Latest news with #FutureReady
Yahoo
3 days ago
- Business
- Yahoo
HPQ Q1 Earnings Call: Tariff Costs Pressure Margins and Guidance Cut Amid Personal Systems Growth
Personal computing and printing company HP (NYSE:HPQ) missed Wall Street's revenue expectations in Q1 CY2025 as sales rose 3.3% year on year to $13.22 billion. Its non-GAAP EPS of $0.71 per share was 11.6% below analysts' consensus estimates. Is now the time to buy HPQ? Find out in our full research report (it's free). Revenue: $13.22 billion (3.3% year-on-year growth) Adjusted EPS: $0.71 vs analyst expectations of $0.80 (11.6% miss) Management lowered its full-year Adjusted EPS guidance to $3.15 at the midpoint, a 12.5% decrease Operating Margin: 4.9%, down from 7.4% in the same quarter last year Market Capitalization: $25.64 billion HP's first quarter results reflected a mix of growth in its Personal Systems segment and ongoing operational challenges, particularly from new tariff costs. Management highlighted that commercial PC demand and the company's expansion into high-value categories were central to top-line growth. CEO Enrique Lores noted, 'We saw strong growth in personal systems, particularly in commercial and high-value categories, driving momentum in our key growth area.' However, the quarter's operating profit was negatively affected by additional tariffs that could not be fully mitigated, with management citing a roughly $0.12 per share impact on non-GAAP earnings. Lores described the external landscape as 'highly dynamic,' pointing to shifting trade policies as a primary factor behind the shortfall in profitability. Looking forward, HP's updated guidance is shaped by continued uncertainty in the global trade environment and macroeconomic conditions. Management expects the recently accelerated supply chain rebalancing and pricing actions to help restore margins by the end of the year, though they stressed that the pace of PC market recovery remains uncertain. CFO Karen Parkhill stated, 'We believe it is prudent to moderate our guidance for the second half of the year to reflect' evolving trade policy and demand trends. The company also anticipates that its ongoing Future Ready cost savings program and the growing role of AI PCs will be key contributors to performance in the coming quarters. Management attributed the quarter's top-line growth to commercial PC momentum and high-value mix shifts but emphasized that unmitigated tariffs and manufacturing adjustments weighed on margins. Commercial PC segment momentum: Personal Systems revenue growth was led by strong commercial demand, especially in North America and Asia, with notable gains in premium, workstation, and AI-enabled PCs (AIPCs). Management credited the Windows 11 refresh cycle and increased enterprise adoption for driving performance. Tariff-related cost headwinds: The introduction of new tariffs increased costs by an estimated 100 basis points on non-GAAP operating profit, mainly affecting the Personal Systems segment. Management responded by accelerating supply chain diversification, but these actions only partially offset the impact during the quarter. Manufacturing footprint diversification: HP significantly expanded production outside China, increasing output from Vietnam, Thailand, India, Mexico, and the US. By the end of June, nearly all products sold in North America are expected to be manufactured outside China, according to CEO Lores. Print division performance split: Print revenue declined as expected, with growth in Europe offset by continued weak demand in China and North America. The company emphasized gains in home printer units and the success of its 'big tank' product line, as well as growth in consumer subscriptions and industrial printing solutions. Cost control and operational agility: HP drove down non-GAAP operating expenses year-over-year through process efficiency, automation, and portfolio optimization. The company's Future Ready program is now expected to deliver at least $2 billion in annualized structural savings by year-end, supporting strategic investment despite external headwinds. Management's outlook for the next few quarters centers on mitigating tariff costs, driving AI PC adoption, and executing operational savings programs to offset macroeconomic uncertainty. Tariff mitigation and supply chain shifts: The company expects to fully offset current tariff-related costs by the end of the year through accelerated supply chain reconfiguration, targeted pricing actions, and additional cost-cutting. Management emphasized that manufacturing outside China will provide greater operational flexibility if trade policies evolve further. AI PC adoption and premium mix shift: HP anticipates that AI-enabled PCs (AIPCs) will comprise over 25% of PC shipments by year-end, boosting average selling prices and gross margins. CEO Lores stated that 'AI PCs are between 10% and 20% higher priced than regular PCs,' projecting this mix shift as a multi-year growth driver. Cost discipline and Future Ready program: The ongoing Future Ready program aims to deliver $2 billion in annualized structural savings by year-end through organizational streamlining, IT consolidation, and portfolio optimization. Management expects these savings to help maintain profitability and enable continued investment in strategic growth areas, even as industry-wide demand remains uncertain. In the coming quarters, the StockStory team will monitor (1) the pace and effectiveness of HP's supply chain transition out of China, (2) the adoption rate and pricing dynamics of AI-enabled PCs, and (3) progress toward the $2 billion annualized cost savings target under the Future Ready program. Additional factors include margin recovery in Personal Systems and Print as tariff mitigation efforts gain traction. HP currently trades at a forward P/E ratio of 7.5×. Is the company at an inflection point that warrants a buy or sell? The answer lies in our full research report (it's free). The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Travel Daily News
