HP INC
For the period ended Apr 30, 2025. Filed May 29, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Apr 30, 2025 · Filed May 29, 2025
HPQ$28.46-3.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-01-31; filed 2025-02-28.
0000047217-25-000025
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-04-30; filed 2025-05-29.
0000047217-25-000043
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 124 previous paragraphs and 138 current paragraphs.
93 unchanged; 28 reworded; 14 added; 3 removed; 0 previous and 3 current paragraphs rearranged.
Tables are not compared: 9 previous and 9 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (14)
Current report
For the three months ended April 30, 2025, gross margin decreased by 2.9 percentage points primarily driven by products gross margin due to higher commodity and tariff costs, mix shifts towards Personal Systems and unfavorable currency impacts, partially offset by disciplined pricing actions. Services gross margin remained flat.
Current report
R&D expense decreased 8.0% and 4.4% for the three and six months ended April 30, 2025, respectively, primarily due to lower variable compensation.
Current report
SG&A expense increased 1.2% and 3.3% for the three and six months ended April 30, 2025, respectively, primarily due to higher litigation costs, partially offset by lower variable compensation.
Current report
During the three and six months ended April 30, 2025, we recorded $40 million and $34 million of net income tax benefits, respectively, related to discrete items in the provision for taxes. The three and six months ended April 30, 2025 included benefits of $19 million related to litigation charges and $24 million and $38 million related to restructuring charges, respectively. For the six months ended April 30, 2025, these benefits were partially offset by $15 million of uncertain tax position charges and $17 million related to changes in tax rates. In addition to the discrete items mentioned above, we recorded excess tax benefits of $15 million associated with stock options, restricted stock units and performance-adjusted restricted stock units for the six months ended April 30, 2025.
Current report
Commercial PS net revenue increased 8.7% primarily due to a 10.6% increase in units driven by market expansion while ASPs remained flat.
Current report
Personal Systems earnings from operations as a percentage of net revenue decreased by 1.5 percentage points. The decrease was driven by a decrease in gross margin, partially offset by a decrease in operating expenses as a percentage of revenue. Gross margin decreased primarily due to higher commodity and tariff costs as well as unfavorable currency impacts, partially offset by disciplined pricing actions. Operating expenses as a percentage of revenue decreased primarily driven by lower variable compensation.
Current report
Six months ended April 30, 2025 compared with six months ended April 30, 2024
Current report
Personal Systems net revenue increased 5.9% (increased 6.7% on a constant currency basis) for the six months ended April 30, 2025. The net revenue increase was primarily due to a 3.9% increase in ASPs and a 2.3% increase in PCs unit volume driven by Commercial PS. The increase in ASPs is primarily due to disciplined pricing actions and favorable mix shifts towards Commercial PS, partially offset by unfavorable currency impacts.
Current report
Personal Systems earnings from operations as a percentage of net revenue decreased by 1.1 percentage points driven by a decrease in gross margin, partially offset by a decrease in operating expenses as a percentage of revenue. Gross margin decreased primarily due to higher commodity and tariff costs as well as unfavorable currency impacts, partially offset by disciplined pricing actions. Operating expenses as a percentage of revenue decreased primarily driven by lower variable compensation as well as cost savings including Future Ready transformation savings.
Current report
Net revenue for Commercial Printing decreased 3.2%, primarily due to a 2.9% decrease in ASPs and a 1.6% decrease in printer unit volume due to demand softness. The decrease in ASPs was primarily driven by unfavorable market mix shifts and currency impacts.
Current report
Net revenue for Consumer Printing decreased 3.3%, primarily due to a 5.5% decrease in ASPs, partially offset by a 2.5% increase in printer unit volume, specifically Big Tank. The decrease in ASPs was primarily driven by unfavorable mix shifts and currency impacts.
Current report
Printing earnings from operations as a percentage of net revenue increased by 0.5 percentage points, due to a decrease in operating expenses as a percentage of revenue, partially offset by a decrease in gross margin. The decrease in operating expenses as a percentage of revenue is primarily due to lower variable compensation and the receipt of a government grant in the current period. The decrease in gross margin is primarily due to unfavorable mix shifts, higher tariff costs and currency impacts, partially offset by disciplined pricing actions.
