| 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, 2023 | January 31, 2023 | April 30, 2022 | |||||||||||||||||||||
| Amounts |
Diluted
net earnings per share | Amounts |
Diluted
net earnings per share | Amounts |
Diluted
net earnings per share | ||||||||||||||||||
| GAAP net earnings | $ | 1,066 | $ | 1.07 | $ | 487 | $ | 0.49 | $ | 1,000 | $ | 0.94 | |||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 200 | 0.20 | 141 | 0.14 | 82 | 0.07 | |||||||||||||||||
| Acquisition and divestiture charges | 73 | 0.07 | 84 | 0.08 | 32 | 0.03 | |||||||||||||||||
| Amortization of intangible assets | 86 | 0.09 | 85 | 0.09 | 52 | 0.05 | |||||||||||||||||
| Debt extinguishment costs | — | — | 8 | 0.01 | — | — | |||||||||||||||||
| Non-operating retirement-related credits | (12 | ) | (0.01 | ) | (10 | ) | (0.01 | ) | (35 | ) | (0.03 | ) | |||||||||||
| Tax adjustments (a) | (616 | ) | (0.62 | ) | (46 | ) | (0.05 | ) | 21 | 0.02 | |||||||||||||
| Non-GAAP net earnings | $ | 797 | $ | 0.80 | $ | 749 | $ | 0.75 | $ | 1,152 | $ | 1.08 | |||||||||||
| GAAP earnings from operations | $ | 762 | $ | 765 | $ | 1,278 | |||||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Restructuring and other charges | 200 | 141 | 82 | ||||||||||||||||||||
| Acquisition and divestiture charges | 73 | 84 | 32 | ||||||||||||||||||||
| Amortization of intangible assets | 86 | 85 | 52 | ||||||||||||||||||||
| Non-GAAP earnings from operations | $ | 1,121 | $ | 1,075 | $ | 1,444 | |||||||||||||||||
| GAAP operating margin | 5.9 | % | 5.5 | % | 7.8 | % | |||||||||||||||||
| Non-GAAP adjustments | 2.8 | % | 2.3 | % | 1.0 | % | |||||||||||||||||
| Non-GAAP operating margin | 8.7 | % | 7.8 | % | 8.8 | % | |||||||||||||||||
