Edited Transcript of Hewlett-Packard (HPQ) Q4 2014 Earnings Conference Call…
Hewlett-Packard (NYSE:HPQ) hosted a conference call with investors and analysts to discuss Q4 2014 earnings results on November 25, 2014 at 5:00 p.m. ET. The following are the webcast audio and the associated transcript of the event…
Operator: Good day, ladies and gentlemen. And welcome to the Fourth Quarter 2014 Hewlett-Packard Earnings Conference Call. My name is Ellen, and I’ll be your conference moderator for today’s call. At this time all participants are in a listen-only mode. We will be facilitating a question-and-answer session towards the end of the conference. (Operator Instructions)As a reminder, this conference is being recorded for replay purposes.
I would now like to turn the presentation over to your host for today’s call, Mr. Jim Bergkamp, Vice President of Investor Relations. Please proceed.
Jim Bergkamp – VP, IR
Good afternoon. Welcome to our fourth quarter 2014 earnings conference call, with Meg Whitman, HP’s Chairman, President and Chief Executive Officer; and Cathie Lesjak, HP’s Chief Financial Officer.
Before handing the call over to Meg, let me remind you that this call is being webcast. A replay of the webcast will be made available shortly after the call for approximately one year.
Some information provided during this call may include forward-looking statements that involve risks, uncertainties and assumptions. If the risks or uncertainties ever materialize or the assumptions prove incorrect, the results of HP may differ materially from those expressed or implied by such forward-looking statements.
All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to the execution of restructuring plans and any resulting cost savings, or revenue or profitability improvements, any projections of revenue, margins, expenses, earnings, earnings per share, HP’s effective tax rate, cash flow, share repurchases, currency exchange rates or other financial items, any statements of the plans, strategies and objectives of management for future operations, including its separation transaction and any statements concerning the expected development, performance, market share, or competitive performance related to products or services. A discussion of some of these risks, uncertainties and assumptions is set forth in more detail in HP’s SEC reports, including its most recent Form 10-Q. HP assumes no obligation and does not intend to update any such forward-looking statements.
The financial information discussed in connection with this call, including any tax-related items reflect estimates based on information available at this time and could differ materially from the amounts ultimately reported in HP’s annual report on Form 10-K for the fiscal year ended October 31, 2014. Revenue, operating profit, operating margin, net earnings, diluted net earnings per share, income tax rate, cash and cash equivalents, operating cash flows, total company debt, capital expenditures and similar items at the company level are sometimes expressed on a non-GAAP basis and have been adjusted to exclude certain items, including amongst other things, amortization of intangible assets, restructuring charges and acquisition-related charges.
The comparable GAAP financial information and a reconciliation of non-GAAP amounts to GAAP are included in the tables and in the slide presentation accompanying today’s earnings release, both of which are available at the HP Investor Relations webpage at www.hp.com.
I’ll now turn the call over to Meg.
Meg Whitman – President and CEO
Thank you, Jim, and thanks to all of you for joining us today.
As we exit the third year of our five-year turnaround effort, I have to say that fiscal 2014 overall was a very strong year. Our performance came in right where it should be and we’ve delivered on our promises. We’ve reignited innovation across HP, strengthened our leadership, delivered cash flow above expectations, fortified our balance sheet and grown our non-GAAP earnings per share. And we finally stabilized our revenue trajectory, delivering flat topline revenue for the company on a constant currency basis for the full year.
We have also made significant operational improvements across each of our businesses that are paying off in our improved profitability, customer and partner engagement, and employee experience. In fact, we saw year-over-year operating margin expansion in every one of our businesses in the fourth quarter for the first time in many years.