Current report
Six months ended April 30, 2025 compared with six months ended April 30, 2024
Current report
In April 2025, HP issued $1.0 billion in aggregate principal amount of senior unsecured notes across various maturities. For more information on the new notes, see Note 9, “Borrowings”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Removed paragraphs (3)
Previous report
R&D expense for the three months ended January 31, 2025 primarily relates to investments in innovation and people and remained flat.
Previous report
SG&A expense increased 5.5% for the three months ended January 31, 2025 primarily due to increased investment in people, partially offset by disciplined cost management including Future Ready transformation savings.
Previous report
Printing earnings from operations as a percentage of net revenue decreased by 0.9 percentage points, due to a decrease in gross margin while operating expenses as a percentage of revenue remained flat. The decrease in gross margin is primarily due to competitive pricing in Commercial Printing, partially offset by cost savings including Future Ready transformation savings.
Reworded paragraphs (28)
Previous wording
In February 2025, new, substantial tariffs have been imposed on imports to the United States from China and we have taken actions to mitigate the effects of these tariffs. Other substantial tariffs on imports to the United States from certain countries and regions, including Canada, Mexico and the European Union, have been proposed and we are focused on continuing to evaluate and implement further mitigating actions, including potential supply chain resiliency movements, cost and pricing measures, if needed, as the tariff environment evolves. Should these or other proposed or incremental tariffs, including potential retaliatory actions imposed by other countries, be implemented and sustained for an extended period of time, as proposed, enacted or otherwise, they may have a significant adverse impact to our results of operations and cash flows to the extent our efforts do not fully mitigate the effects of such tariffs.
Current wording
In April 2025, new, substantial tariffs were imposed on imports to the United States. We continue to evaluate and implement further mitigating actions, including potential supply chain resiliency movements and cost and pricing measures, as the tariff environment evolves. During the six months ended April 30, 2025, we experienced higher commodity and tariff costs, which were not fully mitigated by pricing and other actions enacted during the period. Should these or other proposed or incremental tariffs, including potential retaliatory actions imposed by other countries, be implemented and sustained for an extended period of time, as proposed, enacted or otherwise, they may have a significant adverse impact to our results of operations and cash flows to the extent our efforts do not fully mitigate the effects of such tariffs.
Previous wording
We are also exposed to fluctuations in foreign currency exchange rates. We have a large global presence, with approximately 65% of our net revenue from outside the United States. For a further discussion of trends, uncertainties and other factors that could impact our operating results, see the section entitled “Risk Factors” in Item 1A of Part I in our Annual Report on Form 10-K for the fiscal year ended October 31, 2024.
Current wording
We are also exposed to fluctuations in foreign currency exchange rates. We have a large global presence, with approximately 65% of our net revenue from outside the United States. As a result, our financial results can be, and particularly in recent periods have been, negatively impacted by fluctuations in foreign currency exchange rates. For a further discussion of trends, uncertainties and other factors that could impact our operating results, see the section entitled “Risk Factors” in Item 1A of Part I in our Annual Report on Form 10-K for the fiscal year ended October 31, 2024.
Previous wording
MD&A is based on our Consolidated Condensed Financial Statements, which have been prepared in accordance with U.S. GAAP. The preparation of these financial statements requires management to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, net revenue and expenses, and the disclosure of contingent liabilities. Management believes that there have been no significant changes during the three months ended January 31, 2025 to the items that we disclosed as our critical accounting estimates in MD&A in our Annual Report on Form 10-K for the fiscal year ended October 31, 2024.
Current wording
MD&A is based on our Consolidated Condensed Financial Statements, which have been prepared in accordance with U.S. GAAP. The preparation of these financial statements requires management to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, net revenue and expenses, and the disclosure of contingent liabilities. Management believes that there have been no significant changes during the six months ended April 30, 2025 to the items that we disclosed as our critical accounting estimates in MD&A in our Annual Report on Form 10-K for the fiscal year ended October 31, 2024.
