Reseller News

HPE New Zealand emerges as company files financial statements

HPE's reported sales revenue nearly halves year-on-year after splits and "spin-mergers" starting in 2015
  • Rob O'Neill (New Zealand Reseller News)
  • 04 April, 2018 10:47
New financial reports are shedding light on the new scale of the former Hewlett-Packard businesses.

New financial reports are shedding light on the new scale of the former Hewlett-Packard businesses.

Industry watchers can see the shape and scale of the new HP companies emerging after Hewlett Packard Enterprise (HPE) and HP New Zealand filed local accounts for the year ended 31 October 2017.

Hewlett-Packard New Zealand now operates the HPE business which separated from HP in 2015 and again from its CSC consulting services unit, which "spin-merged" to become DXC Technology in April 2017.

Year on year sales revenue fell from $245 million to $129.9 million for the year, while total revenue fell from $264.8 million to $140 million, according to the financial statements.

Profit before tax fell from $10.8 million to $3.4 million.

Total assets fell from $98.2 million to $43.2 million while total liabilities fell from $297.7 million to $96.6 million.

In February, Reseller News reported local redundancies at HPE in the wake of a global restructuring, dubbed HPE Next.

Sources said the local HPE consulting business had been “disestablished” and as many as 18 people were being made redundant.

HPE Next was a three-year program that would fundamentally redesign the company, a HPE spokesperson told Reseller News.

“The program includes both making investments and finding savings across our operations, manufacturing, IT systems and go-to-market, with the goal of setting HPE up to compete even more successfully in the years ahead.

“While we did not disclose a global headcount target, we said that about two-thirds of the overall program will be associated with workforce restructuring."

HP New Zealand, meanwhile, reported sales of $329,9 million, up from $288.5 million for the year ended 31 October 2017. Net profit was $8.7 million compared with $1.4 million.

DXC Technology has not reported its recent results.

In September last year HP and HPE separately celebrated 50 years of trading in New Zealand