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UNITED ~~STATES~~STATESSECURITIES AND EXCHANGE COMMISSIONWASHINGTON, D.C. 20549

~~SECURITIES AND EXCHANGE COMMISSION~~_________________________________________

Washington, D.C. 20549

________________________________

FORM 10-Q

(Mark One)
☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended
July 31, 2025
April 30, 2026
Or
☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission file number
1-4423

_________________________________________

HP INC.

(Exact name of registrant as specified in its charter)


Delaware		94-1081436
(State or other jurisdiction of incorporation or organization)		(I.R.S. employer identification no.)
1501 Page Mill Road		94304
Palo Alto,	California	(Zip code)
(Address of principal executive offices)

(650) 857-1501

(Registrant’s telephone number, including area code)

~~_______________________________________~~_________________________________________

Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value $0.01 per share	HPQ	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 (the “Exchange Act”) during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☒ Accelerated filer ☐

Non-accelerated filer ☐ Smaller reporting company ☐

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares of HP Inc. common stock outstanding as of ~~August~~May 2220, ~~2025~~2026 was ~~934~~914,~~701~~522,~~851~~690 shares.

HP INC.

Form 10-Q

For the Quarterly Period ended ~~July~~April 3130, ~~2025~~2026

Table of Contents

		Page
Forward-Looking Statements		3
Part I. Financial Information
Item 1.	Financial Statements and Supplementary Data	4
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	3738
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	5152
Item 4.	Controls and Procedures	5152
Part II. Other Information
Item 1.	Legal Proceedings	5253
Item 1A.	Risk Factors	5253
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	5354
Item 3.	Defaults Upon Senior Securities	5354
Item 4.	Mine Safety Disclosures	5354
Item 5.	Other Information	5354
Item 6.	Exhibits	5354
Exhibit Index		5455
Signature		5657

In this report on Form 10-Q, for all periods presented, “we”, “us”, “our”, the “company”, the “Company”, “HP” and “HP Inc.” refer to HP Inc. (formerly Hewlett-Packard Company) and its consolidated subsidiaries.

Table of Contents

Forward-Looking Statements

This Quarterly Report on Form 10-Q, including “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Item 2 of Part I, contains forward-looking statements based on current expectations and assumptions that involve risks and uncertainties. If the risks or uncertainties ever materialize or the assumptions prove incorrect, they could affect the business and results of operations of HP which may differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including, but not limited to, projections of net revenue, margins, expenses, effective tax rates, net earnings, net earnings per share, cash flows, benefit plan funding, deferred taxes, share repurchases, foreign currency exchange rates or other financial items; any projections of the amount, timing or impact of cost savings or restructuring and other charges, planned structural cost reductions and productivity initiatives; any statements of the plans, strategies and objectives of management for future operations, including, but not limited to, our business model and transformation, our sustainability goals, our go-to-market strategy, the execution of restructuring plans and any resulting cost savings (including the Fiscal ~~2023~~2026 Plan (as defined herein)), net revenue or profitability improvements or other financial impacts; any statements concerning the expected development, demand, performance, market share or competitive performance relating to products or services; any statements concerning potential supply constraints, component shortages, manufacturing disruptions or logistics challenges; any statements regarding current or future macroeconomic trends or events, including global trade policies, and the impact of those trends and events on HP and its financial performance; any statements regarding pending investigations, claims, disputes or other litigation matters; any statements of expectation or belief as to the timing and expected benefits of acquisitions and other business combination and investment transactions; and any statements of assumptions underlying any of the foregoing. Forward-looking statements can also generally be identified by words such as “future,” “anticipates,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “projects,” “will,” “would,” “could,” “can,” “may,” and similar terms. Risks, uncertainties and assumptions that could affect our business and results of operations include factors relating to HP’s ability to execute on its strategic plans, including the previously announced initiatives, business model changes and transformation; the development and transition of new products and services and the enhancement of existing products and services to meet evolving customer needs and respond to emerging technological trends, including artificial intelligence; the use of artificial intelligence; the impact of macroeconomic and geopolitical trends, changes and events, including global trade policies, the ongoing military conflict in Ukraine, continued instability in the Middle East or tensions in the Taiwan Strait and South China Sea and the regional and global ramifications of these events; volatility in global capital markets and foreign currency, ~~increases~~changes in benchmark interest rates, the effects of inflation and instability of financial institutions; risks associated with HP’s international operations and the effects of business disruption events, including those resulting from climate change; the need to manage (and reliance on) third-party suppliers, including with respect to increasing memory and storage costs, supply constraints and component shortages, and the need to manage HP’s global, multi-tier distribution network and potential misuse of pricing programs by HP’s channel partners, adapt to new or changing marketplaces and effectively deliver HP’s services; the execution and performance of contracts by HP and its suppliers, customers, clients and partners, including logistical challenges with respect to such execution and performance; the competitive pressures faced by HP’s businesses; the impact of third-party claims of IP infringement; successfully innovating, developing and executing HP’s go-to-market strategy, including online, omnichannel and contractual sales, in an evolving distribution, reseller and customer landscape; successfully competing and maintaining the value proposition of HP’s products, including supplies and services; challenges to HP’s ability to accurately forecast inventories, demand and pricing, which may be due to HP’s multi-tiered channel, sales of HP’s products to unauthorized resellers or unauthorized resale of HP’s products or our uneven sales cycle; the hiring and retention of key employees, changes in our management team and execution of succession plans; the results of our restructuring plans (including the Fiscal ~~2023~~2026 Plan), including estimates and assumptions related to the cost (including any possible disruption of HP’s business) and the anticipated benefits of our restructuring plans; the protection of HP’s intellectual property assets, including intellectual property licensed from third parties; disruptions in operations from system security risks, data protection breaches, or cyberattacks; HP’s ability to maintain its credit rating, satisfy its debt obligations and complete any contemplated share repurchases, other capital return programs or other strategic transactions; changes in estimates and assumptions HP makes in connection with the preparation of its financial statements; the impact of changes to federal, state, local and foreign laws and regulations, including environmental regulations and tax laws; integration and other risks associated with business combination and investment transactions; our aspirations related to environmental, ~~social~~ and ~~governance~~societal matters; potential impacts, liabilities and costs from pending or potential investigations, claims and disputes; the effectiveness of our internal control over financial reporting; and other risks that are described herein, as well as the risks discussed in Item 1A “Risk Factors” of Part I in our Annual Report on Form 10-K for the fiscal year ended October 31, ~~2024~~2025 and that are otherwise described or updated from time to time in HP’s other filings with the Securities and Exchange Commission (the “SEC”). HP’s Fiscal ~~2023~~2026 Plan includes HP'’s efforts to ~~take advantage of future growth opportunities, including but not limited to, investments to~~ drive ~~growth,~~customer ~~investments in our people~~satisfaction, ~~improving~~ product ~~mix,~~innovation ~~driving structural cost savings~~ and ~~other~~ productivity ~~measures.~~primarily ~~Structural~~through ~~cost~~artificial ~~savings~~intelligence ~~represent~~adoption ~~gross~~and ~~reductions~~enablement inand ~~costs~~the ~~driven~~resulting ~~by operational efficiency~~efficiencies, ~~digital~~including ~~transformation,~~those ~~and~~that ~~portfolio~~enable ~~optimization.~~a ~~These~~reduction ~~initiatives~~in ~~include but are not limited to~~ workforce. ~~reductions,~~Anticipated ~~platform~~cost ~~simplification,~~savings ~~programs~~associated ~~consolidation~~with ~~and~~the ~~productivity~~Fiscal ~~measures~~2026 ~~undertaken~~Plan byrepresent ~~HP,~~expected ~~which~~gross HPreductions ~~expects~~in tocosts befrom ~~sustainable~~these ~~in the longer-term~~measures. These ~~structural~~ cost savings are net of any new recurring costs resulting from these initiatives and exclude one-time investments to generate such savings. HP’s expectations on the longer-term sustainability of such ~~structural~~ cost savings are based on its current business operations and market dynamics and could be significantly impacted by various factors, including but not limited to HP’s evolving business models, future investment decisions, market environment and technology landscape. The forward-looking statements in this report are made as of the date of this filing and HP assumes no obligation and does not intend to update these forward-looking statements.

Table of Contents

Part I. Financial Information

ITEM 1. Financial Statements and Supplementary Data.

~~Index~~Table of Contents

			Page
Condensed Consolidated Statements of Earnings for the three and nine months ended July 31, 2025 and 2024 (Unaudited)			5
Condensed Consolidated Statements of Earnings for the three and six months ended April 30, 2026 and 2025 (Unaudited)			5
Condensed Consolidated Statements of Comprehensive Income for the three and nine months ended July 31, 2025 and 2024 (Unaudited)			6
Condensed Consolidated Statements of Comprehensive Income (Loss) for the three and six months ended April 30, 2026 and 2025 (Unaudited)			6
Condensed Consolidated Balance Sheets as of July 31, 2025 and October 31, 2024 (Unaudited)			7
Condensed Consolidated Balance Sheets as of April 30, 2026 and October 31, 2025 (Unaudited)			7
Condensed Consolidated Statements of Cash Flows for the nine months ended July 31, 2025 and 2024 (Unaudited)			8
Condensed Consolidated Statements of Cash Flows for the six months ended April 30, 2026 and 2025 (Unaudited)			8
Condensed Consolidated Statements of Stockholders’ Deficit (Unaudited)			9
Notes to Condensed Consolidated Financial Statements (Unaudited)			1110
Note 1: Basis of Presentation			1110
Note 2: Segment Information			1211
Note 3: Restructuring and Other Charges			14
Note 4: Taxes on Earnings			16
Note 5: Supplementary Financial Information			17
Note 6: Fair Value			21
Note 7: Financial Instruments			23
Note 8: Borrowings			28
Note 9: Stockholders’ Deficit			30
Note 10: Earnings Per Share			32
Note 11: Litigation and Contingencies			32
Note 12: Guarantees, Indemnifications and Warranties			3635
Note 13: Commitments			37

Table of Contents

HP INC.

Condensed Consolidated Statements of Earnings

(Unaudited)

Three months ended July 31

Nine months ended July 31

Three months ended April 30

Six months ended April 30

2025

2024

2025

2024

2026

2025

2026

2025

In millions, except per share amounts

Net revenue:

Products

13,~~114~~563

12,~~750~~423

3827,~~232~~161

3725,~~212~~118

Services

~~818~~845

~~769~~797

21,~~424~~685

21,~~292~~606

Total net revenue

1314,~~932~~408

13,~~519~~220

4028,~~656~~846

3926,~~504~~724

Cost of net revenue:

Products

10,~~599~~918

10,~~164~~007

3022,~~800~~056

2920,~~359~~201

Services

~~482~~474

~~449~~474

~~1,426~~939

~~1,328~~944

Total cost of net revenue

11,~~081~~392

10,~~613~~481

3222,~~226~~995

3021,~~687~~145

Gross profit

23,~~851~~016

2,~~906~~739

85,~~430~~851

85,~~817~~579

Research and development

~~406~~432

~~413~~401

~~1,204~~824

~~1,248~~798

Selling, general and administrative

1,~~452~~514

1,~~404~~480

43,~~391~~018

42,~~249~~939

Restructuring and other charges

~~110~~365

46122

~~302~~491

~~180~~192

Acquisition and divestiture charges

2217

312

7123

Amortization of intangible assets

~~159~~89

8165

~~287~~145

~~242~~128

Total operating expenses

2,~~135~~404

12,~~966~~085

64,~~215~~480

54,~~990~~080

Earnings from operations

~~716~~612

~~940~~654

21,~~215~~371

21,~~827~~499

Interest and other, net

(92119)

(~~113~~148)

(~~381~~207)

(~~410~~289)

Earnings before taxes

~~624~~493

~~827~~506

1,~~834~~164

21,~~417~~210

Benefit from (provision for) taxes

139

(187)

(100)

(548)

Provision for taxes

(43)

(100)

(169)

(239)

Net earnings

~~763~~450

~~640~~406

~~1,734~~995

~~1,869~~971

Net earnings per share:

Basic

0.8149

0.6543

1.8308

1.9002

Diluted

0.8049

0.6542

1.8207

1.8802

Weighted-average shares used to compute net earnings per share:

Basic

~~947~~922

~~979~~950

~~948~~924

~~986~~949

Diluted

~~954~~925

~~990~~956

~~955~~928

~~994~~956

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

Table of Contents

HP INC.

Condensed Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)

	Three months ended July 31				Nine months ended July 31
	Three months ended April 30				Six months ended April 30
	2025		2024		2025		2024
	2026		2025		2026		2025
	In millions
Net earnings	$	~~763~~450	$	~~640~~406	$	~~1,734~~995	$	~~1,869~~971
Other comprehensive income (loss) before taxes:
Change in unrealized components of available-for-sale debt securities:
Unrealized gains arising during the period	5—		32		111		76
Change in unrealized components of cash flow hedges:
Unrealized gains (losses) arising during the period	59106		(36692)		(~~301~~147)		(47360)
Losses (gains) reclassified into earnings	~~202~~94		(87148)		11101		(~~251~~191)
	261		(123)		(290)		(298)
	200		(840)		(46)		(551)
Change in unrealized components of defined benefit plans:
Unrealized (losses) gains arising during the period	(7)		—		(8)		13
Unrealized (losses) arising during the period	—		(2)		(34)		(1)
Amortization of actuarial loss and prior service benefit	5		15		159		510
Curtailments, settlements and other	2(1)		1		2		2—
	—		2		9		20
	4		4		(23)		9
Change in cumulative translation adjustment	(14)		1130		1614		2517
Other comprehensive income (loss) before taxes	~~265~~200		(~~107~~804)		(~~254~~54)		(~~246~~519)
(Provision for) benefit from taxes	(6347)		24165		4710		54110
Other comprehensive income (loss), net of taxes	~~202~~153		(83639)		(~~207~~44)		(~~192~~409)
Comprehensive income	$	965	$	557	$	1,527	$	1,677
Comprehensive income (loss)	$	603	$	(233)	$	951	$	562

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

Table of Contents

HP INC.