Previous wording
For the three months ended January 31, 2025, net revenue increased 2.4% (increased 3.3% on a constant currency basis) as compared to the prior-year period. U.S. net revenue increased 1.7% to $4.4 billion, and net revenue from international operations increased 2.8% to $9.1 billion. The increase in net revenue was driven by products net revenue due to Commercial PS and disciplined pricing as well as services net revenue due to support services on hardware devices, partially offset by unfavorable currency impacts.
Current wording
For the six months ended April 30, 2025, total net revenue increased 2.8% (increased 3.9% on a constant currency basis) as compared to the prior-year period. U.S. net revenue increased 3.7% to $9.1 billion, and net revenue from international operations increased 2.4% to $17.6 billion. The increase in net revenue was primarily driven by products net revenue due to increased units in Commercial PS as well as an increase in services net revenue due to support services on hardware devices, partially offset by a decline in Printing net revenue and unfavorable currency impacts.
Previous wording
For the three months ended January 31, 2025, gross margin decreased by 0.9 percentage points primarily driven by products gross margin due to higher commodity costs and unfavorable currency impacts, partially offset by disciplined cost management including Future Ready transformation savings. Services gross margin decreased due to unfavorable mix shifts.
Current wording
For the six months ended April 30, 2025, gross margin decreased 1.8 percentage points primarily driven by products gross margin due to higher commodity and tariff costs, mix shifts towards Personal Systems and unfavorable currency impacts, partially offset by disciplined pricing actions and cost savings including Future Ready transformation savings. Services gross margin decreased due to unfavorable mix shifts.
Previous wording
Restructuring and other charges for the three months ended January 31, 2025 primarily relate to the Fiscal 2023 Plan. For more information, see Note 3, “Restructuring and other charges”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Current wording
Restructuring and other charges increased $51 million and $58 million for the three and six months ended April 30, 2025, respectively, due to the February 2025 amendment of the Fiscal 2023 Plan. For more information, see Note 3, “Restructuring and other charges”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Previous wording
Acquisition and divestiture charges primarily include direct third-party professional and legal fees, integration and divestiture-related costs and non-cash adjustments to the fair value of certain acquired assets, such as inventory. Acquisition and divestiture charges for the three months ended January 31, 2025 decreased by $21 million primarily due to the fiscal year 2022 Poly acquisition and continuing integration progress during the prior period.
Current wording
Acquisition and divestiture charges primarily include direct third-party professional and legal fees, integration and divestiture-related costs, non-cash adjustments to the fair value of certain acquired assets, such as inventory. Acquisition and divestiture charges for the three and six months ended April 30, 2025 decreased by $5 million and $26 million, respectively, primarily due to reduced integration activities.
Previous wording
Amortization of intangible assets decreased 22.2% for the three months ended January 31, 2025 primarily due to a portion of intangible assets from prior period acquisitions being fully amortized.
Current wording
Amortization of intangible assets decreased for the three and six months ended April 30, 2025 and relates to intangible assets resulting from prior acquisitions.
Previous wording
Interest and other, net expense for the three months ended January 31, 2025 primarily relates to interest expense on debt and factoring costs and remained flat.
Current wording
Interest and other, net expense decreased $7 million and $8 million for the three and six months ended April 30, 2025, respectively, primarily due to lower interest expense on debt.
Previous wording
Our effective tax rate was 19.7% for the three months ended January 31, 2025, which did not materially differ from the U.S. federal statutory tax rate of 21%.
Current wording
Our effective tax rate was 19.8% for the three and six months ended April 30, 2025, which did not materially differ from the U.S. federal statutory tax rate of 21%.
Previous wording
Personal Systems net revenue increased 4.7% (increased 5.3% on a constant currency basis) for the three months ended January 31, 2025. The net revenue increase was primarily due to a 6.1% increase in average selling price (“ASPs”), partially offset by a 1.4% decrease in PCs unit volume driven by Consumer PS. The increase in ASPs is primarily due to disciplined pricing and mix shifts towards Commercial PS, partially offset by unfavorable currency impacts.
