Strong leadership position in workstations
At the end of 4Q15, Hewlett-Packard (HPQ) maintained the top position in mobile workstations with a share of 42%. HPQ outgrew market profitability and held first place in the commercial segment, with an all-time high share of 24% in 4Q15. As stated in Part 1 of this series, the overall PC market was slow to recover but Hewlett-Packard continued to execute and manage its channel inventory and improve product mix.
The other leading players in the workstation segment include Dell and China’s (FXI) Lenovo (LNVGY) with a market share of 38% and 13%, respectively. In the last quarter, HPQ closed a large UK public sector contract, retaining desktop product business and beating key competitors. The firm also stated that it won back “significant business” with one of the world’s largest multinational banking and finance service firms with its commercial EliteBook.
In the last reported quarter, HPQ’s commercial mobility segment, which includes tablets and detachables, saw strong double-digit growth YoY (year-over-year).
Printing business segment performance
In the printing segment, Japanese (EWJ) printing vendors continue to enjoy pricing advantages driven by a weak yen. Other factors affecting the performance of HPQ’s performance in this space include market contraction, weakness in emerging markets, and tough economic conditions in key countries.
HPQ dominates hardcopy peripherals market
As you can see in the above graph, HPQ continues to be a market leader in the worldwide hardcopy peripherals market with a share of approximately 40%. Canon (CAJ) is at a distant second place in this market, with a share of about 19%. Seiko Epson (SEKEY), Brother (BRTHY), and Korea’s (EWY) Samsung Electronics (SSNLF) are other players in this market.
In the next part, let’s analyze HPQ’s Supplies segment.