Shares of Hewlett Packard Enterprise tanked about 6 percent after hours on Thursday after the company reported lower-than-expected quarterly revenue and slashed its outlook for the year.
The company reported mixed fiscal first quarter results after the bell, with earnings of 45 cents per share, adjusted, on revenues of $11.41 billion. Analysts polled by Thomson Reuters expected earnings of 44 cents per share on revenue of $12.07 billion.
Revenue was down 10 percent from the year-ago period, amid downticks in the company's software and enterprise services. Enterprise networking was a particularly sore spot for the company, with sales down 33 percent in the quarter.
The company also said it will need to invest to overcome unexpected headwinds during the rest of the year, including pressure from foreign exchange rates, higher commodities pricing, and some "near-term execution issues." The company reduced its outlook for the year by 12 cents per share, to continue making the "appropriate investments."
"I believe HPE remains on the right track," CEO Meg Whitman said in a statement. "The steps we're taking to strengthen our portfolio, streamline our organization, and build the right leadership team, are setting us up to win long into the future."
Hewlett Packard Enterprise, which sells commercial computer systems, software and tech services, is half of the company formerly known as Hewlett-Packard. The other half, sells personal computers and printers.
— CNBC's Everett Rosenfeld contributed to this report.