Condensed Consolidated Balance Sheets

(Unaudited)

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions, except par value
ASSETS
Current assets:
Cash, cash equivalents and restricted cash	$	23,~~874~~703	$	3,~~253~~705
Accounts receivable, net of allowance for credit losses of $83 as of July 31, 2025 and October 31, 2024	5,123		5,117
Accounts receivable, net of allowance for credit losses of $58 and $83 as of April 30, 2026 and October 31, 2025	6,125		5,692
Inventory	89,~~356~~203		78,~~720~~512
Other current assets	4,~~221~~953		4,~~670~~544
Total current assets	2023,~~574~~984		2022,~~760~~453
Property, plant and equipment, net	23,~~993~~079		23,~~914~~049
Goodwill	8,~~714~~730		8,~~627~~706
Other non-current assets	7,~~573~~143		7,~~608~~561
Total assets	$	3942,~~854~~936	$	3941,~~909~~769
LIABILITIES AND STOCKHOLDERS’ DEFICIT
Current liabilities:
Notes payable and short-term borrowings	$	~~820~~810	$	~~1,406~~845
Accounts payable	1619,~~985~~173		1618,~~903~~051
Other current liabilities	10,~~059~~223		10,~~378~~362
Total current liabilities	2730,~~864~~206		2829,~~687~~258
Long-term debt	8,~~782~~856		8,~~263~~821
Other non-current liabilities	4,~~109~~018		4,~~282~~036
Stockholders’ deficit:
Preferred stock, $0.01 par value (300 shares authorized; none issued)	—		—
Common stock, $0.01 par value (9,600 shares authorized; 939 shares issued and outstanding as of July 31, 2025 and October 31, 2024)	9		9
Common stock, $0.01 par value (9,600 shares authorized; 914 and 921 shares issued and outstanding as of April 30, 2026 and October 31, 2025)	9		9
Additional paid-in capital	2,~~091~~308		12,~~778~~129
Accumulated deficit	(21,~~360~~960)		(2,~~676~~027)
Accumulated other comprehensive loss	(~~641~~501)		(~~434~~457)
Total stockholders’ deficit	(~~901~~144)		(~~1,323~~346)
Total liabilities and stockholders’ deficit	$	3942,~~854~~936	$	3941,~~909~~769

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

Table of Contents

HP INC.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

	Nine months ended July 31
	Six months ended April 30
	2025		2024
	2026		2025
	In millions
Cash flows from operating activities:
Net earnings	$	~~1,734~~995	$	~~1,869~~971
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation, amortization and impairment	~~708~~478		~~622~~402
Stock-based compensation expense	~~432~~294		~~367~~332
Restructuring and other charges	~~302~~491		~~180~~192
Deferred taxes on earnings	(6768)		69(83)
Other, net	~~103~~22		~~(24)~~72
Changes in operating assets and liabilities, net of acquisitions:
Changes in operating assets and liabilities, net of divestitures:
Accounts receivable	54(466)		~~(447)~~851
Inventory	(~~671~~735)		(~~953~~472)
Accounts payable	941,137		(1,~~442~~699)
Net investment in leases related to integrated financing	(7149)		(~~123~~48)
Taxes on earnings	(~~360~~269)		(89121)
Restructuring and other	(~~238~~191)		(~~204~~149)
Other assets and liabilities	53(330)		~~(583)~~164
Net cash provided by operating activities	21,~~073~~309		~~2,126~~412
Cash flows from investing activities:
Investment in property, plant, equipment and purchased intangible	(~~700~~403)		(~~439~~485)
Purchases of available-for-sale securities and other investments	(2319)		—(6)
Maturities and sales of available-for-sale securities and other investments	6925		—14
Collateral posted for derivative instruments	(343)		(60)
Collateral returned (posted) for derivative instruments	98		(540)
Payment made in connection with business acquisitions, net of cash acquired	(116)		(15)
Payments made in connection with business acquisitions, net of cash acquired	(10)		(116)
Net cash used in investing activities	(1,113)		(514)
Proceeds from business divestitures, net	26		—
Net cash used in investing activities	(283)		(1,133)
Cash flows from financing activities:
Proceeds from debt, net of issuance costs	~~1,248~~191		~~266~~1,158
Payment of debt	(~~1,312~~168)		(~~153~~102)
Stock-based award activities and others	(~~113~~83)		(67118)
Repurchase of common stock	(~~350~~425)		(1,200)
Cash dividends paid	(~~818~~551)		(~~812~~546)
Settlement of cash flow hedges	6—		—6
Net cash used in financing activities	(1,339)		(1,966)
Net cash (used in) provided by financing activities	(1,036)		198
Decrease in cash, cash equivalents and restricted cash	(~~379~~10)		(~~354~~523)
Cash, cash equivalents and restricted cash at beginning of period	3,253		3,232
Cash, cash equivalents and restricted cash at beginning of period (1)	3,713		3,253
Cash, cash equivalents and restricted cash at end of period	$	23,~~874~~703	$	2,~~878~~730

(1) Includes cash held for sale of $8 million recorded within Other current assets as of October 31, 2025.

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

Table of Contents

HP INC.

Condensed Consolidated Statements of Stockholders’ Deficit

(Unaudited)

	Common Stock			AdditionalPaid-in Capital				AccumulatedOtherComprehensive Loss		Total Stockholders’ Deficit
	Number of Shares	Par Value				Accumulated Deficit
	In millions, except number of shares in thousands
Balance as of October 31, 2024	938,989	$	9	$	1,778	$	(2,676)	$	(434)	$	(1,323)
Balance as of October 31, 2025	921,149	$	9	$	2,129	$	(2,027)	$	(457)	$	(346)
Net earnings	—	—		—		~~565~~545		—		~~565~~545
Other comprehensive income, net of taxes	—	—		—		—		230		230
Other comprehensive loss, net of taxes	—	—		—		—		(197)		(197)
Comprehensive income	—	—		—		—		—		~~795~~348
Issuance of common stock in connection with employee stock plans and other	89,~~405~~385	—		(9273)		—		—		(9273)
Repurchases of common stock (Note 9)	(213,~~734~~360)	—		(431)		(93294)		—		(97325)
Cash dividends ($0.58 per common share)	—	—		—		(547)		—		(547)
Cash dividends ($0.60 per common share)	—	—		—		(552)		—		(552)
Stock-based compensation expense	—	—		~~192~~182		—		—		~~192~~182
Balance as of January 31, 2025	944,660	$	9	$	1,874	$	(2,751)	$	(204)	$	(1,072)
Balance as of January 31, 2026	917,174	$	9	$	2,207	$	(2,328)	$	(654)	$	(766)
Net earnings	—	—		—		~~406~~450		—		~~406~~450
Other comprehensive loss, net of taxes	—	—		—		—		(639)		(639)
Other comprehensive income, net of taxes	—	—		—		—		153		153
Comprehensive loss	—	—		—		—		—		(233)
Comprehensive income	—	—		—		—		—		603
Issuance of common stock in connection with employee stock plans and other	~~667~~2,213	—		(92)		—		—		(92)
Repurchases of common stock (Note 9)	(34,~~118~~977)	—		(612)		(9783)		—		(~~103~~95)
Cash dividends	—	—		—		1		—		1
Stock-based compensation expense	—	—		~~140~~115		—		—		~~140~~115
Balance as of April 30, 2025	942,209	$	9	$	1,999	$	(2,441)	$	(843)	$	(1,276)
Balance as of April 30, 2026	914,410	$	9	$	2,308	$	(1,960)	$	(501)	$	(144)
Net earnings	—	—		—		763		—		763
Other comprehensive income, net of taxes	—	—		—		—		202		202
Comprehensive income	—	—		—		—		—		965
Issuance of common stock in connection with employee stock plans and other	2,057	—		5		—		—		5
Repurchases of common stock (Note 9)	(5,501)	—		(13)		(139)		—		(152)
Cash dividends ($0.58 per common share)	—	—		—		(543)		—		(543)
Stock-based compensation expense	—	—		100		—		—		100
Balance as of July 31, 2025	938,765	$	9	$	2,091	$	(2,360)	$	(641)	$	(901)


	Common Stock			Additional Paid-in Capital				Accumulated Other Comprehensive Loss		Total Stockholders’ Deficit
	Number of Shares	Par Value				Accumulated Deficit
	In millions, except number of shares in thousands
Balance as of October 31, 2024	938,989	$	9	$	1,778	$	(2,676)	$	(434)	$	(1,323)
Net earnings	—	—		—		565		—		565
Other comprehensive income, net of taxes	—	—		—		—		230		230
Comprehensive income	—	—		—		—		—		795
Issuance of common stock in connection with employee stock plans and other	8,405	—		(92)		—		—		(92)
Repurchases of common stock (Note 9)	(2,734)	—		(4)		(93)		—		(97)
Cash dividends ($0.58 per common share)	—	—		—		(547)		—		(547)
Stock-based compensation expense	—	—		192		—		—		192

Balance as of January 31, 2025	944,660	$	9	$	1,874	$	(2,751)	$	(204)	$	(1,072)
Net earnings	—	—		—		406		—		406
Other comprehensive loss, net of taxes	—	—		—		—		(639)		(639)
Comprehensive loss	—	—		—		—		—		(233)
Issuance of common stock in connection with employee stock plans and other	667	—		(9)		—		—		(9)
Repurchases of common stock (Note 9)	(3,118)	—		(6)		(97)		—		(103)
Cash dividends	—	—		—		1		—		1
Stock-based compensation expense	—	—		140		—		—		140


Balance as of April 30, 2025	942,209	$	9	$	1,999	$	(2,441)	$	(843)	$	(1,276)

HP INC.

Condensed Consolidated Statements of Stockholders’ Deficit

(Unaudited)

	Common Stock			AdditionalPaid-in Capital				AccumulatedOtherComprehensive Loss		Total Stockholders’ Deficit
	Number of Shares	Par Value				Accumulated Deficit
	In millions, except number of shares in thousands
Balance as of October 31, 2023	988,782	$	10	$	1,505	$	(2,361)	$	(223)	$	(1,069)
Net earnings	—	—		—		622		—		622
Other comprehensive loss, net of taxes	—	—		—		—		(235)		(235)
Comprehensive income	—	—		—		—		—		387
Issuance of common stock in connection with employee stock plans and other	8,677	—		(76)		—		—		(76)
Repurchases of common stock (Note 9)	(17,062)	—		(27)		(487)		—		(514)
Cash dividends ($0.55 per common share)	—	—		—		(545)		—		(545)
Stock-based compensation expense	—	—		177		—		—		177
Balance as of January 31, 2024	980,397	$	10	$	1,579	$	(2,771)	$	(458)	$	(1,640)
Net earnings	—	—		—		607		—		607
Other comprehensive income, net of taxes	—	—		—		—		126		126
Comprehensive income	—	—		—		—		—		733
Issuance of common stock in connection with employee stock plans and other	584	—		(4)		—		—		(4)
Repurchases of common stock (Note 9)	(3,474)	—		(6)		(93)		—		(99)
Stock-based compensation expense	—	—		94		—		—		94
Balance as of April 30, 2024	977,507	$	10	$	1,663	$	(2,257)	$	(332)	$	(916)
Net earnings	—	—		—		640		—		640
Other comprehensive loss, net of taxes	—	—		—		—		(83)		(83)
Comprehensive income	—	—		—		—		—		557
Issuance of common stock in connection with employee stock plans and other	2,907	—		13		—		—		13
Repurchases of common stock (Note 9)	(17,006)	—		(30)		(576)		—		(606)
Cash dividends ($0.55 per common share)	—	—		—		(536)		—		(536)
Stock-based compensation expense	—	—		96		—		—		96
Balance as of July 31, 2024	963,408	$	10	$	1,742	$	(2,729)	$	(415)	$	(1,392)

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

109

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HP INC.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

Note 1: Basis of Presentation

Basis of Presentation

The accompanying Condensed Consolidated Financial Statements of HP and its wholly owned subsidiaries are prepared in conformity with United States (“U.S.”) generally accepted accounting principles (“GAAP”). The interim financial information is unaudited but reflects all normal adjustments that are necessary to provide a fair statement of results for the interim periods presented. This interim information should be read in conjunction with the Consolidated Financial Statements for the fiscal year ended October 31, ~~2024~~2025 in HP’s Annual Report on Form 10-K, filed on December 13, ~~2024~~2025. The Condensed Consolidated Balance Sheet for October 31, ~~2024~~2025 was derived from audited financial statements.

Principles of Consolidation

The Condensed Consolidated Financial Statements include the accounts of HP and its subsidiaries and affiliates in which HP has a controlling financial interest or is the primary beneficiary. All intercompany balances and transactions have been eliminated.

Reclassifications

HP has reclassified certain prior-year amounts to conform to the current-year presentation.

Use of Estimates

The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in HP’s Condensed Consolidated Financial Statements and accompanying notes. Actual results may differ materially from those estimates.

Recently Adopted Accounting Pronouncements

In September 2022, the Financial Accounting Standards Board (“FASB”) issued guidance that enhances the transparency about the use of supplier finance programs. Under the new guidance, companies that use a supplier finance program in connection with the purchase of goods or services are required to disclose information about those programs to allow users of financial statements to understand the nature, activity during the period, changes from period to period, and potential magnitude. HP adopted this guidance in the first quarter of fiscal year 2024, except for the disclosure on rollforward information which will be adopted in its fiscal year 2025 Form 10-K, in line with the effective adoption dates prescribed by the FASB. See Note 5, “Supplementary Financial Information,” for additional disclosure related to HP’s supplier finance programs.

Recently Issued Accounting Pronouncements Not Yet Adopted

In November 2024, the FASB issued guidance that requires disaggregation of specific expense categories in disclosures within the footnotes to the financial statements on an annual and interim basis. HP is required to adopt this guidance for its annual period ending October 31, 2028 and all interim periods thereafter ~~on a prospective basis~~. Early adoption is permitted. HP is currently evaluating the impact of this guidance on its disclosures.

In December 2023, the FASB issued guidance that enhances the transparency of income tax disclosures by expanding annual disclosure requirements related to the rate reconciliation and income taxes paid. HP is required to adopt this guidance for its annual period ending October 31, 2026. ~~Early~~The ~~adoption~~Company iswill ~~permitted.~~adopt HPthe isguidance ~~currently~~prospectively. ~~evaluating~~Adoption ~~the impact~~ of this new guidance onwill ~~its~~result in additional disclosures in the “Taxes on Earnings” note in the Company’s Consolidated Financial Statements but will not impact the consolidated financial results.

In November 2023, the FASB issued guidance that updates reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance on an annual and interim basis. HP is required to adopt this guidance for its annual period ending October 31, 2025 and all interim periods thereafter. Early adoption is permitted. HP is currently evaluating the impact of this guidance on its disclosures.10

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 2: Segment Information

HP’s ~~operations~~has ~~are organized into~~ three reportable segments: Personal Systems, Printing, and Corporate Investments.

Personal Systems offers desktops, notebooks, and workstations (including HP’s portfolio of AI PCs and workstations), thin clients, retail point-of-sale (“POS”) systems, displays, hybrid systems, software, solutions including endpoint security and services. Personal Systems includes support and deployment, configurations, and extended warranty services. ~~and~~HP ~~maintains~~supports a multi-operating system and multi-architecture ~~strategies~~strategy, primarily using Microsoft Windows and Google Chrome operating systems,. ~~and~~HP’s ~~predominantly~~platforms ~~using~~incorporate processors from Intel, AMD, and Qualcomm, including integrated AI acceleration, as well as NVIDIA GPUs for advanced graphics and compute workloads.