22-05-2025
- Business
- Travel Daily News
Miami International Airport to expand passenger capacity
Miami-Dade approves $600m. Concourse K at Miami International Airport, adding six gates and infrastructure upgrades to meet rising passenger and cargo demand by 2040. MIAMI, FL – The Miami-Dade County Board of County Commissioners approved the construction of new Concourse K at Miami International Airport (MIA), a transformative infrastructure project marking a significant milestone in MIA's ambitious $9 billion Future-Ready Modernization in Action plan. With an investment of $600.6 million, this expansion will deliver six new gates, a ground support equipment maintenance facility, enhanced baggage handling systems, and critical upgrades to airfield infrastructure – all designed to meet the growing demand for passenger traffic. The Modernization in Action plan positions Miami International Airport to accommodate 77 million passengers and 5 million tons of cargo by 2040. The project includes: Design and construction of six new contact gates Construction of an associated aircraft apron and jet fuel hydrant system A ground support equipment maintenance facility Installation of two new baggage make-up carousels Upgrades to the existing baggage handling system to connect the Central and South Terminals Envision LEED Silver certification for sustainable infrastructure 'MIA has not seen a terminal expansion since 2007, making this a truly transformative milestone for our airport. The launch of Concourse K will not only increase capacity and create thousands of new jobs but also reinforce MIA's role as a premier Global Gateway. With the unwavering support of the Board of County Commissioners and the dedication of Director Ralph Cutie, his team, and our airport partners, we are making visionary, future-ready investments that will build a stronger, more vibrant airport – one that uplifts our community, welcomes the world, and powers our economy into the future.' said Miami-Dade County Mayor Daniella Levine Cava. With nearly 56 million passengers and more than 3 million U.S. tons of freight recorded in 2024 alone, the demand for additional space and improved efficiency at MIA continues to grow. Concourse K is a key part of Miami-Dade County's historic investments to modernize the airport's facilities and meet record-breaking demand while improving service, safety, and operational flow. Construction of Concourse K is set to begin following a ceremonial groundbreaking this summer and is scheduled for completion by Spring 2029. Lemartec-NV2A JV, LLC has been awarded the general contractor contract, with Perez & Perez Architects Planners, Inc. serving as the lead architect.
BBC News
30-04-2025
- Business
- BBC News
Drop-in session in north of Isle of Man on copper switch-off
People in the regions that will be the first to have the copper broadband network disconnected have been invited to a information session about switching to Future Ready drop-in event, hosted by Manx Telecom (MT) as part of its roll out of fibre broadband on the island, is at the Sulby Community Hall from 13:00 to 17:00 BST. Zones one and two of the switch-off programme cover Kirk Michael, Foxdale, St John's, Andreas, Ballaugh, Bride, Jurby and community partner Josh Radcliffe said the event was designed to help residents "feel comfortable and informed about their broadband service". Questions or concerns The session was the first of several as the firm continues to "progress with our island-wide copper to fibre transition", he December, concerns were raised about the potential effect of the copper switch-off on vulnerable customers who use analogue carephones, in particular older devices which use phone March those in zones one and two were invited to transfer their services from the old network, with the switch-off programme in those areas set to take about 12 months. The firm said consumers within the region who were within easy reach of alternative services, did not require additional support, did not have specialist needs, and were likely to be straightforward would be transitioned drop-in session was an opportunity for residents to discuss any questions or concerns they may have about the upcoming switch-off, MT entire copper network is set to be switched off by firm said the faster broadband was now available to about 92% of homes and businesses, with more than half of the people on the Isle of Man now using the infrastructure. Read more stories from the Isle of Man on the BBC, watch BBC North West Tonight on BBC iPlayer and follow BBC Isle of Man on Facebook and X.
