In a statement late Thursday afternoon, Palo-Alto, California-based HP Inc announced it intends to cut between 7,000 and 9,000 workers “through a combination of employee exits and voluntary early retirement.” It expects to complete the culling in the company’s 2022 fiscal year.
The personal computer and printer maker made the announcement at a meeting with Wall Street analysts headlined by incoming CEO Enrique Lores. According to CNN News, Lores follows outgoing President and CEO Dion Weisler, who announced in August he is stepping down due to “a family health matter” on November 1.
In announcing the restructuring plan, Lores said that HP is “taking bold and decisive actions as we embark on our next chapter. We see significant opportunities to create shareholder value and we will accomplish this by advancing our leadership, disrupting industries and aggressively transforming the way we work.”
The Associated Press is reporting that the workforce reductions come as the company is wrapping up a three-year restructuring plan that included the elimination of up to 5,000 jobs by the end of fiscal year 2019.
The company also says it anticipates diluted net earnings per share to come in at between $2.22 and $2.32 per share in fiscal year 2020 – compared to an average estimate of $2.23 by analysts polled by Bloomberg, according to Financial Times.
HP Inc shares are down about 10 percent year-to-date versus a 16 percent gain for the S&P 500.