Personal Systems groups its global business capabilities into the following business units when reporting business performance:

•Commercial PS consists of endpoint computing devices and hybrid systems, for use by enterprise, public sector (which includes education), and small- and medium-sized business (“SMB”) customers. These devices include HP’s Pro and Elite commercial PC portfolio, HP’s Z line of workstations, thin clients, retail POS systems, and HP’s Dragonfly and Chromebook PCs. HP offers a range of secure services and solutions to commercial customers to help them manage the lifecycle of their PCs and mobility installed base.

• Consumer PS consists of devices, accessories and services which are optimized for consumer usage, focusing on gaming, learning and working remotely, consuming multi-media for entertainment, managing personal life activities, sharing information and staying connected, informed, and secure. These devices include HP’s new Omni consumer PC portfolio, the Omen and Victus gaming lines, and HP’s Spectre, Envy, Pavilion and Chromebook PCs.

Printing provides consumer and commercial printer hardware, supplies, services and solutions. Printing is also focused on Graphics and 3D Printing and Personalization in the commercial and industrial markets. HP’s global business capabilities within Printing are described below:

•Office Printing Solutions delivers HP’s security enhanced office printers, supplies, services, and solutions to SMBs, public sector and large enterprises. It also includes Original Equipment Manufacturer (“OEM”) hardware and solutions.

•Home Printing Solutions delivers innovative and security enhanced printing products, supplies, services and solutions for the home, home business and micro business customers ~~utilizing both HP’s Ink and Laser technologies~~.

•Graphics Solutions delivers large-format, commercial and industrial solutions and supplies to print service providers and packaging converters through a wide portfolio of printers and presses.

•3D Printing & Personalization offers a portfolio of additive manufacturing solutions and supplies to help customers succeed in their additive and digital manufacturing journey. HP offers complete solutions in collaboration with an ecosystem of partners.

Printing groups its global business capabilities into the following business units when reporting business performance:

•Commercial Printing consists of office printing solutions, graphics solutions and 3D printing and personalization, excluding supplies;

•Consumer Printing consists of home printing solutions, excluding supplies; and

•Supplies comprises a set of highly innovative consumable products, ranging from ink and laser cartridges to media, industrial graphics supplies and 3D printing and personalization supplies, for recurring use in consumer and commercial hardware.

Corporate Investments includes certain business incubation projects and ~~investment~~investments ~~projects~~in digital enablement.

HP does not allocate certain operating expenses, which it manages at the corporate level, to its segments. These unallocated amounts include expenses such as certain corporate governance costs and infrastructure investments, stock-based compensation expense, restructuring and other charges, acquisition and divestiture charges, amortization of intangible assets, and certain litigation (charges) benefits, net.

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Significant Segment Expenses and Operating Results


	Three months ended April 30				Six months ended April 30
	2026		2025		2026		2025
	In millions
Net revenue
Commercial PS	$	7,743	$	6,786	$	14,996	$	13,431
Consumer PS	2,470		2,238		5,468		4,817
Personal Systems	10,213		9,024		20,464		18,248
Supplies	2,754		2,728		5,553		5,557
Commercial Printing	1,168		1,167		2,273		2,311
Consumer Printing	273		302		556		609
Printing	4,195		4,197		8,382		8,477
Corporate Investments	—		—		—		—
Total segment net revenue	14,408		13,221		28,846		26,725
Other	—		(1)		—		(1)
Total net revenue	$	14,408	$	13,220	$	28,846	$	26,724

Cost of net revenue
Personal Systems	$	8,674	$	7,751	$	17,535	$	15,588
Printing	2,703		2,702		5,414		5,494
Corporate Investments	1		1		1		2
Total segment cost of net revenue	11,378		10,454		22,950		21,084

Operating expenses
Personal Systems	$	1,009	$	864	$	1,888	$	1,744
Printing	725		691		1,436		1,378
Corporate Investments	28		26		52		43
Total segment operating expenses	1,762		1,581		3,376		3,165

Earnings before taxes
Personal Systems	$	530	$	409	$	1,041	$	916
Printing	767		804		1,532		1,605
Corporate Investments	(29)		(27)		(53)		(45)
Total segment earnings from operations	1,268		1,186		2,520		2,476
Corporate and unallocated costs and other	(81)		(85)		(156)		(199)
Stock-based compensation expense	(112)		(140)		(294)		(332)
Restructuring and other charges	(365)		(122)		(491)		(192)
Acquisition and divestiture charges	(4)		(17)		(2)		(23)
Amortization of intangible assets	(89)		(65)		(145)		(128)
Certain litigation charges	(5)		(103)		(61)		(103)
Interest and other, net	(119)		(148)		(207)		(289)
Total earnings before taxes	$	493	$	506	$	1,164	$	1,210

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

~~Segment operating results and the reconciliation to HP consolidated results were as follows:~~Realignment

	Three months ended July 31				Nine months ended July 31
	2025		2024		2025		2024
	In millions
Net revenue:
Commercial PS	$	7,036	$	6,677	$	20,467	$	18,964
Consumer PS	2,895		2,692		7,712		7,640
Personal Systems	9,931		9,369		28,179		26,604
Supplies	2,604		2,703		8,155		8,430
Commercial Printing	1,113		1,147		3,424		3,579
Consumer Printing	269		293		857		877
Printing	3,986		4,143		12,436		12,886
Corporate Investments	16		7		43		14
Total segment net revenue	13,933		13,519		40,658		39,504
Other	(1)		—		(2)		—
Total net revenue	$	13,932	$	13,519	$	40,656	$	39,504
Earnings before taxes:
Personal Systems	$	541	$	617	$	1,457	$	1,662
Printing	689		715		2,313		2,416
Corporate Investments	(32)		(28)		(96)		(95)
Total segment earnings from operations	1,198		1,304		3,674		3,983
Corporate and unallocated costs and other	(103)		(101)		(302)		(278)
Stock-based compensation expense	(100)		(96)		(432)		(367)
Restructuring and other charges	(110)		(46)		(302)		(180)
Acquisition and divestiture charges	(8)		(22)		(31)		(71)
Amortization of intangible assets	(159)		(81)		(287)		(242)
Certain litigation charges	(2)		(18)		(105)		(18)
Interest and other, net(1)	(92)		(113)		(381)		(410)
Total earnings before taxes	$	624	$	827	$	1,834	$	2,417

Effective at the beginning of its first quarter of fiscal year 2026, HP realigned its business unit financial reporting to reflect the transition of the Print-as-a-Service business from Corporate Investments to Printing. HP reflected this change to its business unit information in prior reporting periods on an as-if basis which resulted in the reclassification of segment net revenue, cost of net revenue and operating expenses from the Corporate Investments segment to Supplies and Consumer Printing. The reporting change had no impact to previously reported consolidated net revenue, earnings from operations, net earnings or net earnings per share (“EPS”). In connection with this business unit realignment, the Company reallocated $197 million of goodwill from Corporate Investments to Printing on a relative fair value basis. The realignment did not result in any impairments to goodwill in any of the affected reporting units.

(1) The three and nine months ended July 31, 2025 includes Certain litigation benefits from a single litigation matter that does not relate to HP's ongoing business operations.

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HP INC.

Notes to Condensed Consolidated Financial Statements ~~(Continued)~~

(Unaudited)

Note 3: Restructuring and Other Charges

Summary of Restructuring Plans

~~HP’s~~Fiscal ~~restructuring~~2026 ~~activities summarized by plan were as follows:~~Plan

	Fiscal 2023 Plan
	Severance and EER		Non-labor		Other prior-year plans(1)		Total
	In millions
Accrued balance as of October 31, 2024	$	120	$	11	$	7	$	138
Charges	218		34		—		252
Cash payments	(175)		(10)		(3)		(188)
Non-cash and other adjustments	4		(25)		—		(21)
Accrued balance as of July 31, 2025	$	167	$	10	$	4	$	181
Total costs incurred to date as of July 31, 2025	$	825	$	91	$	878	$	1,794
Reflected in the Condensed Consolidated Balance Sheets
Other current liabilities	$	167	$	4	$	4	$	175
Other non-current liabilities	$	—	$	6	$	—	$	6
Accrued balance as of October 31, 2023	$	88	$	18	$	2	$	108
Charges	120		8		4		132
Cash payments	(141)		(11)		(4)		(156)
Non-cash and other adjustments	—		(3)		(2)		(5)
Accrued balance as of July 31, 2024	$	67	$	12	$	—	$	79

On November 25, 2025, HP’s Board of Directors approved the Fiscal 2026 Plan intended to drive customer satisfaction, product innovation, and productivity primarily through artificial intelligence adoption and enablement that HP expects will be implemented through fiscal 2028. HP expects to reduce global headcount by approximately 4,000 to 6,000 employees. HP estimates that it will incur pre-tax charges of approximately $650 million relating to labor and non-labor actions. During the course of the Fiscal 2026 Plan, HP expects to incur approximately $500 million in labor costs related to workforce reductions and expects the remaining costs to relate to non-labor actions and other charges.

HP’s restructuring charges for the three months ended July 31, 2025 summarized by the plans outlined below were as follows:

	Fiscal 2023 Plan
	Severance and EER		Non-labor		Other prior-year plans (1)		Total
	In millions
For the three months ended July 31, 2025	$	77	$	14	$	—	$	91

(1) Primarily includes the fiscal 2020 plan along with other legacy plans, all of which are substantially complete. HP does not expect any further material activity associated with these plans.

Fiscal 2023 Plan

On November 18, 2022, HP’s Board of Directors approved the ~~Future Ready Plan (the “~~Fiscal 2023 Plan”) intended to enable digital transformation, portfolio optimization and operational efficiency ~~which~~that HP ~~expects will be~~ implemented through fiscal 2025. The Fiscal 2023 Plan is substantially complete. HP ~~estimates~~does ~~that~~not itexpect ~~will~~any ~~incur~~further ~~pre-tax~~significant ~~charges~~costs ofassociated ~~approximately~~with $1the plan.~~0 billion~~ ofApproximately ~~which~~9,500 ~~approximately~~employees ~~$0.7 billion~~departed ~~primarily~~as inpart ~~labor~~of ~~costs~~the ~~related~~plan tothrough ~~workforce~~a ~~reductions~~combination of employee exits and ~~the~~voluntary ~~remaining~~EER. HP incurred $877 million in severance costs ~~will~~and ~~relate~~$347 million in infrastructure costs related to non-labor ~~actions~~ and other charges.

~~On February 27, 2025,~~ HP’s approved an amendment to the Fiscal 2023 Plan increasing its expected gross workforce reductions of 7,000 employees by approximately 1,000 to 2,000 employees. The changes to the workforce will vary by country, based on local legal requirements and consultations with employee works councils and other employee representatives, as appropriate. The Company anticipates incurring an additional $150 million in restructuring and other charges ~~primarily~~under ~~related~~the toFiscal ~~labor~~2026 ~~costs~~plan inand ~~connection~~Fiscal ~~with~~2023 ~~the~~ plan ~~amendment.~~were as follows:


	Fiscal 2026 Plan
	Three months ended April 30, 2026		Six months ended April 30, 2026
Severance	$	51	$	162
Non-labor	18		23
Special Termination Benefit	280		280
Other charges(1)	16		22
	$	365	$	487
Other prior plan costs(2)	—		4
	$	365	$	491


	Fiscal 2023 Plan
	Three months ended April 30, 2025		Six months ended April 30, 2025
Severance	$	97	$	141
Non-labor	8		20

Other charges(1)	17		31
	$	122	$	192

(1) Other charges are distinct from ongoing operational costs and primarily include third-party professional services and other non-recurring costs, which include artificial intelligence adoption and enablement costs under the Fiscal 2026 Plan. Effective second quarter of fiscal 2026, other charges also includes CEO transition costs, which comprises of executive hiring and retention costs.

(2) Other prior plans primarily include the fiscal 2023 plan, which is substantially complete. HP does not expect any further material activity associated with this plan.

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

~~Other~~The ~~Charges~~reconciliation of the beginning and ending liability balance showing activity during the year is as follows:

Other charges include non-recurring costs, including those as a result of information technology rationalization efforts and transformation program management costs, and are distinct from ongoing operational costs. These costs primarily relate to third-party professional services and other non-recurring costs. For the three and nine months ended July 31, 2025, HP incurred $19 million and $50 million of other charges, respectively. For the three and nine months ended July 31, 2024, HP incurred $16 million and $48 million of other charges, respectively.


	Fiscal 2026 Plan
	Severance		Non-labor		Other prior-year plans		Total
	In millions
Accrued balance as of October 31, 2025	$	—	$	—	$	172	$	172
Charges	162		23		4		189
Cash payments	(54)		(9)		(109)		(172)
Non-cash and other adjustments	—		(14)		2		(12)
Accrued balance as of April 30, 2026	$	108	$	—	$	69	$	177

Reflected in the Condensed Consolidated Balance Sheets
Other current liabilities	$	76	$	—	$	65	$	141
Other non-current liabilities	$	32	$	—	$	4	$	36


Accrued balance as of October 31, 2024	$	—	$	—	$	138	$	138
Charges	—		—		161		161
Cash payments	—		—		(118)		(118)
Non-cash and other adjustments	—		—		(15)		(15)
Accrued balance as of April 30, 2025	$	—	$	—	$	166	$	166

As of April 30, 2026, HP has incurred $0.5 billion and $1.2 billion of total costs for the Fiscal 2026 plan and the Fiscal 2023 plan, respectively.

Retirement Incentive Program

As part of the Fiscal 2026 Plan, HP announced a voluntary Enhanced Early Retirement (“EER”) program for its U.S. employees in March 2026. Voluntary participation in the EER program was limited to employees at least 55 years old with 10 or more years of service at HP. Employees accepted into the EER program are leaving HP on dates ranging from May 29, 2026 to April 30, 2027. The U.S. defined benefit pension plan was amended to provide that the EER benefit will be paid from the plan for eligible electing EER participants.

The retirement incentive benefit is calculated as a lump sum based on years of service at HP at the time of retirement, ranging from 20 to 52 weeks of pay. As a result of this retirement incentive, HP recognized a Special Termination Benefit (“STB”) expense of $220 million as restructuring and other charges for the three and six months ended April 30, 2026. The expense has been recorded as a reduction from the Prepaid pension and post-retirement benefit assets reflected under Other non-current assets in the Condensed Consolidated Balance Sheets.

All employees participating in the EER program were offered the opportunity to continue health care coverage at the active employee contribution rates for up to 36 months following retirement, but not beyond age 65 when Medicare is available. HP recognized an additional STB expense of $60 million as restructuring and other charges for the three and six months ended April 30, 2026 for the health care incentives. The expense has been recorded in the Pension, post-retirement and post-employment liabilities reflected under Other non-current liabilities in the Condensed Consolidated Balance Sheets.

STB expense is a non-cash expense and represents the present value of all EER benefits that will be paid from the pension plan assets.

