In light of steady demand in the personal computer industry, HP Inc (HPQ.N) boosted its annual dividend and projected fiscal 2024 earnings, generally in line with predictions on Tuesday.
Demand has decreased from the heights recorded during the epidemic, when work-from-home habits drove up sales of laptops and other electronic devices, according to companies including HP, Lenovo (0992. HK), and Dell Technologies (DELL.N).
In trading after the bell, Palo Alto, California-based HP shares were up more than 2%. They have dropped about 2% this year so far. In addition, the PC manufacturer projected a free cash flow of $3.1 billion to $3.6 billion for fiscal 2024 and said it would return nearly 100% of that amount to shareholders through dividends and share repurchases.
“Our Future Ready plan is strengthening our core business, accelerating our expansion in services, building new operational capabilities, and improving our structural costs,” said Enrique Lores, HP’s chief executive officer.
The board has increased the projected dividend amount to $1.10 per share, representing a 5% increase over the previous payout, according to the business.
According to LSEG statistics, the business anticipates its adjusted earnings for 2024 to be in the region of $3.25 to $3.65 per share, broadly in line with analyst predictions of $3.47.
