HP INC. AND SUBSIDIARIES
ADJUSTMENTS TO GAAP NET EARNINGS, EARNINGS FROM OPERATIONS,
OPERATING MARGIN AND DILUTED NET EARNINGS PER SHARE
(Unaudited)
(In millions, except per share amounts)
| Three months ended | |||||||||||||||||||||||
| April 30, 2021 | January 31, 2021 | April 30, 2020 | |||||||||||||||||||||
| Amounts |
Diluted
net earnings per share | Amounts |
Diluted
net earnings per share | Amounts |
Diluted
net earnings per share | ||||||||||||||||||
| GAAP net earnings | $ | 1,228 | $ | 0.98 | $ | 1,068 | $ | 0.83 | $ | 764 | $ | 0.53 | |||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 39 | 0.02 | 121 | 0.10 | 81 | 0.06 | |||||||||||||||||
| Acquisition-related charges | 10 | 0.01 | 6 | — | 3 | — | |||||||||||||||||
| Amortization of intangible assets | 32 | 0.03 | 29 | 0.02 | 29 | 0.02 | |||||||||||||||||
| Non-operating retirement-related credits | (38) | (0.03) | (38) | (0.03) | (56) | (0.04) | |||||||||||||||||
| Tax adjustments (a) | (113) | (0.08) | 2 | — | (80) | (0.06) | |||||||||||||||||
| Non-GAAP net earnings | $ | 1,158 | $ | 0.93 | $ | 1,188 | $ | 0.92 | $ | 741 | $ | 0.51 | |||||||||||
| GAAP earnings from operations | $ | 1,362 | $ | 1,321 | $ | 826 | |||||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 39 | 121 | 81 | ||||||||||||||||||||
| Acquisition-related charges | 10 | 6 | 3 | ||||||||||||||||||||
| Amortization of intangible assets | 32 | 29 | 29 | ||||||||||||||||||||
| Non-GAAP earnings from operations | $ | 1,443 | $ | 1,477 | $ | 939 | |||||||||||||||||
| GAAP operating margin | 8.6 | % | 8.4 | % | 6.6 | % | |||||||||||||||||
| Non-GAAP adjustments | 0.5 | % | 1.0 | % | 0.9 | % | |||||||||||||||||
| Non-GAAP operating margin | 9.1 | % | 9.4 | % | 7.5 | % | |||||||||||||||||