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HP INC.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

Note 4: Taxes on Earnings

Provision for Taxes

HP’s effective tax rate was ~~(22~~8.3)7% and 2219.68% for the three months ended ~~July~~April 3130, ~~2025~~2026 and ~~2024~~2025, respectively, and 514.5% and 2219.78% for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026 and ~~2024~~2025, respectively. The difference between the U.S. federal statutory tax rate of 21% and HP’s effective tax rate for the three and ~~nine~~six months ended ~~July 31~~April 30, ~~2025~~2026 was primarily due to ~~decreases~~audit settlements in ~~unrecognized~~various ~~tax benefits~~jurisdictions.

During the three and nine months ended July 31, 2025, HP recorded $281 million and $315 million of net income tax benefits, respectively, related to discrete items in the provision for taxes. These amounts included income tax benefits of $243 million and $228 million related to changes in uncertain tax positions, $20 million and $58 million related to restructuring charges, and $15 million and $18 million related to the filing of tax returns in various jurisdictions for the three and nine months ended July 31, 2025, respectively. The three and nine months ended July 31, 2025 also included benefits of $55 million related to changes in valuation allowances and $22 million related to audit settlements in various jurisdictions. These benefits were partially offset by income tax charges of $80 million related to tax effects of internal reorganization for the three and nine months ended July 31, 2025.

Uncertain Tax Positions

As of ~~July~~April 3130, ~~2025~~2026, the amount of gross unrecognized tax benefits was $~~1.0~~822 ~~billion~~million, of which up to $~~707~~650 million would affect HP’s effective tax rate if realized. Total gross unrecognized tax benefits decreased by $~~238~~43 million for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026. HP recognizes interest income from favorable settlements and interest expense and penalties accrued on unrecognized tax benefits in the provision for taxes in the Condensed Consolidated Statements of Earnings. As of ~~July~~April 3130, ~~2025~~2026 and ~~2024~~2025, HP had accrued $~~129~~75 million and $~~130~~157 million, respectively, for interest and penalties.

HP ~~engages~~is insubject ~~continuous~~to ~~discussions~~income ~~and~~tax ~~negotiations~~in ~~with~~the ~~taxing~~United ~~authorities~~States ~~regarding~~and ~~tax~~approximately ~~matters~~60 inother ~~various~~countries ~~jurisdictions.~~and HPis ~~expects~~subject ~~complete~~to ~~resolution~~routine ofcorporate ~~certain~~income tax ~~years~~audits ~~with~~in ~~various~~many ~~tax~~of ~~authorities~~these ~~within~~jurisdictions. ~~the~~In ~~next~~addition, ~~12 months.~~ HP ~~believes it~~ is ~~reasonably~~subject ~~possible~~to ~~that~~numerous ~~its~~ongoing ~~existing~~audits ~~gross~~by ~~unrecognized~~federal, ~~tax~~state ~~benefits~~and ~~may~~foreign betax ~~reduced~~authorities. byThe ~~$131~~Internal ~~million~~Revenue ~~within~~Service ~~the~~(“IRS”) ~~next~~is 12conducting ~~months,~~an ~~affecting~~audit of HP’s ~~effective~~2018 ~~tax~~and ~~rate~~2019 ifincome ~~realized~~tax returns.

HP is subject to income tax in the United States and approximately 61 other countries and is subject to routine corporate income tax audits in many of these jurisdictions. In addition, HP is subject to numerous ongoing audits by federal, state and foreign tax authorities. The Internal Revenue Service (“IRS”) is conducting an audit of HP’s 2018 and 2019 income tax returns.

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 5: Supplementary Financial Information

Cash, Cash Equivalents and Restricted Cash

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Cash and cash equivalents	$	23,~~871~~703	$	3,~~238~~690
Restricted cash(1)	3—		15
	$	23,~~874~~703	$	3,~~253~~705

(1) Restricted cash is related to amounts collected and held on behalf of a third party for trade receivables previously sold.

Accounts Receivable

The allowance for credit losses related to accounts receivable and changes were as follows:

	Nine months ended July 31, 2025
	Six months ended April 30, 2026
	In millions
Balance at beginning of period	$	83
Current-period allowance for credit losses	6(20)
Deductions, net of recoveries	(65)
Balance at end of period	$	8358

HP utilizes certain third-party arrangements in the normal course of business as part of ~~HPs~~HP’s cash and liquidity management and also to provide liquidity to certain partners to facilitate their working capital requirements. These financing arrangements, which in certain circumstances may contain partial recourse, result in a transfer of HP’s receivables and risk to the third-party. As these transfers qualify as true sales under the applicable accounting guidance, the receivables are de-recognized from the Condensed Consolidated Balance Sheets upon transfer, and HP receives a payment for the receivables from the third-party within a mutually agreed upon time period. For arrangements involving an element of recourse, the recourse obligation is measured using market data from similar transactions and reported as a current liability in the Condensed Consolidated Balance Sheets. The recourse obligations as of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025 were not material.

The following is a summary of the activity under these arrangements:

	Three months ended July 31				Nine months ended July 31
	Three months ended April 30				Six months ended April 30
	2025		2024		2025		2024
	2026		2025		2026		2025
	In millions
Balance at beginning of period(1)	$	~~217~~199	$	~~181~~133	$	~~284~~117	$	~~141~~284
Trade receivables sold	32,~~085~~610		3,~~111~~125		95,~~259~~424		96,~~256~~174
Cash receipts	(32,~~184~~518)		(23,~~983~~056)		(95,~~431~~255)		(96,~~089~~247)
Foreign currency and other	(2)		315		83		46
Balance at end of period(1)	$	~~120~~289	$	~~312~~217	$	~~120~~289	$	~~312~~217

(1) Amounts outstanding from third parties reported in Accounts receivable in the Condensed Consolidated Balance Sheets.

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Inventory

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Finished goods	$	4,~~800~~938	$	4,~~338~~721
Purchased parts and fabricated assemblies	34,~~556~~265		3,~~382~~791
	$	89,~~356~~203	$	78,~~720~~512

Other Current Assets

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Prepaid and other current assets	$	1,624	$	1,462
Supplier and other receivables	$	2,363	$	1,981
Supplier and other receivables	1,619		2,180
Prepaid and other current assets	1,526		1,577
Value-added taxes receivable	~~978~~1,064		~~1,028~~986
	$	4,~~221~~953	$	4,~~670~~544

Property, Plant and Equipment, Net

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Land, buildings and leasehold improvements	$	2,~~612~~668	$	2,~~527~~619
Machinery and equipment, including equipment held for lease	56,~~816~~131		5,~~465~~867
	8,428		7,992
	8,799		8,486
Accumulated depreciation	(5,~~435~~720)		(5,~~078~~437)
	$	23,~~993~~079	$	23,~~914~~049

Other Non-Current Assets

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Deferred tax assets	$	3,~~424~~409	$	3,~~311~~318
Right-of-use assets	1,~~092~~094		1,~~165~~129
Intangible assets(1)	~~1,071~~878		1,~~319~~012
Prepaid pension and post-retirement benefit assets	402		362
Prepaid pension and post-retirement benefit assets(2)	199		425
Deposits and prepaid	~~317~~188		~~322~~316
Other	1,~~267~~375		1,~~129~~361
	$	7,~~573~~143	$	7,~~608~~561

(1) During the three and ~~nine~~six months ended ~~July~~ April 31, ~~2025~~2026, the Company incurred impairment charges of $6532 million related to acquired customer contracts, customer lists and distribution agreements ~~within the Print segment~~ and ~~$27 million of~~ technology and patents ~~within~~related to the ~~Corporate~~Personal ~~Investments~~Systems ~~segments~~segment.

(2) Decrease relates to the reclassification of liability related to the EER plan of $280 million for pension and post-retirement plan special termination benefits. See Note 3 “Restructuring and Other Charges” for further information.

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Other Current Liabilities

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Sales and marketing programs	$	23,~~856~~103	$	3,~~060~~103
Deferred revenue	1,~~548~~713		1,~~446~~609
Other accrued taxes	1,~~181~~265		1,~~233~~258
Employee compensation and benefits	~~849~~984		~~970~~965
Warranty	409		486
Operating lease liabilities	412		401
Operating lease liabilities	409		443
Warranty	373		401
Tax liability	~~248~~109		~~291~~297
Other	2,~~559~~264		2,~~449~~328
	$	10,~~059~~223	$	10,~~378~~362

Other Non-Current Liabilities

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Deferred revenue	$	1,~~588~~668	$	1,~~487~~632
Operating lease liabilities	~~764~~786		~~787~~815
Tax liability	620		839
Pension, post-retirement, and post-employment liabilities	590		564
Pension, post-retirement, and post-employment liabilities	598		607
Tax liability	441		496
Deferred tax liability	1517		3116
Other	~~524~~516		~~531~~513
	$	4,~~109~~018	$	4,~~282~~036

Interest and Other, Net

	Three months ended July 31				Nine months ended July 31
	Three months ended April 30				Six months ended April 30
	2025		2024		2025		2024
	2026		2025		2026		2025
	In millions
Interest expense on borrowings	$	(~~111~~98)	$	(~~111~~114)	$	(~~329~~197)	$	(~~343~~218)
Factoring costs	(3223)		(3832)		(~~101~~45)		(~~117~~69)
Certain litigation benefits	52		—		52		—
Non-operating retirement-related credits	12		4		22		10
Non-operating retirement-related credits	3		4		13		10
Other, net	(10)		(6)		13		(12)
Other, net	(4)		32		(16)		40
	$	(119)	$	(148)	$	(207)	$	(289)
	$	(92)	$	(113)	$	(381)	$	(410)

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Net Revenue by Region

Three months ended July 31

Nine months ended July 31

Three months ended April 30

Six months ended April 30

2025

2024

2025

2024

2026

2025

2026

2025

In millions

Americas

65,~~107~~857

65,~~086~~793

1711,~~419~~435

1711,~~085~~312

Europe, Middle East and Africa

4,~~502~~971

4,~~420~~393

1310,~~649~~196

139,~~461~~147

Asia-Pacific and Japan

3,~~323~~580

3,~~013~~034

97,~~588~~215

86,~~958~~265

Total net revenue

1314,~~932~~408

13,~~519~~220

4028,~~656~~846

3926,~~504~~724

Value of Remaining Performance Obligations

As of ~~July~~April 3130, ~~2025~~2026, the estimated value of transaction price allocated to remaining performance obligations was $4.02 billion. HP expects to recognize approximately $1.89 billion of the unearned amount in next 12 months and $2.23 billion thereafter.

HP has elected the practical expedients and accordingly does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations if:

•the contract has an original expected duration of one year or less; or

•the revenue from the performance obligation is recognized over time on an as-invoiced basis when the amount corresponds directly with the value to the customer; or

•the portion of the transaction price that is variable in nature is allocated entirely to a wholly unsatisfied performance obligation.

The remaining performance obligations are subject to change and may be affected by various factors, such as termination of contracts, contract modifications and adjustment for currency.

Contract Liabilities

As of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, HP’s contract liabilities balances were $3.14 billion and $23.92 billion, respectively, included in Other current liabilities and Other non-current liabilities in the Condensed Consolidated Balance Sheets.

The increase in the contract liabilities balance for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, was primarily driven by sales of fixed-price support and maintenance services, partially offset by $1.2 0 billion of revenue recognized that was included in the contract liabilities balance as of October 31, ~~2024~~2025.

Supplier Finance Programs

HP facilitates voluntary supplier finance programs to provide certain suppliers the opportunity to sell their right to HP’s payment obligations to participating financial institutions. Under these programs, HP agrees to pay the participating financial institutions the stated amount of confirmed invoices from its designated suppliers on the original maturity dates of the invoices. Participation by suppliers in these programs ~~have~~has no impact on the payment terms and amounts due from HP. HP does not have an economic interest in a supplier's participation in the program and is not a party to the agreement between the supplier and the financial institutions. In connection with these programs, HP does not pledge assets or other forms of guarantees as security for the committed payment to the participating financial institutions. For certain programs, HP pays a monthly service fee to a third-party administrator that provides the supplier finance platform and related support. HP and the participating financial institutions may terminate the agreement upon at least 30 days notice. As of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, HP had $89.61 billion and $7.8.9 billion respectively, in obligations outstanding (i.e., unpaid invoices) that were confirmed as valid under the supplier finance programs~~, of which $0~~.5 ~~billion and $0.9 billion were owed to participating financial institutions.~~ These obligations are included within the Accounts payable line item of HP’s Condensed Consolidated Balance Sheets. As of both ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, the Company’s outstanding payment obligations that suppliers elected to sell to participating financial institutions were $0.1 billion.

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 6: Fair Value

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date.

Fair Value Hierarchy

HP uses valuation techniques that are based upon observable and unobservable inputs. Observable inputs are developed using market data such as publicly available information and reflect the assumptions market participants would use, while unobservable inputs are developed using the best information available about the assumptions market participants would use. Assets and liabilities are classified in the fair value hierarchy based on the lowest level input that is significant to the fair value measurement:

Level 1—Quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2—Quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability and market-corroborated inputs.

Level 3—Unobservable inputs for the asset or liability.

The fair value hierarchy gives the highest priority to observable inputs and lowest priority to unobservable inputs.

The following table presents HP’s assets and liabilities that are measured at fair value on a recurring basis:

	As of July 31, 2025								As of October 31, 2024
	As of April 30, 2026								As of October 31, 2025
	Fair Value Measured Using								Fair Value Measured Using
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
	In millions
Assets:
Assets
Cash Equivalents:
Cash Equivalents
Time deposits	$	—	$	1,773	$	—	$	1,773	$	—	$	1,012	$	—	$	1,012
Government debt(1)	$	990	$	—	$	—	$	990	$	1,878	$	—	$	—	$	1,878
Government debt(1)	398		—		—		398		1,332		—		—		1,332
Available-for-Sale Investments
Available-for-Sale Investments:
Financial institution instruments	—		3		—		3		—		3		—		3
Marketable securities and mutual funds(2)	810		~~123~~112		—		~~131~~122		549		~~130~~122		—		~~184~~131
Derivative Instruments:
Derivative Instruments
Interest rate contracts	—		—		—		—		—		4		—		4
Foreign currency contracts	—		154		—		154		—		182		—		182
Foreign currency contracts	—		133		—		133		—		225		—		225
Other derivatives	—		9		—		9		—		1		—		1
Other derivatives	—		1		—		1		—		—		—		—
Total assets	$	1,000	$	278	$	—	$	1,278	$	1,887	$	308	$	—	$	2,195
Total assets	$	406	$	2,033	$	—	$	2,439	$	1,386	$	1,374	$	—	$	2,760
Liabilities
Liabilities:
Derivative Instruments
Derivative Instruments:
Interest rate contracts	$	—	$	—	$	—	$	—	$	—	$	1	$	—	$	1
Interest rate contracts	$	—	$	4	$	—	$	4	$	—	$	22	$	—	$	22
Foreign currency contracts	—		252		—		252		—		242		—		242
Foreign currency contracts	—		372		—		372		—		158		—		158
Other derivatives	—		—		—		—		—		1		—		1
Other derivatives	—		1		—		1		—		2		—		2
Total liabilities	$	—	$	252	$	—	$	252	$	—	$	244	$	—	$	244
Total liabilities	$	—	$	377	$	—	$	377	$	—	$	182	$	—	$	182

(1) Money market funds invested in government debt and traded in active markets are included in Level 1. Government debt includes instruments such as U.S. treasury notes, U.S. agency securities and non-U.S. government bonds. ~~Money market funds invested in government debt and traded in active markets are included in Level 1.~~

(2) As of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, $6753 million and $7863 million, respectively, of debt securities were restricted to fund benefits received by qualifying employees under a sponsored defined benefit plan.

