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What HP Has on Deck for Fiscal 2Q17

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Part 3
What HP Has on Deck for Fiscal 2Q17 PART 3 OF 6

Where HP Stands Now in the Printing Market

HP leads hardcopy peripherals

According to IDC, the worldwide hardcopy peripherals market rose 0.6% YoY (year-over-year) to 26.6 million units in calendar 4Q16 and fell 4.1% YoY to 99 million units in calendar 2016. The major players in this market include HP Inc. (HPQ), Canon (CAJ), and Epson, with shares of 36.1%, 23.1%, and 17.8%, respectively, at the end of 4Q16.

Where HP Stands Now in the Printing Market

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While HP’s shipments rose 4.3% YoY, Canon’s shipments rose 1.4% YoY in 4Q16.

Brother is the fourth-largest player in this space, and its shipments fell 4.9% YoY in 4Q16. Samsung’s (SSNLF) shipments also fell 26% YoY in 4Q16 and market share fell to 2.8% from 3.7% in 4Q16.

HP’s Printer business in fiscal 1Q17

Revenue from HP’s Printing business segment fell 3% YoY to $4.5 billion in fiscal 1Q17, while operating profit accounted for 16% of revenue or $716 million. Supplies accounted for 67% of total revenue in this business group, as compared to commercial hardware’s and consumer hardware’s 20% and 13%, respectively.

In fiscal 1Q17, HP’s hardware revenue rose, driven by Sprocket, an HP product in the mobile printing space. HP has continued to focus on providing printing solutions for customers and enterprises, bagging an important partnership with a firm that provides technology solutions in the automobile segment.

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