Current wording
Personal Systems net revenue increased 7.1% (increased 8.1% on a constant currency basis) for the three months ended April 30, 2025. The net revenue increase was primarily due to a 6.3% increase in PCs unit volume driven by Commercial PS and a 1.7% increase in average selling price (“ASPs”). The increase in ASPs is primarily due to disciplined pricing actions and favorable mix shifts towards Commercial PS, partially offset by unfavorable currency impacts.
Previous wording
Consumer PS net revenue decreased 6.7% primarily due to a 11.0% decrease in units as a result of our strategy to rebalance our portfolio to a more profitable mix, partially offset by 4.7% increase in ASPs. The increase in ASPs was primarily due to disciplined pricing and favorable mix shifts, partially offset by unfavorable currency impacts.
Current wording
Consumer PS net revenue increased 2.5% primarily due to a 4.2% increase in ASPs, partially offset by a 1.7% decrease in units as a result of our strategy to rebalance our portfolio to a more profitable mix. The increase in ASPs was primarily due to disciplined pricing actions and favorable mix shifts towards premium, partially offset by unfavorable currency impacts.
Previous wording
Commercial PS net revenue increased 9.9% primarily due to a 5.7% increase in units driven by market recovery and a 4.1% increase in ASPs. The increase in ASPs is primarily due to favorable mix shifts towards premium and disciplined pricing, partially offset by unfavorable currency impacts.
Current wording
Commercial PS net revenue increased 9.3% primarily due to an 8.2% increase in PC unit volume driven by market expansion, and a 1.8% increase in ASPs. The increase in ASPs is primarily due to favorable mix shifts and disciplined pricing actions, partially offset by unfavorable currency impacts.
Previous wording
Printing net revenue decreased 2.4% (decreased 0.9% on a constant currency basis) for the three months ended January 31, 2025. The decrease in net revenue was driven by Commercial Printing as well as net unfavorable currency impacts. Net revenue for Supplies decreased 1.3%, primarily due to decline in the installed base and usage as well as unfavorable currency impacts, partially offset by disciplined pricing. Printer unit volume increased 4.7% primarily driven by Big Tank, partially offset by demand softness, especially in China. Printer hardware ASPs decreased 9.3% due to competitive pricing, unfavorable mix shifts, and unfavorable currency impacts.
Current wording
Printing net revenue decreased 4.3% (decreased 2.6% on a constant currency basis) for the three months ended April 30, 2025. The decrease in net revenue was driven by Supplies and Commercial Printing as well as net unfavorable currency impacts. Net revenue for Supplies decreased 4.9%, primarily due to decline in the installed base and usage as well as unfavorable currency impacts, partially offset by disciplined pricing. Printer hardware ASPs decreased by 5.0% due to unfavorable mix shifts towards Consumer Printing and currency impacts, while printer unit volume increased by 1.0%, primarily driven by Big Tank.
Previous wording
Net revenue for Commercial Printing decreased 6.8%, primarily due to a 8.7% decrease in ASPs, while printer unit volumes remained flat. The decrease in ASPs was primarily driven by competitive pricing and unfavorable currency impacts.
Current wording
Net revenue for Commercial Printing decreased by 5.0%, primarily due to a 5.9% decrease in ASP’s while printer unit volume remained flat. The decrease in ASPs was primarily driven by competitive pricing and unfavorable currency impacts.
Previous wording
Net revenue for Consumer Printing increased 4.9%, primarily due to a 7.3% increase in printer unit volume, specifically Big Tank, partially offset by a 2.4% decrease in ASP’s. The decrease in ASPs was primarily driven by unfavorable currency impacts and mix shifts.
Current wording
Net revenue for Consumer Printing increased 0.7%, primarily due to a 5.0% increase in printer unit volume, specifically Big Tank, partially offset by a 4.1% decrease in ASPs. The decrease in ASPs was primarily driven by unfavorable currency impacts, competitive pricing and mix shifts.
