HP announces job cuts

| Updated: Oct 14, 2016 19:10 IST

New Delhi [India], Oct. 14 (ANI) : HP Inc., one of two companies formed last year by the break-up of the old Hewlett-Packard Co., announced on Thursday that it plans to cut between 3,000 to 4,000 jobs in the next three years to trim costs, as the maker of printers and personal computers continues to struggle with a subdued market, sending its shares down 1.3 percent in extended trading. HP, said in February it would accelerate its restructuring program and slash around 3,000 jobs by the end of fiscal 2016. HP Chief Executive Dion Weisler said the market continued to be volatile, facing pressures and uncertainties. "Our core markets are challenged and macro economic conditions are in flux right now," Weisler said. HP expects adjusted profit for fiscal 2017 to be USD 1.55-USD 1.65 per share. Analysts on average had expected USD 1.61 per share. Raising its quarterly dividend by 7 percent, HP also said it would increase its share buyback program by USD 3 billion. The company expects restructuring and other charges of USD 350 million to USD 500 million and the move is expected to generate gross annual run rate savings of USD 200 million to USD 300 million beginning in fiscal 2020, HP said. According to research firm Gartner, worldwide PC shipments in Q3 fell 5.7 percent, eighth consecutive quarter of PC shipment decline. Gartner also said that this is longest duration of decline in the history of the PC industry. HP shares have gained 28 percent this year up to Thursday's close (ANI)