HP tops Wall Street's earnings, revenue expectations

CNBC.com with Reuters
Ports on a storage and server tower are displayed during the HP Discover 2013 conference in Las Vegas.
Jacob Kepler | Bloomberg | Getty Images

Hewlett-Packard reported quarterly earnings and revenue that beat analysts' expectations on Thursday.

After the earnings announcement, the company's shares were roughly flat. What is HP's stock doing now? (Click here to track its shares following the report.)

Net earnings were $1.4 billion or 74 cents per share, up from $1.2 billion or 63 cents a share. 

Excluding items, the company earned $1.7 billion, or 90 cents per share, up from $1.6 billion, or 82 cents a share, in the year-earlier period.

Revenue decreased slightly to $28.15 billion from around $28.36 billion a year ago.

Wall Street had forecast Hewlett-Packard would deliver earnings of 84 cents a share on revenue of $27.19 billion, according to a consensus estimate from Thomson Reuters.

Falling PC sales did not affect the company's sales as much as analysts had feared.

Revenues in its personal systems group ticked 4 percent higher, despite a drop in desktop sales. 

David Garrity, a principal at GVA Research, called this increase a "major surprise."

"Obviously, it's nice to see Hewlett not having to go in and report a 10th quarter of year-over-year revenue declines," Garrity said.

For the fiscal 2014 second quarter, the company estimates adjusted EPS to be in the range of 85 cents to 89 cents and full-year adjusted EPS to be in the range of $3.60 to $3.75. The current quarter forecast fell slightly short of estimates while the full-year outlook was in line with estimates.

HP continues to be plagued by issues related to its 2011 acquisition of Autonomy, whose value it wrote down after HP accused it of concealing fraudulent accounting practices.

(Read more: HP's $18 million woman: Whitman earned big pay in 2013)

Once HP's earnings call begins, investors will be watching for updates on the Autonomy situation as well as continued signs of a turnaround for HP.