Tuesday, May 27, 2014

Weathering Change:Hewlett-Packard CEO Confident

The shift to mobile devices and cloud computing have had a substantial impact on the financial health of legacy technology companies such as Hewlett-Packard.
We had a very good quarter,said Hewlett-Packard CEO Meg Whitman.In fact,our operating margins were up.We think we're gonna have a couple more good quarters.I remain confident in the future of Hewltt-Packard.
Neither PCs nor printers have disappeared.We've been able to stem the decline in our legacy businesses.Any acquisitions we make are likely to be small to medium-sized,directly aligned to our strategy.
After this restructuring program,then we have to build productivity and efficiency into the DNA of Hewlett-Packard.We will build that into our operations.There will be no more big restructurings.The good news is,the rate of decline has slowed dramatically.My view is,the turnaround is right on track.
We need to make scale work to our advantsge.The business will rebound in the years ahead,Hewlett-Packard CEO Meg Whitman predicted.
Upon further review,it is totally clear the turnaround is working,agreed CNBC host Jim Cramer.
There has been a 39% climb in share price since Whitman took the reins at HP in 2011,although the company's sales have been declining the past few years.She is making up to 16,000 more job cuts to lower costs,as well as the 34,000 that were previously announced.
Hewlett-Packard(HPQ)

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