By @SiliconANGLE
Publication Date: 2025-12-04 23:38:00
Hewlett Packard Enterprise Co. is acquiring more government and large enterprise customers as it tries to increase its presence in the artificial intelligence server segment, but that strategy has temporarily hurt its sales, it said today when presenting its latest financial results.
The company reported Fourth-quarter earnings before certain costs, such as stock compensation, of 62 cents per share, beating the analyst consensus of just 58 cents. But revenue for the period came in at just $9.68 billion, up 14% but below Wall Street’s target of $9.93 billion.
Revenue from HPE’s server business, which has grown rapidly over the past year thanks to increases in AI spending, surprisingly declined 5% during the quarter, to just $4.46 billion, missing the consensus estimate of $4.66 billion. The segment’s operating margin also fell short at just 9.8%, down from 11.6% a year earlier. Despite this, the company revealed that it has booked an additional $2 billion in AI orders…
