HP Inc.

Record Q3 performance; EPS ahead despite commodity/tariff noise - Revenue $15.7B (up 13% YoY) = 9th consecutive quarter of top-line growth; driven by Personal Systems (+18% YoY) while Print was down 2% YoY. - EPS $0.83 (up 11% YoY) includes $0.11 from tariff refunds; even excluding tariffs EPS was above the top end of guidance (per management). - Strong execution translated into profitability: operating margin 6.5%; gross margin 18.8% down YoY as expected due to commodities and mix.

Personal Systems: growth with premium/AI mix; margins pressured but expected to trough then improve - Personal Systems revenue $11.8B (+18% YoY); volume down as expected but offset by higher-value mix, repricing for commodity costs, and services expansion. - AI PC momentum: AI PC portfolio expected to be ~50% of shipment mix by end of FY (and 46% of Q3 mix). - Margin outlook: Company expects Q4 PS margins to be the low point, with improvement thereafter; while memory/storage input costs rise, they expect the rise to be slower than in FY’26 and to recover PS operating margin back to long-term range as quickly as possible in FY’27. - Channel/pricing timing risk: pricing increases may lag across customers due to different contract durations (immediate to months), but management is actively applying pricing as a “last lever” after demand-shaping and cost actions.

Print: competitive environment; profitable “big tank” share gains + industrial durability - Print revenue down 2% YoY (down 4% in constant currency) on lower supplies/hardware volumes, with office market softness in North America and China. - Despite the weak tape, management highlighted profitable shift: - Tank printers: 42% unit growth, and +4 points share in “big tank” market. - Industrial Printing: 12th straight quarter of revenue growth; growth in 3D and subscription (ramping “all-in plan”). - Margins: Print operating margin 18.1% (+~1 point YoY) boosted by tariff refunds; excluding tariff refunds, margin expected to be in line with low end of long-term range.