Hewlett-Packard Company (HPQ) 4Q Earnings Beat the Street, Stock Surges 7 Percent

The shares of Hewlett-Packard Company (NYSE:HPQ) surged as much as 7% after trading hours on Tuesday due to its better-than-expected financial results for the fourth quarter. The stock was trading more than $26 a share. Over the past twelve months, the stock value of the company climbed from $12.22 to its highest level at $27.78 per share.

During the quarter, Hewlett-Packard Company (NYSE:HPQ) generated $1.02 non-GAAP earnings per share on $29.1 billion revenue compared with the $1.00 earnings per share on $27.91 billion revenue consensus estimate of analysts.

For the full fiscal 2013, the manufacturer of personal computers (PCs) and printers delivered $3.56 non-GAAP earnings per share on $112.3 billion revenue.

In a statement, Meg Whitman, president and CEO of Hewlett-Packard Company (NYSE:HPQ) said, “Through improved execution, strong cost management, and with the support of our customers and partners, HP ended fiscal 213 on a high note.”

“ Our Q4 results demonstrate that HP’s turnaround remains on track heading into fiscal 2014While we still have much more work to do, our business units and their core assets are delivering on HP’s strategy to help customers thrive by providing solutions for the New Style of IT,” added Whitman.

According to Hewlett-Packard Company (NYSE:HPQ), the revenue of personal systems business declined 2 percent year-over-year with 3% operating margin. Its printing business fell by 1% with 17% operating margin. The company said its software business suffered a 9% decline with 30.8% operating margin.

Hewlett-Packard Company’s (NYSE:HPQ) enterprise group increased 2% with 14.5% operating margin, enterprise services down 9% with 4.4% operating margin, and HP financial services dropped 6% with a 5% decline in net portfolio assets and 3% drop in financing value.

During the quarter, the company returned $763 million capital to shareholders through dividend and shares buyback.

Hewlett-Packard Company (NYSE:HPQ) projected that it will be able to achieve non-GAAP earnings in the range of $0.82 to $0.86 per share for the first quarter of 2014 and around $3.55 t0 $3.75 per share for the full fiscal year.