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Valuation Techniques

Cash Equivalents and Investments: HP holds ~~time deposits,~~ money market funds, mutual funds, other debt securities primarily consisting of corporate and foreign government notes and bonds, and common stock and equivalents. HP values cash equivalents and equity investments using quoted market prices, alternative pricing sources, including net asset value, or models utilizing market observable inputs. The fair value of debt investments is based on quoted market prices or model-driven valuations using inputs primarily derived from or corroborated by observable market data and, in certain instances, valuation models that utilize assumptions which cannot be corroborated with observable market data.

Derivative Instruments: HP uses industry standard valuation models to measure fair value. Where applicable, these models project future cash flows and discount the future amounts to present value using market-based observable inputs, including interest rate curves, HP and counterparty credit risk, foreign exchange rates, and forward and spot prices for currencies and interest rates. See Note 7, “Financial Instruments” for a further discussion of HP’s use of derivative instruments.

Other Fair Value Disclosures

Short- and Long-Term Debt: HP estimates the fair value of its debt primarily using an expected present value technique, which is based on observable market inputs using interest rates currently available to companies of similar credit standing for similar terms and remaining maturities and considering its own credit risk. The portion of HP’s debt that is hedged is reflected in the Condensed Consolidated Balance Sheets as an amount equal to the debt’s carrying amount and a fair value adjustment representing changes in the fair value of the hedged debt obligations arising from movements in benchmark interest rates. The fair value of HP’s short- and long-term debt was $9.5 billion as compared to its carrying amount of $9.67 billion as of ~~July~~April 3130, ~~2025~~2026. The fair value of HP’s short- and long-term debt was $9.4 6 billion as compared to its carrying value of $9.7 billion as of October 31, ~~2024~~2025. If measured at fair value in the Condensed Consolidated Balance Sheets, short- and long-term debt would be classified in Level 2 of the fair value hierarchy.

Other Financial Instruments: For the balance of HP’s financial instruments, primarily accounts receivable, accounts payable and financial liabilities included in Other current liabilities on the Condensed Consolidated Balance Sheets, the carrying amounts approximate fair value due to their short term maturities. If measured at fair value in the Condensed Consolidated Balance Sheets, these other financial instruments would be classified as Level 2 or Level 3 of the fair value hierarchy.

Non-Marketable Equity Investments and Non-Financial Assets: HP’s non-marketable equity investments are measured at cost less impairment, adjusted for observable price changes. HP’s non-financial assets, such as intangible assets, goodwill and property, plant and equipment, are recorded at fair value in the period an impairment charge is recognized. If measured at fair value in the Condensed Consolidated Balance Sheets these would generally be classified within Level 3 of the fair value hierarchy.

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 7: Financial Instruments

Cash Equivalents and Available-for-Sale Investments

	As of July 31, 2025								As of October 31, 2024
	As of April 30, 2026								As of October 31, 2025
	Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value		Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	In millions
Cash Equivalents:
Cash Equivalents
Time deposits	$	1,773	$	—	$	—	$	1,773	$	1,012	$	—	$	—	$	1,012
Government debt(1)	990		—		—		990		1,878		—		—		1,878
Government debt(1)	398		—		—		398		1,332		—		—		1,332
Total cash equivalents	990		—		—		990		1,878		—		—		1,878
Total cash equivalents	2,171		—		—		2,171		2,344		—		—		2,344
Available-for-Sale Investments
Available-for-Sale Investments:
Financial institution instruments	3		—		—		3		3		—		—		3
Marketable securities and mutual funds(2)	~~110~~97		2125		—		~~131~~122		~~115~~104		6927		—		~~184~~131
Total available-for-sale investments	~~113~~100		2125		—		~~134~~125		~~118~~107		6927		—		~~187~~134
Total cash equivalents and available-for-sale investments	$	21,~~284~~090	$	2125	$	—	$	21,~~305~~115	$	21,~~462~~985	$	6927	$	—	$	2,~~531~~012

All highly liquid investments with original maturities of three months or less at the date of acquisition are considered cash equivalents. As of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, the carrying amount of cash equivalents approximated fair value due to the short period of time to maturity. The estimated fair value of the available-for-sale investments may not be representative of values that will be realized in the future.

Contractual maturities of investments in available-for-sale debt securities were as follows:

	As of July 31, 2025
	As of April 30, 2026
	Amortized Cost		Fair Value
	In millions
Due in one year	$	1713	$	1714
Due in one to five years	5341		5342
	$	7054	$	7056

Non-marketable equity securities in privately held companies are included in Other ~~current and~~ non-current assets in the Condensed Consolidated Balance Sheets. These amounted to $~~119~~142 million and $~~107~~137 million as of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, respectively.

HP determines credit losses on cash equivalents and available-for-sale debt securities at the individual security level. All instruments are considered investment grade. No credit-related or noncredit-related impairment losses were recorded for the three and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026.

Derivative Instruments

HP uses derivative instruments, primarily forward contracts, interest rate swaps, total return swaps, treasury rate locks, forward starting swaps and option contracts to offset business exposure to foreign currency and interest rate risk on expected future cash flows and on certain existing assets and liabilities. HP may designate its derivative contracts as fair value hedges or cash flow hedges and classifies the cash flows with the activities that correspond to the underlying hedged items. Additionally, for derivatives not designated as hedging instruments, HP categorizes those economic hedges as other derivatives. HP recognizes all derivative instruments at fair value in the Condensed Consolidated Balance Sheets.

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

As a result of its use of derivative instruments, HP is exposed to the risk that its counterparties will fail to meet their contractual obligations. Master netting agreements mitigate credit exposure to counterparties by permitting HP to net amounts due from HP to counterparty against amounts due to HP from the same counterparty under certain conditions. To further limit credit risk, HP has collateral security agreements that allow HP’s custodian to hold collateral from, or require HP to post collateral to, counterparties when the net fair value of financial instruments fluctuates ~~from contractually established thresholds~~. The Company includes gross collateral posted and received in other current assets and other current liabilities in the Condensed Consolidated Balance Sheets, respectively. The fair value of derivatives with credit contingent features in a net liability position was $~~242~~123 million and $5998 million as of ~~July~~April 3130, ~~2025~~2026 and as of October 31, ~~2024~~2025, respectively, all of which were fully collateralized within two business days.

Under HP’s derivative contracts, the counterparty can terminate all outstanding trades following a covered change of control event affecting HP that results in the surviving entity being rated below a specified credit rating. This credit contingent provision did not affect HP’s financial position or cash flows as of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025.

Fair Value Hedges

HP enters into fair value hedges, such as interest rate swaps, to reduce the exposure of its debt portfolio to changes in fair value resulting from changes in benchmark interest rates on HP’s future interest payments.

For derivative instruments that are designated and qualify as fair value hedges, HP recognizes the change in fair value of the derivative instrument, as well as the offsetting change in the fair value of the hedged item, in Interest and other, net in the Condensed Consolidated Statements of Earnings in the period of change.

Cash Flow Hedges

HP uses forward contracts, option contracts, treasury rate locks and forward starting swaps designated as cash flow hedges to protect against the foreign currency exchange and interest rate risks inherent in its forecasted products net revenue, cost of products net revenue, operating expenses and debt issuance. HP’s foreign currency cash flow hedges mature predominantly within twelve months; however, hedges related to long-term procurement arrangements, contractual pricing and/or business unit specific exposures may extend several years.

For derivative instruments that are designated and qualify as cash flow hedges, HP initially records changes in fair value of the derivative instrument in Accumulated other comprehensive loss as a separate component of Stockholders’ deficit in the Condensed Consolidated Balance Sheets and subsequently reclassifies these amounts into earnings in the period during which the hedged transaction is recognized in earnings. HP reports the changes in the fair value of the derivative instrument in the same financial statement line item as changes in the fair value of the hedged item.

Other Derivatives

Other derivatives not designated as hedging instruments consist primarily of forward contracts used to hedge foreign currency-denominated balance sheet exposures. HP also uses total return swaps to hedge its executive deferred compensation plan liability.

For derivative instruments not designated as hedging instruments, HP recognizes changes in fair value of the derivative instrument, as well as the offsetting change in the fair value of the hedged item, in Interest and other, net in the Condensed Consolidated Statements of Earnings in the period of change.

Hedge Effectiveness

For interest rate swaps designated as fair value hedges, HP measures hedge effectiveness by offsetting the change in fair value of the hedged item with the change in fair value of the derivative. For foreign currency options, forward contracts and forward starting swaps designated as cash flow hedges, HP measures hedge effectiveness by comparing the cumulative change in fair value of the hedge contract with the cumulative change in fair value of the hedged item, both of which are based on forward rates.

During the three and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026 and ~~2024~~2025, no portion of the hedging instruments’ gain or loss was excluded from the assessment of effectiveness for fair value and cash flow hedges.

Fair Value of Derivative Instruments in the Condensed Consolidated Balance Sheets

The gross notional and fair value of derivative instruments in the Condensed Consolidated Balance Sheets were as follows:

Table of Contents

HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

	As of July 31, 2025										As of October 31, 2024
	As of April 30, 2026										As of October 31, 2025
	Outstanding Gross Notional		Other Current Assets		Other Non-Current Assets		Other Current Liabilities		Other Non-Current Liabilities		Outstanding Gross Notional		Other Current Assets		Other Non-Current Assets		Other Current Liabilities		Other Non-Current Liabilities
	In millions
Derivatives designated as hedging instruments
Fair value hedges:
Interest rate contracts	$	~~250~~—	$	—	$	—	$	4—	$	—	$	~~750~~250	$	—	$	—	$	111	$	10—
Cash flow hedges:
Foreign currency contracts	1317,~~819~~541		92118		1422		~~275~~201		7436		14,~~563~~492		~~169~~141		3627		~~117~~174		3454
Interest rate contracts	—		—		—		—		—		500		—		4		—		1
Total derivatives designated as hedging instruments	17,541		118		22		201		36		14,742		141		27		175		54
Total derivatives designated as hedging instruments	14,069		92		14		279		74		15,813		169		40		128		45
Derivatives not designated as hedging instruments
Foreign currency contracts	4,~~088~~174		2714		—		2315		—		4,~~284~~389		2014		—		714		—
Other derivatives	~~156~~161		19		—		1—		—		~~156~~168		—1		—		21		—
Total derivatives not designated as hedging instruments	4,~~244~~335		2823		—		2415		—		4,~~440~~557		2015		—		915		—
Total derivatives	$	1821,~~313~~876	$	~~120~~141	$	1422	$	~~303~~216	$	7436	$	2019,~~253~~299	$	~~189~~156	$	4027	$	~~137~~190	$	4554

Offsetting of Derivative Instruments

HP recognizes all derivative instruments on a gross basis in the Condensed Consolidated Balance Sheets. HP does not offset the fair value of its derivative instruments against the fair value of cash collateral posted under its collateral security agreements. As of ~~July~~April 3130, ~~2025~~2026 and October 31, ~~2024~~2025, information related to the potential effect of HP’s master netting agreements and collateral security agreements was as follows:

	In the Condensed Consolidated Balance Sheets
	(i)		(ii)		(iii) = (i)–(ii)		(iv)		(v)			(vi) = (iii)–(iv)–(v)
							Gross Amounts Not Offset
	Gross AmountRecognized		Gross AmountOffset		Net AmountPresented		Derivatives		FinancialCollateral			Net Amount
	In millions
As of July 31, 2025
As of April 30, 2026
Derivative assets	$	~~134~~163	$	—	$	~~134~~163	$	~~128~~127	$	—23	(1)	$	613
Derivative liabilities	$	~~377~~252	$	—	$	~~377~~252	$	~~128~~127	$	~~343~~189	(2)	$	(9464)
As of October 31, 2024
As of October 31, 2025
Derivative assets	$	~~229~~183	$	—	$	~~229~~183	$	~~113~~143	$	8815	(1)	$	2825
Derivative liabilities	$	~~182~~244	$	—	$	~~182~~244	$	~~113~~143	$	61279	(2)	$	8(178)

(1)Represents the cash collateral posted by counterparties as of the respective reporting date for HP’s asset position, net of derivative amounts that could be offset, as of, generally, two business days prior to the respective reporting date.

(2)Represents the collateral posted by HP including any excess or re-use of counterparty cash collateral as of the respective reporting date for HP’s liability position, net of derivative amounts that could be offset as of, generally, two business days prior to the respective reporting date.

Effect of Derivative Instruments in the Condensed Consolidated Statements of Earnings

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Effect of Derivative Instruments in the Condensed Consolidated Statements of Earnings

The pre-tax effect of derivative instruments and related hedged items in a fair value hedging relationship were as follows:

Derivative Instrument	Hedged Item	Location	Year	~~Total amounts of income/(expense) line items in the statement of financial performance in which the effects of fair value hedges are recorded~~		Gain/(loss) recognized in earnings on derivative instruments		Gain/(loss) recognized in earnings on hedged item
				~~In millions~~		In millions
Three months ended July 31
Three months ended April 30
Interest rate contract	Fixed-rate debt	Interest and other, net	~~2025~~2026	$	~~(92)~~	$	2—	$	~~(2)~~—
			2024	$	(113)	$	13	$	(13)
			2025			$	8	$	(8)
Nine months ended July 31
Six months ended April 30
Interest rate contract	Fixed-rate debt	Interest and other, net	~~2025~~2026	$	~~(381)~~	$	171	$	(171)
			2024	$	(410)	$	28	$	(28)
			2025			$	15	$	(15)

The pre-tax effect of derivative instruments in cash flow hedging relationships included in Accumulated other comprehensive (loss) income was as follows:

	Three months ended July 31				Nine months ended July 31
	Three months ended April 30				Six months ended April 30
	2025		2024		2025		2024
	2026		2025		2026		2025
	In millions
Gain/(loss) recognized in Accumulated other comprehensive (loss) income on derivatives:
Foreign currency contracts	$	59106	$	(33687)	$	(~~304~~147)	$	(44363)
Interest rate contracts	—		(35)		3—		(3)
Total	$	59106	$	(36692)	$	(~~301~~147)	$	(47360)

The pre-tax effect of derivative instruments in cash flow hedging relationships included in earnings were as follows:

	Gain/(loss) reclassified from Accumulated other comprehensive (loss) income into earnings
	(Loss)/gain reclassified from Accumulated other comprehensive (loss) income into earnings
		Three months ended July 31		Nine months ended July 31
		Three months ended April 30		Six months ended April 30
				2025		2024		2025		2024
				2026		2025		2026		2025
			In millions
Products net revenue				$	(~~184~~87)	$	~~117~~167	$	50(89)	$	~~355~~234
Cost of products net revenue				(2113)		(3323)		(7124)		(~~109~~50)
Operating expenses				—2		—1		14		~~(4)~~1
Interest and other, net				34		3		98		96
Total				$	(~~202~~94)	$	87148	$	(11101)	$	~~251~~191

As of ~~July~~April 3130, ~~2025~~2026, HP expects to reclassify an estimated accumulated other comprehensive loss of $~~162~~79 million, net of taxes, to earnings within the next twelve months associated with cash flow hedges along with the earnings effects of the related forecasted transactions. The amounts ultimately reclassified into earnings could be different from the amounts previously included in Accumulated other comprehensive (loss) income based on the change of market rate, and therefore could have a different ~~impacts~~impact on earnings.