Previous wording
Personal Systems earnings from operations as a percentage of net revenue decreased by 0.6 percentage points. The decrease was driven by a decrease in gross margin while operating expenses as a percentage of revenue remained flat. Gross margin decreased primarily due to higher commodity costs, partially offset by favorable mix shifts towards Commercial PS and cost savings including Future Ready transformation savings.
Current wording
Printing earnings from operations as a percentage of net revenue decreased by 0.3 percentage points. The decrease was driven by a decrease in gross margin, partially offset by a decrease in operating expenses as a percentage of revenue. The decrease in gross margin is primarily due to unfavorable mix shifts and higher tariff costs, partially offset by cost savings including Future Ready transformation savings. Operating expenses as a percentage of revenue decreased primarily due to lower variable compensation and the receipt of a government grant in the current period.
Previous wording
The loss from operations in Corporate Investments for the three months ended January 31, 2025 was primarily due to expenses associated with our incubation projects and investments in digital enablement.
Current wording
The loss from operations in Corporate Investments for the three and six months ended April 30, 2025 was primarily due to expenses associated with our incubation projects and investments in digital enablement.
Previous wording
Compared to the corresponding period in fiscal year 2024, net cash provided by operating activities increased $0.3 billion for the three months ended January 31, 2025, primarily due to a favorable cash conversion cycle.
Current wording
Compared to the corresponding period in fiscal year 2024, net cash provided by operating activities decreased $0.3 billion for the six months ended April 30, 2025, primarily due to a unfavorable cash conversion cycle, lower net earnings, partially offset by changes in receivables from contract manufacturers.
Previous wording
DSO measures the average number of days our receivables are outstanding. DSO is calculated by dividing ending accounts receivable, net of allowance for credit losses, by a 90-day average net revenue. The increase in DSO was primarily due to extended payment terms and lower factoring.
Current wording
DSO measures the average number of days our receivables are outstanding. DSO is calculated by dividing ending accounts receivable, net of allowance for credit losses, by a 90-day average net revenue. The decrease in DSO was primarily due to favorable revenue linearity.
Previous wording
DOS measures the average number of days from procurement to sale of our product. DOS is calculated by dividing ending inventory by a 90-day average cost of goods sold. The increase in DOS is primarily due to strategic buys in Personal Systems, purchases of finished goods to mitigate potential tariff impacts and higher in-transit shipments.
Current wording
DOS measures the average number of days from procurement to sale of our product. DOS is calculated by dividing ending inventory by a 90-day average cost of goods sold and remained flat.
Previous wording
DPO measures the average number of days our accounts payable balances are outstanding. DPO is calculated by dividing ending accounts payable by a 90-day average cost of goods sold. The increase in DPO was primarily due to favorable changes in payment terms and incremental strategic buys in Personal Systems.
Current wording
DPO measures the average number of days our accounts payable balances are outstanding. DPO is calculated by dividing ending accounts payable by a 90-day average cost of goods sold. The decrease in DPO was primarily due to lower purchasing volumes.
Previous wording
Compared to the corresponding period in fiscal year 2024, net cash used in investing activities increased by $0.1 billion for the three months ended January 31, 2025, primarily due to higher investment in property, plant, equipment and purchased intangible assets of $0.1 billion.
Current wording
Compared to the corresponding period in fiscal year 2024, net cash used in investing activities increased by $0.9 billion for the six months ended April 30, 2025, primarily due to collateral posted for derivative instruments of $0.5 billion, higher investment in property, plant, equipment and purchased intangible of $0.2 billion, and payments made in connection with business acquisitions of $0.1 billion.
Previous wording
Compared to the corresponding period in fiscal year 2024, net cash used in financing activities decreased by $0.3 billion for the three months ended January 31, 2025, primarily due to a $0.4 billion decrease in share repurchases, partially offset by a $0.1 billion issuance of commercial paper in the prior period.
