to compute net earnings per share: | |||||||
| Basic | 1,528 | 1,627 | |||||
| Diluted | 1,537 | 1,645 | |||||
(a) Pursuant to adoption of ASU 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Post-retirement Benefit Cost”, in the first quarter of fiscal year 2019, HP now reclassifies all components (excluding service cost component) of net periodic benefit cost from Selling, general and administrative expenses to Interest and other, net. HP reflected this change in prior reporting periods on an as-if basis.
