| |
| HP INC. AND SUBSIDIARIES |
| CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS |
| (Unaudited) |
| (In millions) |
| |
| |
Nine months ended July 31, |
| |
2018 | |
2017 |
| Cash flows from operating activities: | | | |
| Net earnings | $ | 3,876 | | | $ | 1,866 | |
| Adjustments to reconcile net earnings to net cash provided by operating activities: | | | |
| Depreciation and amortization | 388 | | | 263 | |
| Stock-based compensation expense | 203 | | | 169 | |
| Restructuring and other charges | 92 | | | 249 | |
| Deferred taxes on earnings | (3,167 | ) | | 412 | |
| Other, net | 234 | | | 69 | |
| Changes in operating assets and liabilities, net of acquisition: | | | |
| Accounts receivable | 23 | | | (215 | ) |
| Inventory | (121 | ) | | (731 | ) |
| Accounts payable | 910 | | | 1,738 | |
| Taxes on earnings | 801 | | | (245 | ) |
| Restructuring and other | (207 | ) | | (155 | ) |
| Other assets and liabilities | 528 | | | (423 | ) |
| Net cash provided by operating activities | 3,560 | | | 2,997 | |
| Cash flows from investing activities: | | | |
| Investment in property, plant and equipment | (359 | ) | | (237 | ) |
| Proceeds from sale of property, plant and equipment | 110 | | | 69 | |
| Purchases of available-for-sale securities and other investments | (320 | ) | | (1,038 | ) |
| Maturities and sales of available-for-sale securities and other investments | 588 | | | 2 | |
| Collateral posted for derivative instruments | (1,141 | ) | | (798 | ) |
| Collateral returned for derivative instruments | 1,355 | | | 279 | |
| Payment made in connection with business acquisition, net of cash acquired | (1,036 | ) | | — | |
| Net cash used in investing activities | (803 | ) | | (1,723 | ) |
| Cash flows from financing activities: | | | |
| Proceeds from short-term borrowings with original maturities less than 90 days, net | 1,577 | | | 1,046 | |
| Proceeds from short-term borrowings with original maturities greater than 90 days | 712 | | | — | |
| Proceeds from debt, net of issuance costs | — | | | 5 | |
| Payment of short-term borrowings with original maturities greater than 90 days | (1,184 | ) | | (3 | ) |
| Payment of debt | (2,059 | ) | | (62 | ) |
| Settlement of cash flow hedges | — | | | (9 | ) |
| Net proceeds related to stock-based award activities | 34 | | | 12 | |
| Repurchase of common stock | (1,959 | ) | | (911 | ) |
| Cash dividends paid | (680 | ) | | (673 | ) |
| Net cash used in financing activities | (3,559 | ) | | (595 | ) |
| (Decrease) / Increase in cash and cash equivalents | (802 | ) | | 679 | |
| Cash and cash equivalents at beginning of period | 6,997 | | | 6,288 | |
| Cash and cash equivalents at end of period | $ | 6,195 | | | $ | 6,967 | |
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