Current wording
Compared to the corresponding period in fiscal year 2024, net cash provided by financing activities increased by $1.3 billion for the six months ended April 30, 2025, primarily due to a $1.0 billion increase in proceeds from debt and a $0.4 billion decrease in share repurchases.
Previous wording
During the three months ended January 31, 2025, HP returned $0.4 billion to the shareholders in the form of cash dividends of $0.3 billion and share repurchases of $0.1 billion. As of January 31, 2025, HP had approximately $9.2 billion remaining under the share repurchase authorizations approved by HP’s Board of Directors.
Current wording
During the six months ended April 30, 2025, HP returned $0.7 billion to shareholders in the form of cash dividends of $0.5 billion and share repurchases of $0.2 billion. As of April 30, 2025, HP had approximately $9.1 billion remaining under the share repurchase authorization approved by HP’s Board of Directors.
Previous wording
As of January 31, 2025, we had available borrowing resources of $1.0 billion from uncommitted lines of credit in addition to funds available under the revolving credit facility.
Current wording
As of April 30, 2025, we had available borrowing resources of $1.1 billion from uncommitted lines of credit in addition to funds available under the revolving credit facility.
Previous wording
As of January 31, 2025, we anticipate making contributions for the remainder of fiscal year 2025 of approximately $28.0 million to our non-U.S. pension plans and $23.0 million to cover benefit payments to U.S. non-qualified pension plan participants and $2.0 million to cover benefit claims for our post-retirement benefit plans. Our policy is to fund our pension plans so that we meet the minimum contribution required by local government, funding and taxing authorities. For more information on our retirement and post-retirement benefit plans, see Note 4, “Retirement and Post-Retirement Benefit Plans”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Current wording
As of April 30, 2025, we anticipate making contributions for the remainder of fiscal year 2025 of approximately $15.0 million to our non-U.S. pension plans and $17.0 million to cover benefit payments to U.S. non-qualified pension plan participants. Our policy is to fund our pension plans so that we meet the minimum contribution required by local government, funding and taxing authorities. For more information on our retirement and post-retirement benefit plans, see Note 4, “Retirement and Post-Retirement Benefit Plans”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Previous wording
As a result of our approved restructuring plans, we expect to make future cash payments of approximately $0.4 billion in fiscal year 2025. For more information on our restructuring activities that are part of our cost improvements, see Note 3, “Restructuring and Other Charges”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Current wording
As a result of our approved restructuring plans, we expect to make future cash payments of approximately $0.3 billion in fiscal year 2025. For more information on our restructuring activities that are part of our cost improvements, see Note 3, “Restructuring and Other Charges”, to the Consolidated Condensed Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
For the three months ended April 30, 2025, net revenue increased 3.3% (increased 4.5% on a constant currency basis) as compared to the prior-year period. U.S. net revenue increased 5.6% to $4.7 billion, and net revenue from international operations increased 2.0% to $8.5 billion. The increase in net revenue was primarily driven by products net revenue due to increased units in Commercial PS as well as an increase in services net revenue due to support services on hardware devices, partially offset by a decline in Printing net revenue and unfavorable currency impacts.
Current report — wording carried from elsewhere
Consumer PS net revenue decreased 2.6% due to a 7.0% decline in PC unit volume as a result of our strategy to rebalance our portfolio to a more profitable mix, partially offset by a 4.6% increase in ASPs. The increase in ASPs is primarily driven by disciplined pricing actions and favorable mix shifts, partially offset by unfavorable currency impacts.
Current report — wording carried from elsewhere
Printing net revenue decreased 3.4% (decreased 1.7% on a constant currency basis) for the six months ended April 30, 2025. The decrease in net revenue was driven by Supplies and Commercial Printing as well as net unfavorable foreign currency impacts. Net revenue for Supplies decreased 3.1%, primarily due to decline in the installed base and usage as well as unfavorable currency impacts, partially offset by disciplined pricing. Printer hardware ASPs decreased 7.3% due to unfavorable mix shifts towards Consumer Printing and currency impacts, while printer unit volume increased 2.9%, primarily driven by Big Tank.