$HPE-PC

Hewlett Packard Enterprise Co

CIK:0001645590|SEC Filings

Condensed Consolidated Statements of Earnings (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Jul. 31, 2026	Jul. 31, 2025	Jul. 31, 2026	Jul. 31, 2025
Net Revenue:
Financing income	$ 192	$ 194	$ 580	$ 568
Total net revenue	12,213	9,136	32,192	24,617
Costs and Expenses:
Financing cost	116	125	356	377
Research and development	1,158	622	2,824	1,637
Selling, general and administrative	1,962	1,496	5,490	4,062
Amortization of intangible assets	315	126	949	201
Impairment charges	0	0	0	1,361
Acquisition, disposition and other charges	71	181	266	304
Total costs and expenses	10,820	8,889	29,582	25,046
Earnings (loss) from operations	1,393	247	2,610	(429)
Interest and other, net	(75)	8	(202)	86
Gain on sale of equity interest	444	0	444	0
Gain on sale of a business	0	1	0	245
Earnings from equity interests	0	32	42	74
Earnings (loss) before provision for taxes	1,762	288	2,894	(24)
(Provision) benefit for taxes	(222)	17	(278)	(94)
Net earnings (loss) attributable to HPE	1,540	305	2,616	(118)
Preferred stock dividends	(29)	(29)	(87)	(87)
Net earnings (loss) attributable to common stockholders	$ 1,511	$ 276	$ 2,529	$ (205)
Net Earnings (Loss) Per Share Attributable to Common Stockholders:
Basic (in dollars per share)	$ 1.13	$ 0.21	$ 1.89	$ (0.16)
Diluted (in dollars per share)	$ 1.06	$ 0.21	$ 1.82	$ (0.16)
Weighted-average Shares Used to Compute Net Earnings (Loss) Per Share:
Basic (in shares)	1,336	1,325	1,335	1,321
Diluted (in shares)	1,449	1,421	1,441	1,321
Products
Net Revenue:
Revenues	$ 8,730	$ 6,048	$ 21,810	$ 15,787
Costs and Expenses:
Segment cost of sales	5,235	4,510	14,164	11,903
Services
Net Revenue:
Revenues	3,291	2,894	9,802	8,262
Costs and Expenses:
Segment cost of sales	$ 1,963	$ 1,829	$ 5,533	$ 5,201

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	9 Months Ended
	Jul. 31, 2026	Jul. 31, 2025
Cash Flows from Operating Activities:
Net earnings (loss) attributable to HPE	$ 2,616	$ (118)
Adjustments to Reconcile Net Earnings (Loss) Attributable to HPE to Net Cash Provided by Operating Activities:
Depreciation and amortization	2,613	1,860
Impairment charges	0	1,361
Stock-based compensation expense	599	447
Provision for inventory and credit losses	477	339
Cost reduction program	84	148
Deferred taxes on earnings	(313)	(74)
Earnings from equity interests	(42)	(74)
Gain on sale of a business	0	(245)
Gain on sale of equity interest	(444)	0
Dividends received from equity investees	100	0
H3C divestiture related severance costs	0	97
Amortization of inventory fair value adjustment	31	0
Other, net	161	143
Changes in Operating Assets and Liabilities, Net of Acquisitions:
Accounts receivable	(997)	(1,130)
Financing receivables	(224)	(3)
Inventory	(5,847)	1,385
Accounts payable	5,870	(2,595)
Other assets and liabilities	(455)	(1,087)
Net cash provided by operating activities	4,229	454
Cash Flows from Investing Activities:
Investment in property, plant and equipment and software assets	(1,897)	(1,651)
Proceeds from sale of property, plant and equipment	288	254
Purchases of equity investments	(5)	(7)
Proceeds from sale of available-for-sale securities and other investments	10	47
Proceeds from maturities and redemptions of available-for-sale securities	0	48
Proceeds from sale of equity interest	1,357	0
Financial collateral posted	(737)	(755)
Financial collateral received	789	518
Payments made in connection with business acquisitions, net of cash acquired	0	(12,278)
Proceeds from sale of a business	0	210
Net cash used in investing activities	(195)	(13,614)
Cash Flows from Financing Activities:
Short-term borrowings with original maturities less than 90 days, net	12	8
Proceeds from debt, net of issuance costs	2,546	5,333
Payment of debt	(4,686)	(1,663)
Net payments related to stock-based award activities	(338)	(229)
Repurchases of common stock	(447)	(102)
Cash dividends paid to preferred stockholders	(87)	(83)
Cash dividends paid to common stockholders	(568)	(513)
Other	(8)	(8)
Net cash (used in) provided by financing activities	(3,576)	2,743
Effect of exchange rate changes on cash, cash equivalents, and restricted cash	(39)	9
Change in cash, cash equivalents and restricted cash	419	(10,408)
Cash, cash equivalents and restricted cash at beginning of period	5,859	15,105
Cash, cash equivalents and restricted cash at end of period	$ 6,278	$ 4,697

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jul. 31, 2026	Oct. 31, 2025
Current Assets:
Cash and cash equivalents	$ 6,216	$ 5,773
Accounts receivable, net of allowances	6,185	5,290
Financing receivables, net of allowances	3,841	3,826
Inventory	11,823	6,352
Other current assets	5,800	3,753
Total current assets	33,865	24,994
Property, plant and equipment, net	5,645	6,002
Long-term financing receivables and other assets	14,632	13,817
Investments in equity interests	0	955
Goodwill	23,907	23,770
Intangible assets, net	5,547	6,368
Total assets	83,596	75,906
Current Liabilities:
Notes payable and short-term borrowings	2,901	4,609
Accounts payable	13,734	7,731
Employee compensation and benefits	2,880	1,871
Deferred revenue	5,561	5,358
Other accrued liabilities	5,360	5,074
Total current liabilities	30,436	24,643
Long-term debt	17,343	17,756
Other non-current liabilities	9,241	8,753
Commitments and Contingencies
HPE Stockholders' Equity:
7.625% Series C mandatory convertible preferred stock, $0.01 par value (30,000,000 shares issued and outstanding as of July 31, 2026 and October 31, 2025, respectively)	0	0
Common stock, $0.01 par value (9,600,000,000 shares authorized; 1,328,115,106 and 1,318,292,428 shares issued and outstanding as of July 31, 2026 and October 31, 2025, respectively)	13	13
Additional paid-in capital	30,151	30,234
Accumulated deficit	(948)	(2,811)
Accumulated other comprehensive loss	(2,702)	(2,748)
Total HPE stockholders' equity	26,514	24,688
Non-controlling interests	62	66
Total stockholders' equity	26,576	24,754
Total liabilities and stockholders' equity	$ 83,596	$ 75,906