

Based on further assessment of business risks and needs, we have determined that it is no longer tenable to maintain operations in Russia and Belarus and are proceeding with an orderly, managed exit of our remaining business in these countries. During the second quarter of 2022, we recorded total charges of $126 million related to the Russia conflict’s impact on our business. HPE announced in February that we stopped all shipments to and sales in Russia and Belarus. GAAP diluted net EPS was $0.19, flat from the prior-year period and in line with our previously provided outlook of $0.18 to $0.26 per share. GAAP gross margin of 32.4%, down 170 basis points from the prior-year period, primarily due to $105 million of Russia-related charges, and non-GAAP gross margin of 34.2%, down 10 basis points from the prior-year period, driven by disciplined execution and pricing actions. We remain confident in delivering our 2021 Securities Analyst Meeting ARR guidance of 35%-45% Compounded Annual Growth Rate from fiscal year 2021 to fiscal year 2024. Net revenue of $6.7 billion, up 0.2% and 1.5% adjusted for currency 2 from the prior-year period and in line with outlook.Īnnualized revenue run-rate (“ARR”) 4 of $829 million, up 25% 2 from the prior-year period and total as-a-Service orders 1 were up 107% from the prior-year period, marking the third consecutive quarter of orders doubling.

“With record levels of high-quality backlog, we are well positioned for growth in FY22 and beyond, and confident in realizing the financial commitments we set at our Securities Analyst Meeting last October.”

“We are particularly pleased with the resiliency of our gross margins despite the inflationary environment and ongoing supply chain disruptions,” said Tarek Robbiati, EVP and CFO of Hewlett Packard Enterprise. We remain focused on innovating for our customers and on executing with discipline so that we translate that demand into profitable growth for HPE.” “I am optimistic that demand will continue to be strong, given our customers’ needs to accelerate their business resilience and competitiveness. “Persistent demand led to another quarter of significant order growth and higher revenue for HPE, underscoring the accelerating interest customers have in our unique edge-to-cloud portfolio and our HPE GreenLake platform,” said Antonio Neri, president, and CEO of Hewlett Packard Enterprise.

HOUSTON, Texas – J– Hewlett Packard Enterprise (NYSE: HPE) today announced financial results for the second quarter, ended April 30, 2022.
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