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

The pre-tax effect of derivative instruments not designated as hedging instruments recognized in Interest and other, net in the Condensed Consolidated Statements of Earnings was as follows:

	Gain/(loss) recognized in earnings on derivative instrument
		Three months ended July 31				Nine months ended July 31
		Three months ended April 30				Six months ended April 30
	Location	~~2025~~2026		~~2024~~2025		~~2025~~2026		~~2024~~2025
		In millions
Foreign currency contracts	Interest and other, net	$	7—	$	16(11)	$	(7)	$	23(14)
Other derivatives	Interest and other, net	~~(3)~~7		71		28		5
Total		$	47	$	23(10)	$	~~(5)~~1	$	28(9)

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 8: Borrowings

Notes Payable and Short-Term Borrowings

	As of July 31, 2025				As of October 31, 2024
	As of April 30, 2026				As of October 31, 2025
	AmountOutstanding		Weighted-AverageInterest Rate		AmountOutstanding		Weighted-AverageInterest Rate
	In millions
Current portion of long-term debt	$	~~772~~810	3.36	%	$	~~1,358~~788	53.02	%
Notes payable to banks, lines of credit and other	48		—	%	48		—	%
Notes payable to banks and other	—		—	%	57		—	%
Total notes payable and short-term borrowings	$	~~820~~810			$	~~1,406~~845

Long-Term Debt

	~~As of~~									As of
	July 31, 2025			October 31, 2024
										April 30, 2026		October 31, 2025
	~~In millions~~									In millions
U.S. Dollar Global Notes(1)			Maturity Date			Issue Price		Stated Interest Rate
$1,150 issued at discount to par at a price of 99.769% at 2.20%, due June 2025	$	—		$	1,150
$1,000 issued June 2021			June 2026			99.808	%	1.45	%	$	522	$	522
$1,000 issued at discount to par at a price of 99.808% at 1.45%, due June 2026	522			521
$1,000 issued June 2020			June 2027			99.718	%	3.00	%	1,000		999
$1,000 issued at discount to par at a price of 99.718% at 3.00%, due June 2027	999			999
$900 issued June 2022			January 2028			99.841	%	4.75	%	899		899
$900 issued at discount to par at a price of 99.841% at 4.75%, due January 2028	899			899
$1,000 issued March 2022			April 2029			99.767	%	4.00	%	999		999
$1,000 issued at discount to par at a price of 99.767% at 4.00%, due April 2029	999			999
$500 issued April 2025			April 2030			99.732	%	5.40	%	499		499
$500 issued at discount to par at a price of 99.732% at 5.40%, due April 2030	499			—
$850 issued June 2020			June 2030			99.790	%	3.40	%	503		503
$850 issued at discount to par at a price of 99.790% at 3.40%, due June 2030	503			503
$1,000 issued June 2021			June 2031			99.573	%	2.65	%	998		998
$1,000 issued at discount to par at a price of 99.573% at 2.65%, due June 2031	997			997
$1,000 issued March 2022			April 2032			99.966	%	4.20	%	676		676
$1,000 issued at discount to par at a price of 99.966% at 4.20%, due April 2032	676			676
$1,100 issued June 2022			January 2033			99.725	%	5.50	%	1,098		1,098
$1,100 issued at discount to par at a price of 99.725% at 5.50%, due January 2033	1,098			1,098
$500 issued April 2025			April 2035			99.778	%	6.10	%	499		499
$500 issued at discount to par at a price of 99.778% at 6.10%, due April 2035	499			—
$1,200 issued September 2011			September 2041			99.863	%	6.00	%	1,199		1,199
$1,200 issued at discount to par at a price of 99.863% at 6.00%, due September 2041	1,199			1,199
										8,892		8,891
$500 issued at par at a price of 100% at 4.75%, due March 2029	3			3
Other borrowings at 1.47%-7.89%, due in fiscal years 2026-2036										814		765
	8,893			9,044
Fair value adjustment related to hedged debt										—		(1)
Other borrowings at 1.46%-7.46%, due in fiscal years 2025-2032	711			645
Unamortized debt issuance cost										(40)		(46)
Fair value adjustment related to hedged debt	(3)			(21)
Current portion of long-term debt										(810)		(788)
Unamortized debt issuance cost	(47)			(47)
Total long-term debt										$	8,856	$	8,821
Current portion of long-term debt	(772)			(1,358)
Total long-term debt	$	8,782		$	8,263

(1)HP may redeem some or all of the fixed-rate U.S. Dollar Global Notes at any time in accordance with the terms thereof. The U.S. Dollar Global Notes are senior unsecured debt.

In April 2025, HP completed its offering of $1.0 billion aggregate principal amount of senior unsecured notes, consisting of $500 million of 5.40% notes due April 2030 and $500 million of 6.10% notes due April 2035. HP incurred issuance costs of $9 million. HP will pay interest semi-annually on each series of the notes on April 25 and October 25, beginning October 25, 2025. In April 2025, a series of forward starting swaps and a treasury rate lock totaling $825 million notional amount were settled to mitigate the treasury rates volatility associated with this debt issuance. HP used the net proceeds from the offering of the notes for general corporate purposes, including, together with cash on hand, the repayment of the Global Notes due June 2025 upon maturity.

As disclosed in Note 7, “Financial Instruments,” HP uses interest rate swaps to mitigate some of the exposure of its debt portfolio to changes in fair value resulting from changes in benchmark interest rates. Interest rates shown in the table of long-term debt have not been adjusted to reflect the impact of any interest rate swaps.

Commercial Paper

As of April 30, 2026, HP maintained a U.S. commercial paper program for the issuance of U.S. dollar-denominated commercial paper up to a maximum aggregate principal amount of $6.0 billion. The principal amount outstanding under this program and certain short-term borrowings at any time cannot exceed a $6.0 billion authorization by HP’s Board of Directors. As of April 30, 2026 and October 31, 2025, no commercial paper was outstanding under the program.

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

As of July 31, 2025, HP maintained a U.S. commercial paper program for the issuance of U.S. dollar-denominated commercial paper up to a maximum aggregate principal amount of $6.0 billion. The principal amount outstanding under this program and certain short-term borrowings at any time cannot exceed a $6.0 billion authorization by HP’s Board of Directors.

Credit Facility

As of ~~July~~April 3130, ~~2025~~2026, HP maintained a $5.0 billion 5-year sustainability-linked senior unsecured committed revolving credit facility, which HP entered into on August 1, 2024. Commitments under the revolving credit facility will be available until August 1, 2029. Commitment fees, interest rates and other terms of borrowing under the revolving credit facility vary based on HP’s external credit ratings and certain sustainability metrics. Funds borrowed under the revolving credit facility may be used for general corporate purposes.

As of ~~July~~April 3130, ~~2025~~2026, HP was in compliance with the covenants in the credit agreement governing the revolving credit facility.

Available Borrowing Resources

As of ~~July~~April 3130, ~~2025~~2026, HP had available borrowing resources of $1.10 billion from uncommitted lines of credit in addition to funds available under the revolving credit facility.

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 9: Stockholders’ Deficit

Share Repurchase Program

HP’s share repurchase program authorizes both open market and private repurchase transactions. During the three and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, HP executed share repurchases of 5.50 million and 1118.43 million shares and settled total shares for $0.21 billion and $0.4 billion, respectively. ~~Share~~During ~~repurchases executed during~~ the three and ~~nine~~six months ended ~~July~~April 3130, 2025 ~~included 0.3 million shares settled in August 2025. During the three and nine months ended July 31~~, ~~2024,~~ HP executed share repurchases of 173.01 million and ~~37.~~5.8 million shares and settled total shares for $0.61 billion and $10.2 billion, respectively. Share repurchases executed during the three months and ~~nine~~six months ended ~~July 31~~April 30, ~~2024~~2025 included 0.2 3 million shares settled in ~~August~~May ~~2024~~2025.

The shares repurchased during the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026 and ~~2024~~2025 were all open market repurchase transactions. As of ~~July~~April 3130, ~~2025~~2026, HP had approximately $8.90 billion remaining under the share repurchase authorization approved by HP’s Board of Directors.

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Changes and reclassifications related to Accumulated Other Comprehensive Loss, net of taxes

	Three months ended July 31				Nine months ended July 31
	Three months ended April 30				Six months ended April 30
	2025		2024		2025		2024
	2026		2025		2026		2025
	In millions
Other comprehensive income (loss), net of taxes:
Unrealized components of available-for-sale debt securities
Balance at the beginning of period	$	2030	$	1118	$	1429	$	714
Unrealized gains arising during the period	5—		32		111		76
Tax effects on change in unrealized components of available-for-sale securities	(1)		(1)		(1)		(1)
Unrealized components of available-for-sale debt securities, net of taxes	—		2		1		6
Unrealized components of available-for-sale debt securities, net of taxes	4		2		10		6
Balance at the end of period	$	30	$	20	$	30	$	20
Balance at the end of period	$	24	$	13	$	24	$	13
Unrealized components of cash flow hedges
Unrealized components of cash flow hedges
Balance at the beginning of period	$	(243)	$	282	$	(48)	$	47
Balance at the beginning of period	$	(393)	$	89	$	47	$	230
Unrealized gains (losses) arising during the period	106		(692)		(147)		(360)
Unrealized gains (losses) arising during the period	59		(36)		(301)		(47)
(Gains) losses reclassified into earnings	94		(148)		101		(191)
Losses (gains) reclassified into earnings	202		(87)		11		(251)
Tax effects on change in unrealized components of cash flow hedges	(38)		165		13		111
Tax effects on change in unrealized components of cash flow hedges	(61)		27		50		61
Unrealized components of cash flow hedges, net of taxes	162		(675)		(33)		(440)
Unrealized components of cash flow hedges, net of taxes	200		(96)		(240)		(237)
Balance at the end of period	$	(81)	$	(393)	$	(81)	$	(393)
Balance at the end of period	$	(193)	$	(7)	$	(193)	$	(7)
Unrealized components of defined benefit plans
Unrealized components of defined benefit plans
Balance at the beginning of period	$	(471)	$	(492)	$	(450)	$	(496)
Balance at the beginning of period	$	(488)	$	(423)	$	(496)	$	(437)
Unrealized (losses) arising during the period	—		(2)		(34)		(1)
Unrealized (losses) gains arising during the period	(7)		—		(8)		13
Amortization of actuarial loss and prior service benefit	5		5		9		10
Amortization of actuarial loss and prior service benefit	5		1		15		5
Curtailments, settlements and other	(1)		1		2		—
Curtailments, settlements and other	2		1		2		2
Tax effects on change in unrealized components of defined benefit plans	(9)		—		(3)		(1)
Tax effects on change in unrealized components of defined benefit plans	—		(2)		(1)		(6)
Unrealized components of defined benefit plans, net of taxes	(5)		4		(26)		8
Unrealized components of defined benefit plans, net of taxes	—		—		8		14
Balance at the end of period	$	(476)	$	(488)	$	(476)	$	(488)
Balance at the end of period	$	(488)	$	(423)	$	(488)	$	(423)
Cumulative translation adjustment
Cumulative translation adjustment
Balance at the beginning of period	$	30	$	(12)	$	12	$	1
Balance at the beginning of period	$	18	$	(9)	$	1	$	(23)
Change in cumulative translation adjustment	(4)		30		14		17
Change in cumulative translation adjustment	(1)		11		16		25
Cumulative translation adjustment, net of taxes	(4)		30		14		17
Tax effect on change in cumulative translation adjustment	(1)		—		(1)		—
Balance at the end of period	$	26	$	18	$	26	$	18
Cumulative translation adjustment, net of taxes	(2)		11		15		25
Other comprehensive income (loss)	$	153	$	(639)	$	(44)	$	(409)
Balance at the end of period	$	16	$	2	$	16	$	2
Accumulated other comprehensive loss	$	(501)	$	(843)	$	(501)	$	(843)
Other comprehensive income (loss)	$	202	$	(83)	$	(207)	$	(192)
Accumulated other comprehensive loss	$	(641)	$	(415)	$	(641)	$	(415)

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Note 10: Earnings Per Share

HP calculates basic net EPS using net earnings and the weighted-average number of shares outstanding during the reporting period. Diluted net EPS includes any dilutive effect of restricted stock units, stock options, performance-based awards and shares purchased under the 2021 employee stock purchase plan.

A reconciliation of the number of shares used for basic and diluted net EPS calculations is as follows:

	Three months ended July 31				Nine months ended July 31
	Three months ended April 30				Six months ended April 30
	2025		2024		2025		2024
	2026		2025		2026		2025
	In millions, except per share amounts
Numerator:
Net earnings	$	~~763~~450	$	~~640~~406	$	~~1,734~~995	$	~~1,869~~971
Denominator:
Weighted-average shares used to compute basic net EPS	~~947~~922		~~979~~950		~~948~~924		~~986~~949
Dilutive effect of employee stock plans	73		116		74		87
Weighted-average shares used to compute diluted net EPS	~~954~~925		~~990~~956		~~955~~928		~~994~~956
Net earnings per share:
Basic	$	0.8149	$	0.6543	$	1.8308	$	1.9002
Diluted	$	0.8049	$	0.6542	$	1.8207	$	1.8802
Anti-dilutive effect of employee stock plans(1)	14		—		8		2
Anti-dilutive weighted-average stock plans(1)	20		10		19		7

(1)HP excludes from the calculation of diluted net EPS stock options and restricted stock units where the assumed proceeds exceed the average market price, because their effect would be anti-dilutive. The assumed proceeds of a stock option include the sum of its exercise price, and average unrecognized compensation cost. The assumed proceeds of a restricted stock unit represent average unrecognized compensation cost.