Yahoo
22-04-2025
- Business
- Yahoo
Brooklyn International H.S. nurtures students considering teaching careers
Field trips to Alicia Keys' Broadway show and the Jewish Museum, followed by writing assignments. A 1,500-word essay on any education topic. A 10th-grade seminar where students learn about different career paths in the education sector. At Brooklyn International High School in downtown Brooklyn, public school students from 32 different countries are exploring careers in education, as New York City embarks on a hiring blitz to meet a growing demand for teachers — whether to meet the needs of shifting student demographics or a new requirement to lower class sizes. Schools Chancellor Melissa Aviles-Ramos suggested she had been thinking about the issue since she led the school system's efforts to take in migrant students. 'I was relentless in saying that, as we welcomed thousands of migrant children into our school system, that we needed to be innovative with our approach to building the bilingual teacher pipeline,' she said during a school visit Tuesday with CUNY Chancellor Felix Matos Rodriguez. 'And there's no better place to do that than in our international schools.' Brooklyn International is one of 22 public schools offering an education career program through FutureReadyNYC, a signature initiative of the Adams administration, education officials said. Students earn college credits and job credentials, and participate in paid internships. In total, there are 135 schools in FutureReady citywide focused on health care, technology and other career paths — with plans for an expansion this fall. The career track in education is particularly timely. Independent budget analysts predict New York City will need to hire 17,000 new teachers to comply with the state law to lower class sizes. By fall 2028, classrooms will be capped between 20 and 25 students, depending on grade level. 'So many of them want to become teachers,' the chancellor's first deputy, Dan Weisberg, said of high school students. 'It's a job they see and, for many of them, they love. The FutureReady education pathway is definitely a major piece of the puzzle of how we open up our talent pipeline, for sure.' 'We don't know yet how many more will have ed[ucation] pathways for the next cohort, but it was a significant number that applied to have education pathways.' About 100 Brooklyn International students are on the education career track, according to Megan Minturn, the school's FutureReady coordinator. Another 50 students are expected to join the program this fall when the school launches its second career track in human and social services — focused on jobs such as being a social worker or counselor. Citywide, about 15,000 students are participating in FutureReady. Luis Ruiz, 27, is a graduate of Brooklyn International who participated in College Now, another partnership between the city's public schools and the City University of New York. Just a couple of weeks away from earning his master's degree in teaching English as a second language, he is back at his alma mater mentoring students like him who immigrated from South America to the United States. Ruiz, who is originally from Guatemala, said many of his students are from Ecuador and Venezuela: 'I feel like I can connect with them because I was once in their shoes.' More than 62% of Brooklyn International students speak Spanish as a home language, according to school data. Amy, a Brooklyn International student who is from Senegal, said she had been stressed over career decisions after high school, but her 10th-grade seminar helped her choose what she may want to do in the future. For now, her plan is to become a social worker. 'Because I love helping,' she said. 'I came here three years ago, and I feel connected when I help immigrants.'
Associated Press
11-04-2025
- Business
- Associated Press
I&M Files Proposal to Acquire Diverse Generation to Meet Future Energy Need
FORT WAYNE, Ind., April 11, 2025 /PRNewswire/ -- Indiana Michigan Power (I&M), an American Electric Power (Nasdaq: AEP) company, has made a filing with the Indiana Utility Regulatory Commission (IURC) requesting approval of a certificate of public convenience and necessity (CPCN) to acquire the Oregon Clean Energy Center, an existing 870 megawatt (MW) natural gas plant located in Oregon, Ohio. I&M's filing explains the need to acquire the facility, details about the plant, and future operating plans, if approved. Through the CPCN process the IURC will ensure that the proposed plant acquisition is in the public interest and is just and reasonable. The proposal to acquire the Oregon Clean Energy Center and its 870 MW of natural gas-fueled electric generation is one component of I&M's Future Ready plan, which details the resources needed to provide I&M customers reliable and affordable energy today and into the future. 'I&M has established the need for additional electric generation, and we believe the Oregon Clean Energy Center is an important opportunity to further diversify our current generation portfolio and position I&M for future growth,' said Steve Baker, I&M president and chief operating officer. 'It is our responsibility to ensure that our current and future customers have reliable and affordable power.' I&M is currently navigating an unprecedented time in its history. As the company looks ahead, power demand is expected to more than double the Indiana peak from approximately 2,800 MW in 2024 to more than 7,000 MW in the 2030 timeframe. The rapid growth in energy demand provides an opportunity for I&M to reshape the way it serves current customers and those the company will serve decades into the future. The Oregon facility, if approved, will provide a stable source of power to meet the 24 hours per day x 7 days per week operational requirements of our existing customers and the new customers coming on to the I&M system. I&M's current generation portfolio incorporates a diverse mix of resources, including solar, wind, nuclear, coal and hydroelectric units. The company's vision for the future is to implement an 'all of the above' approach to providing a reliable, resilient, and stable electric power system that customers can access affordably. Additional benefits to this approach are that it supports economic development, stable energy costs, and access to new technologies. I&M anticipates a decision from the IURC on the filing in early 2026. The company will submit additional filings to the IURC throughout 2025 to request approval for additional resources that are consistent with the Future Ready Plan. For more information on I&M's Future Ready Plan, visit our website. Indiana Michigan Power (I&M) is headquartered in Fort Wayne, and its approximately 2,000 employees serve more than 600,000 customers. More than 85% of its energy delivered in 2023 was emission-free. I&M has at its availability various sources of generation including 2,278 MW of nuclear generation in Michigan, 450 MW of purchased wind generation from Indiana, more than 22 MW of hydro generation in both states and approximately 35 MW of large-scale solar generation in both states. The company's generation portfolio also includes 1,497 MW of coal fueled generation. About American Electric Power (AEP) Our team at American Electric Power is committed to improving our customers' lives with reliable, affordable power. We are investing $54 billion from 2025 through 2029 to enhance service for customers and support the growing energy needs of our communities. Our nearly 16,000 employees operate and maintain the nation's largest electric transmission system with 40,000 line miles, along with more than 225,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 29,000 megawatts of diverse generating capacity. We are focused on safety and operational excellence, creating value for our stakeholders and bringing opportunity to our service territory through economic development and community engagement. Our family of companies includes AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. AEP is headquartered in Columbus, Ohio. For more information, visit News releases and other information about I&M are available at View original content to download multimedia: SOURCE Indiana Michigan Power
