Hewlett-Packard's Shares Fall as the Company Announced Lower than Expected Revenue Projection

Hewlett-Packard’s Shares Fall as the Company Announced Lower than Expected Revenue ProjectionThe Palo Alto, California based Hewlett-Packard Co's shares fell on Tuesday during late trading hours following the company's quarterly revenue and earnings outlook which could not match the expectations of Wall Street.

The computer making company reported first-quarter profit for the fiscal of $1.37 billion which is four percent less than the previous year. Earnings of the company were 73 cents a share.

In the November to January period the sales dropped five percent to $26.84 billion which was below the expectation of the analysts which was marked at $27.38 billion.

HP expects 84 cents to 88 cents per-share earnings for the present quarter which will end in April. The expectation of the analysts was 96 cents a share. For this fiscal year, HP projected profits of $3.53 to $3.73 a share.

According to the company a strong U. S. dollar is likely to impair the overseas sales.

HP, for some time has been struggling with a wide shift in trends in the industry which includes the growing recognition of mobile devices and the software which are delivered through the Internet.

Meg Whitman, the company's CEO who is leading the spin around effort of the company and has already announced plans for splitting up the company. One of the divisions will focus on the sale of personal computers and the other will be mainly concentrating on commercial technology for big data centres.