Note 11: Litigation and Contingencies

HP is involved in lawsuits, claims, investigations and proceedings, including those identified below, consisting of IP, commercial, securities, employment, employee benefits and environmental matters that arise in the ordinary course of business. HP accrues a liability when management believes that it is both probable that a liability has been incurred and the amount of loss can be reasonably estimated. HP believes it has recorded adequate provisions for any such matters and, as of ~~July~~April 3130, ~~2025~~2026, it was not reasonably possible that a material loss had been incurred in excess of the amounts recognized in HP’s financial statements. HP reviews these matters at least quarterly and adjusts its accruals to reflect the impact of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular case. Pursuant to the separation and distribution agreement entered into with Hewlett Packard Enterprise Company (“Hewlett Packard Enterprise”), HP shares responsibility with Hewlett Packard Enterprise for certain matters, as indicated below, and Hewlett Packard Enterprise has agreed to indemnify HP in whole or in part with respect to certain matters. Based on its experience, HP believes that any damage amounts claimed in the specific matters discussed below are not a meaningful indicator of HP’s potential liability. Litigation is inherently unpredictable. However, HP believes it has valid defenses with respect to legal matters pending against it. Nevertheless, cash flows or results of operations could be materially affected in any particular period by the resolution of one or more of these contingencies.

Litigation, Proceedings and Investigations

Copyright Levies. Proceedings are ongoing or have been concluded involving HP in certain European countries, challenging the imposition or the modification of levies regimes upon IT equipment (such as PCs or printers) or the restrictions to exonerate the application of private copying levies on devices purchased by business users. The levies are generally based upon the number of products sold and the per-product amounts of the levies, which vary. Some European countries are expected to implement legislation to introduce or extend existing levy schemes to digital devices. HP, other companies and various industry associations have opposed the extension of levies to the digital product and certain requirements for business sales exemptions and have advocated alternative models of compensation to rights holders.

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Based on the exemption of levies on business sales and industry opposition to increasing levies to digital products, HP’s assessments of the merits of various proceedings and HP’s estimates of the number of units impacted and the amounts of the levies, HP has accrued amounts that it believes are adequate to address the ongoing disputes.

India Directorate of Revenue Intelligence Proceedings. On April 30 and May 10, 2010, the India Directorate of Revenue Intelligence (the “DRI”) issued show cause notices to Hewlett-Packard India Sales Private Limited (“HP India”), a subsidiary of HP, seven HP India employees and one former HP India employee alleging that HP India underpaid customs duties while importing products and spare parts into India and seeking to recover an aggregate of approximately $370 million, plus penalties and interest. Prior to the issuance of the notices, HP India deposited approximately $16 million with the DRI and agreed to post a provisional bond in exchange for the DRI’s agreement to not seize HP India products and spare parts or interrupt business by HP India.

On April 11, 2012, the Bangalore Commissioner of Customs issued an order on the products-related notice affirming certain duties and penalties against HP India and the named individuals of approximately $386 million, of which HP India had already deposited $9 million. On December 11, 2012, HP India voluntarily deposited an additional $10 million in connection with the products-related notice. The differential duty demand is subject to interest. On April 20, 2012, the Commissioner issued an order on the parts-related notice affirming certain duties and penalties against HP India and certain of the named individuals of approximately $17 million, of which HP India had already deposited $7 million. After the order, HP India deposited an additional $3 million in connection with the parts-related notice so as to avoid certain penalties.

HP India filed appeals of the Commissioner’s orders before the Customs, Excise and Service Tax Appellate Tribunal (the “Customs Tribunal”) along with applications for waiver of the pre-deposit of remaining demand amounts as a condition for hearing the appeals. The Customs Department has also filed cross-appeals before the Customs Tribunal. On January 24, 2013, the Customs Tribunal ordered HP India to deposit an additional $24 million against the products order, which HP India deposited in March 2013. On February 7, 2014, the Customs Tribunal granted HP India’s application for extension of the stay of deposit until disposal of the appeals. On October 27, 2014, the Customs Tribunal commenced hearings on the cross-appeals of the Commissioner’s orders and rejected HP India’s request to remand the matter to the Commissioner on procedural grounds. The Customs Tribunal cancelled hearings to reconvene in 2015, 2016 and January 2019. On January 20, 2021, the Customs Tribunal held a virtual hearing during which the judge allowed HP’s application for a physical hearing on the merits as soon as practicable, which will be scheduled when physical hearings resume at court. In unrelated, third-party proceedings, the Supreme Court of India has resolved certain jurisdictional questions to the authority of the Directorate of Revenue Intelligence, issues which HP also raised in its appeal to the Customs Tribunal. In late 2024, those jurisdictional questions were resolved. Between late April and June 18, 2025, the Customs Tribunal held three weeks of hearings on the appeals. The ~~matter~~Customs isTribunal ~~presently~~relisted ~~pending~~the appeals for a hearing on December 15-16, 2025 for seeking formal clarification on some legal points. On May 6, 2026, the Customs Tribunal announced that a decision has been adopted, but the content of the decision has not yet been notified to the parties by the Customs Tribunal. If the decision is adverse, HP should be entitled to appeal on the merits to the Supreme Court of India, although HP may be required to make additional deposits. Pursuant to the separation and distribution agreement, Hewlett Packard Enterprise has agreed to indemnify HP in part, based on the extent to which any liability arises from the products and spare parts of Hewlett Packard Enterprise’s businesses.

Media Content Protection LLC Patent Litigation (formerly Philips Patent Litigation). In September 2020, Koninklijke Philips N.V. and Philips North America LLC (collectively, “Philips”) filed a complaint against HP for patent infringement in federal court for the District of Delaware and filed a companion complaint with the U.S. International Trade Commission (“ITC”) pursuant to Section 337 of the Tariff Act against HP and 8 other sets of respondents. Both complaints allege that certain digital video-capable devices and components thereof infringe four of Philips’ patents. In October 2020, the ITC instituted an investigation, and Philips later withdrew two of the four patents. On March 23, 2022, the ITC rendered a final determination that no violation of Section 337 has occurred. Philips did not appeal and elected to resume litigation with its case in federal court. Philips seeks unspecified damages and an injunction against HP, and the prior stay has been lifted. On August 10, 2023, HP filed a motion for summary judgment of indefiniteness for all asserted claims. On July 1, 2024, the district court denied the motion without prejudice to renew. Philips conveyed the patents asserted in the district court action to Media Content Protection LLC (“MCP”), and MCP was substituted as plaintiff in place of Philips. As of November 25, 2025, the district court has ruled that all patents asserted against HP are invalid under 35 U.S.C. § 101, subject to appeal.

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Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

York County on behalf of the County of York Retirement Fund v. HP Inc., et al., and related proceedings. On November 5, 2020, York County, on behalf of the County of York Retirement Fund, filed a putative class action complaint against HP, Dion Weisler, and Catherine Lesjak in federal court in the Northern District of California. The court appointed Maryland Electrical Industry Pension Fund as Lead Plaintiff. Lead Plaintiff filed a consolidated complaint, which additionally names as defendants Enrique Lores and Richard Bailey. The complaint ~~alleges~~alleged, among other things, that from November 5, 2015 to June 21, 2016, HP and the named then-current and former officers violated Sections 10(b) and 20(a) of the Exchange Act by concealing material information and making false statements about HP’s printing supplies business (“Securities Class Action”). Plaintiffs ~~seek~~sought compensatory damages and other relief. ~~HP and the named officers filed a motion to dismiss the complaint for failure to state a claim upon which relief can be granted.~~ On ~~March~~February 313, ~~2022~~2026, the ~~court granted the motion to dismiss with prejudice. Plaintiffs appealed the decision. On April 11, 2023, the appellate court reversed the~~ district court’s ~~decision~~entered and remanded the case to the district court for further proceedings consistent with the appellate opinion, including consideration of HP’s other arguments for dismissal. On July 21, 2023, HP and the named officers filed a renewed motion to dismiss. On March 27, 2024, the district court issued an order granting infinal ~~part~~approval ~~and denying in part the motion to dismiss. On August 8, 2024, the Court~~ of ~~Appeals for~~ the ~~Ninth Circuit granted HP~~parties’s petition for permission to appeal. On October 28, 2024, HP filed its appeal, which is awaiting appellate court oral argument that has not yet been scheduled. On July 28, 2025, the parties executed a binding term sheet containing the material terms of a proposed settlement. Onand ~~August~~final 19judgment, ~~2025,~~dismissing the ~~parties filed a stipulation of settlement and motion for preliminary approval of settlement in the district court~~case. On May 17, 2021, stockholder Scott Franklin filed a derivative complaint against certain then-current and former officers and directors in federal court in the District of Delaware. Plaintiff purports to bring the action on behalf of HP, which he has named as a nominal defendant, and he makes substantially the same factual allegations as in the York County securities complaint, bringing claims for breach of fiduciary duty and violations of securities laws. The derivative plaintiff seeks compensatory damages, governance reforms, and other relief. By court order following stipulations by the parties, the case was transferred to the Northern District of California, and the case was stayed pending a ruling on the motion to dismiss in York County and exhaustion of all related appeals. On January 13, 2022, stockholder Gerald Lovoi filed a derivative complaint in federal court in the Northern District of California against the same current and former officers and directors named in the Franklin action. The complaint alleges the same basic claims based on the same alleged conduct as the Franklin action and seeks similar relief. By stipulation of the parties, the Lovoi action was stayed pending a ruling on the motion to dismiss in York County and exhaustion of all related appeals. On May 31, 2024, the court adopted a stipulation in which the derivative plaintiffs and defendants agreed to consolidate the derivative proceedings, close the Lovoi action, and extend the current stay through summary judgment in the Securities Class Action. On April 24, 2026, the derivative plaintiffs filed an unopposed motion for preliminary approval of the settlement set forth in the stipulation and agreement of settlement dated April 22, 2026, which resolves all derivative claims in the consolidated derivative action.

Legal Proceedings re Authentication of Supplies. Since 2016, HP has from time to time been named in civil litigation, or been the subject of government investigations, involving supplies authentication protocols used in certain HP printers in multiple geographies, including but not limited to the United States, Italy, Israel, the Netherlands, Australia and New Zealand. The supplies authentication protocols are often referred to as Dynamic Security. The core allegations in these proceedings claim misleading or inadequate consumer notifications and permissions pertaining to the use of Dynamic Security, the installation of firmware updates, or the potential inability of cartridges with clone chips or circuitry to work in HP printers with Dynamic Security. Plaintiffs base or have based their claims on various legal theories, including but not limited to unfair competition, computer trespass, and similar statutory claims. Among other relief, Plaintiffs have sought or seek money damages and in certain cases have or may seek injunctive relief against the use or operation of Dynamic Security or relief requiring interoperability. If HP is not successful in its defense of these cases or investigations, it could be subject to damages, penalties, significant settlement demands, or injunctive relief that may be costly or may disrupt operations. Certain of these proceedings in the United States, Italy, the Netherlands, Israel, Australia and New Zealand have been resolved, have concluded, or have concluded subject only to HP’s pending appeal. Digital Revolution B.V. (trading as 123Inkt) filed civil litigation, including competition claims, against HP Nederlands B.V., et al. (Netherlands) in March 2020. HP substantially prevailed before the trial court, and both parties appealed. On November 19, 2024, the court of appeal issued a decision rejecting competition claims against HP and providing that use of Dynamic Security by HP is not unlawful. On February 18, 2025, Digital Revolution filed a cassation appeal against the decision before the Dutch Supreme Court. On December 12, 2025 the Attorney General issued his non-binding opinion advising the Supreme Court to reject the appeal; judgment by the Dutch Supreme Court is pending. In addition, a putative class action was filed against HP in federal court in Illinois in January 2024, arising out of the use of Dynamic Security firmware updates in HP printers. Plaintiffs seek compensatory damages, restitution, injunctive relief against alleged unfair and anticompetitive business practices, and other relief. On September 30, 2025, the court dismissed the complaint in its entirety but gave plaintiffs leave to file an amended complaint. The case is in its early stages.

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Autonomy-Related Legal Proceedings. reIn ~~Authentication~~2015, offour ~~Supplies.~~former ~~Since~~Hewlett ~~2016,~~Packard HPCompany ~~has~~subsidiaries ~~from~~that ~~time~~became tosubsidiaries of Hewlett Packard Enterprise at the time ~~been~~of ~~named~~the inSeparation ~~civil~~(Autonomy ~~litigation~~Corporation Limited, orHewlett ~~been~~Packard ~~the~~Vision ~~subject~~BV, ofAutonomy ~~government~~Systems ~~investigations~~Limited, ~~involving~~and ~~supplies~~Autonomy, ~~authentication~~Inc., ~~protocols~~hereinafter ~~used~~the in“Claimants”) ~~certain~~initiated HPcivil ~~printers~~proceedings in ~~multiple~~the ~~geographies,~~U.K. ~~including~~High ~~but~~Court ~~not~~of ~~limited~~Justice toagainst ~~the~~two ~~United~~members ~~States,~~of ~~Italy,~~Autonomy’s ~~Israel~~former management, ~~the~~Michael ~~Netherlands~~Lynch and Sushovan Hussain, ~~Australia~~for ~~and~~breach ~~New~~of ~~Zealand.~~their ~~The~~fiduciary ~~supplies~~duties ~~authentication~~in ~~protocols~~causing ~~are~~Autonomy ~~often~~group ~~referred~~companies to asengage ~~Dynamic~~in ~~Security.~~improper ~~The~~transactions ~~core~~and ~~allegations~~accounting inpractices ~~these~~before ~~proceedings~~and ~~claim~~in ~~misleading~~connection orwith ~~inadequate~~the ~~consumer~~2011 ~~notifications~~acquisition ~~and~~of ~~permissions~~Autonomy. ~~pertaining~~Trial toconcluded ~~the~~in ~~use~~January of2020. ~~Dynamic~~In ~~Security~~May 2022, the ~~installation~~court ofissued ~~firmware~~its ~~updates~~liability judgment, orfinding that the ~~potential~~Claimants ~~inability~~had ofsucceeded ~~cartridges~~on ~~with~~substantially ~~clone~~all ~~chips~~claims orand ~~circuitry~~that toMessrs. ~~work~~Lynch and Hussain engaged in HPfraud, ~~printers~~and ~~with~~dismissing ~~Dynamic~~a ~~Security~~counterclaim filed by Mr. ~~Plaintiffs~~Lynch. ~~base~~The orcourt ~~have~~deferred ~~based~~the ~~their~~issue ~~claims~~of ondamages ~~various~~to ~~legal~~further ~~theories~~proceedings, ~~including~~ but ~~not~~indicated ~~limited~~that todamages ~~unfair~~awarded ~~competition,~~may ~~computer~~be ~~trespass,~~substantially ~~and~~less ~~similar~~than ~~statutory~~was ~~claims~~claimed. ~~Among~~In ~~other~~February ~~relief~~2024, ~~Plaintiffs~~the ~~have~~court ~~sought~~held ora ~~seek~~two-week ~~money~~trial on damages, ~~and~~the inClaimants ~~certain~~sought ~~cases~~recovery ~~have~~for or$4 billion ~~may~~in ~~seek~~losses, ~~injunctive~~and ~~relief~~the ~~against~~court took the ~~use~~issue orunder ~~operation~~advisement. ofIn ~~Dynamic~~May ~~Security~~2025, orClaimants ~~relief~~reached ~~requiring~~an ~~interoperability.~~agreement Ifwith HPMr. isHussain ~~not~~to ~~successful~~resolve inclaims ~~its~~against ~~defense~~him. ofOn ~~these~~July ~~cases~~22, ~~or investigations~~2025, itthe ~~could~~court beissued ~~subject~~its toruling ~~damages,~~on ~~penalties,~~the ~~significant~~quantum ~~settlement~~of ~~demands~~damages, orfinding ~~injunctive relief~~ that ~~may~~the beLynch ~~costly~~estate orowed ~~may~~approximately ~~disrupt~~740 million ~~operations~~pounds. ~~Certain~~The ofcourt ~~these~~held ~~proceedings~~a inhearing for the ~~United~~week ~~States,~~of ~~Italy,~~November ~~the Netherlands~~17, ~~Israel~~2025, ~~Australia~~to ~~and~~address ~~New~~additional ~~Zealand~~matters, ~~have~~including ~~been~~attorneys’ ~~resolved~~fees, ~~have~~pre-judgment ~~concluded~~interest, orand ~~have~~the ~~concluded~~relevant ~~subject~~date ~~only~~ to ~~HP’s~~use ~~pending~~for ~~appeal.~~the ~~Digital~~exchange ~~Revolution~~rate ~~B.V.~~to ~~(trading~~convert asthe ~~123Inkt)~~recovery ~~filed~~from ~~civil~~pounds ~~litigation,~~to ~~including~~dollars. ~~competition~~On ~~claims~~March 24, ~~against~~2026, HPthe ~~Nederlands~~court ~~B.V.~~entered its judgment, etawarding ~~al.~~damages ~~(Netherlands)~~plus ininterest ~~March~~totaling ~~2020~~$1.24 billion, HPand ~~substantially~~denying ~~prevailed before~~ the ~~trial~~Lynch ~~court,~~estate’s ~~and~~request ~~both~~for ~~parties~~permission ~~appealed~~to appeal. OnThe ~~November~~damages ~~19,~~award ~~2024,~~includes ~~the~~a ~~court~~set-off offor ~~appeal~~prior ~~issued~~settlements. aThe ~~decision~~Lynch ~~rejecting~~estate ~~competition~~has ~~claims~~filed ~~against~~a HPrequest ~~and~~for ~~providing~~permission ~~that~~to ~~use~~appeal ofwith ~~Dynamic~~the ~~Security~~appellate bylevel HPcourt. isThe ~~not~~Claimants ~~unlawful.~~have Onopposed ~~February~~that ~~18,~~request. ~~2025,~~No ~~Digital~~decision ~~Revolution~~has ~~filed~~been amade ~~cassation~~as ~~appeal~~to ~~against~~whether the ~~decision~~Lynch ~~before~~estate ~~the~~will ~~Dutch~~be ~~Supreme~~permitted ~~Court~~to appeal. InLitigation ~~addition~~is unpredictable, aand ~~putative~~there ~~class~~can ~~action~~be ~~was~~no ~~filed~~assurance ~~against~~of HPa inrecovery. ~~federal~~Any ~~court~~amount inultimately ~~Illinois~~recovered would be recorded in ~~January~~the ~~2024,~~period ~~arising~~received. ~~out~~No ofadjustment ~~the~~has ~~use~~been ofrecorded ~~Dynamic~~in ~~Security~~the ~~firmware~~financial ~~updates~~statements in HPrelation ~~printers.~~to ~~Plaintiffs~~this ~~seek~~potential ~~compensatory~~recovery. ~~damages,~~Pursuant ~~restitution,~~to ~~injunctive~~the ~~relief~~terms ~~against~~of ~~alleged~~the ~~unfair~~separation and ~~anticompetitive~~distribution ~~business practices~~agreement, HP and ~~other~~Hewlett ~~relief.~~Packard ~~The~~Enterprise ~~case~~will isshare equally in ~~its~~any ~~early stages~~recovery.

~~Autonomy-Related~~Standard ~~Legal~~Essential ~~Proceedings.~~Patent In 2015, four former Hewlett Packard Company subsidiaries that became subsidiaries of Hewlett Packard Enterprise at the time of the Separation (Autonomy Corporation Limited, Hewlett Packard Vision BV, Autonomy Systems Limited, and Autonomy, Incmatters., ~~hereinafter~~HP ~~the~~is ~~“Claimants”)~~engaged ~~initiated civil proceedings~~ in ~~the~~a ~~U.K.~~number ~~High Court~~ of ~~Justice~~patent-related ~~against~~matters ~~two~~involving ~~members~~patents ofasserted ~~Autonomy’s~~to ~~former~~be ~~management,~~essential ~~Michael Lynch and Sushovan Hussain, for breach of their fiduciary duties in causing Autonomy group companies~~ to ~~engage~~industry instandards ~~improper~~(such ~~transactions~~as ~~and~~Wi ~~accounting~~Fi). ~~practices~~This ~~before~~includes ~~and~~discussions ~~in connection~~ with ~~the~~third ~~2011~~parties ~~acquisition~~regarding ofpatent ~~Autonomy.~~license ~~Trial~~arrangements ~~concluded in January 2020. In May 2022, the court issued its liability judgment, finding that the Claimants had succeeded on substantially all claims~~ and ~~that Messrs. Lynch and Hussain engaged in fraud~~, and dismissing a counterclaim filed by Mr. Lynch. The court deferred the issue of damages to further proceedings, but indicated that damages awarded may be substantially less than was claimed. In February 2024, the court held a two-week trial on damages, the Claimants sought recovery for $4 billion in ~~losses,~~some ~~and the court took the issue under advisement. In May 2025~~instances, ~~Claimants reached an agreement with Mr~~litigation. ~~Hussain~~Based ~~to resolve claims against him. On July 22, 2025, the court issued its ruling~~ on ~~the~~HP’s ~~quantum~~assessment of ~~damages~~various matters, ~~finding~~HP ~~that~~has ~~the~~accrued ~~Lynch~~amounts ~~estate owed approximately 740 million pounds. The court set a hearing~~ for ~~the~~those ~~week of November 17, 2025, to address additional~~ matters, ~~including attorneys’ fees, pre-judgment interest, and the relevant date to use~~ for ~~the~~which ~~exchange rate to convert the recovery from pounds to dollars. The damages award is also subject to~~ a ~~set-off~~loss ~~for prior settlements. Litigation~~ is ~~unpredictable,~~probable and ~~there~~reasonably ~~can be no assurance of a recovery~~estimable. Any amount ultimately recovered would be recorded in the period received. No adjustment has been recorded in the financial statements in relation to this potential recovery. Pursuant to the terms of the separation and distribution agreement, HP and Hewlett Packard Enterprise will share equally in any recovery.

Litigation with Wilus Institute of Standards and Technology, Inc. and Sisvel International S.A. Since September 13, 2024, Wilus Institute of Standards and Technology, Inc. (“Wilus”) has filed three patent infringement lawsuits against HP in the Eastern District of Texas seeking monetary damages, injunctions and other relief. The complaints allege that HP products, that are compliant with the Wi-Fi 6 (801.11.ax) standard, infringe patents owned by Wilus. Wilus is a member of the Wi-Fi 6 patent pool administered by Sisvel International S.A. (“Sisvel”), and the patents at issue in the lawsuits are in the Sisvel Wi-Fi 6 patent pool. In December 2024, HP answered the complaints and filed counterclaims against Wilus and Sisvel, alleging that Wilus and Sisvel violated their obligations to license standard-essential patents on fair, reasonable and non-discrimination (“FRAND”) terms, and seeking a court determination of the proper FRAND rate. As of August 8, 2025, another Sisvel Wi-Fi 6 pool member Koniklijke Philips N.V. and its affiliate Philips GmbH (together, “Philips”) filed three lawsuits against HP Inc., HP Deutschland GmbH and HP International SARL, in the State Court in Munich, Germany asserting pool patents related to Wi-Fi 6 standards. Philips seeks an injunction, reporting, damages and product recall in two of its claims and hearings are scheduled on May 21, 2026 and June 11, 2026. The third claim relates to an expired patent for which Philips seeks damages, and a hearing is scheduled on July 30, 2026. As of August 26, 2025, another pool member, Huawei Technologies Co. Ltd (“Huawei”), filed two lawsuits against HP Inc. and HP Deutschland GmbH in the State Court in Munich, Germany, asserting pool patents related to Wi-Fi 6 standards. Relief sought includes an injunction, reporting, damages, product recall and/or destruction of inventory, and a hearing has been set in one case for March 26, 2026.

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HP INC.

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

Environmental

HP is, and may become a party to, proceedings brought by U.S., state, or other governmental entities or private third parties under federal, state, local, or foreign environmental laws, including the Comprehensive Environmental Response, Compensation and Liability Act (“CERCLA”), known as “Superfund,” or state laws similar to CERCLA. HP is also conducting environmental investigations or remediation at several current or former operating sites and former disposal sites pursuant to administrative orders or consent agreements with environmental agencies.

Note 12: Guarantees, Indemnifications and Warranties

Guarantees

In the ordinary course of business, HP may issue performance guarantees to certain of its clients, customers and other parties pursuant to which HP has guaranteed the performance obligations of third parties. Some of those guarantees may be backed by standby letters of credit or surety bonds. In general, HP would be obligated to perform over the term of the guarantee in the event a specified triggering event occurs as defined by the guarantee. HP believes the likelihood of having to perform under a material guarantee is remote.

Cross-Indemnifications with Hewlett Packard Enterprise

On November 1, 2015, Hewlett-Packard Company completed the separation of Hewlett Packard Enterprise, Hewlett-Packard Company’s former enterprise technology infrastructure, software, services and financing businesses. The separation and distribution agreement provides for cross-indemnities between HP and Hewlett Packard Enterprise for liabilities allocated to the respective party pursuant to the terms of such agreement. For information on cross-indemnifications with Hewlett Packard Enterprise for litigation matters, see Note 11, “Litigation and Contingencies”.

Indemnifications

In the ordinary course of business, HP enters into contractual arrangements under which HP may agree to indemnify a third-party to such arrangement from any losses incurred relating to the services they perform on behalf of HP or for losses arising from certain events as defined within the particular contract, which may include, for example, litigation or claims relating to past performance. HP also provides indemnifications to certain vendors and customers against claims of intellectual property infringement made by third parties arising from the vendors’ and customers’ use of HP’s software products and services and certain other matters. Some indemnifications may not be subject to maximum loss clauses. Historically, payments made related to these indemnifications have been immaterial.

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HP INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

property infringement made by third parties arising from the vendors’ and customers’ use of HP’s software products and services and certain other matters. Some indemnifications may not be subject to maximum loss clauses. Historically, payments made related to these indemnifications have been immaterial.

HP records tax indemnification receivables from various third parties for certain tax liabilities that HP is jointly and severally liable for, but for which it is indemnified by those same third parties under existing legal agreements. HP records a tax indemnification payable to various third parties under these agreements when management believes that it is both probable that a liability has been incurred and the amount can be reasonably estimated. The actual amount that the third parties pay or may be obligated to pay HP could vary depending on the outcome of certain unresolved tax matters, which may not be resolved for several years.

Warranties

HP accrues the estimated cost of product warranties at the time it recognizes revenue. HP engages in extensive product quality programs and processes, including actively monitoring and evaluating the quality of its component suppliers; however, contractual warranty terms, repair costs, product call rates, average cost per call, current period product shipments and ongoing product failure rates, as well as specific product class failures outside of HP’s baseline experience, affect the estimated warranty obligation.

HP’s aggregate product warranty liabilities and changes were as follows:


	Six months ended April 30, 2026
	In millions
Balance at beginning of period	$	452
Accruals and adjustments	319

Settlements made	(350)
Balance at end of period	$	421

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HP INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Continued)

(Unaudited)

~~HP’s aggregate product warranty liabilities and changes were as follows~~Note 13: Commitments

	Nine months ended July 31, 2025
	In millions
Balance at beginning of period	$	550
Accruals for warranties issued	491
Adjustments related to pre-existing warranties (including changes in estimates)	(4)
Settlements made	(575)
Balance at end of period	$	462

Unconditional Purchase Obligations

HP’s unconditional purchase obligations include agreements to purchase goods or services that are enforceable and legally binding on HP and that specify all significant terms, including fixed or minimum quantities to be purchased, fixed, minimum or variable price and volume provisions and the approximate timing of the transaction. Unconditional purchase obligations exclude agreements that are cancellable without penalty. The Company's purchase obligations under variable price provisions approximate market prices at the time of purchase and are estimated using current period pricing. Actual future variable price purchase commitments may significantly vary depending on market prices and product mix at the time of purchase. The Company's unconditional purchase obligations are primarily related to inventory and service support.

As of April 30, 2026, unconditional purchase obligations were as follows:


Fiscal year	In millions
2026(1)	$	265
2027	724
2028	815
2029	271
2030	105
Thereafter	4
Total	$	2,184

(1) Represents expected unconditional purchase obligations for the remaining six months of fiscal year 2026.

The Company's purchase obligations increased from $1.1 billion as of October 31, 2025 due to inventory purchase obligations of processors under variable price provisions to support future business needs.

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ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

HP INC.

Management’s Discussion and Analysis of

Financial Condition and Results of Operations

The discussion of financial condition and results of our operations that follows provides information that will assist the reader in understanding our Condensed Consolidated Financial Statements, the changes in certain key items in those financial statements from year to year, and the primary factors that accounted for those changes, as well as how certain accounting principles, policies and estimates affect our Condensed Consolidated Financial Statements. This discussion should be read in conjunction with our Condensed Consolidated Financial Statements and the related notes that appear elsewhere in this document.

OVERVIEW

HP delivers innovative and ~~sustainable~~AI-powered devices, software, services, and subscriptions ~~for~~that ~~personal~~drive ~~computing,~~business ~~printing,~~growth ~~3D printing, hybrid work, gaming~~ and ~~other~~professional ~~related technologies~~fulfillment. We have three reportable segments: Personal Systems, Printing, and Corporate Investments. The Personal Systems segment offers commercial and consumer desktops, notebooks and workstations (including HP’s portfolio of AI PCs and workstations), thin clients, retail POS systems, displays, hybrid systems, software, solutions including endpoint security, and services. The Printing segment provides consumer and commercial printer hardware, supplies, solutions and services. Corporate Investments include certain business incubation and investment projects.

•In Personal Systems, our long-term strategic focus is on:

◦profitable growth through innovation, market segmentation and simplification of our portfolio;

◦enhanced innovation in multi-operating systems, multi-architecture, customer segments and other key attributes;

◦investing in endpoint services and solutions. We are focused on services, including Device-as-a-Service, as the market shifts to subscription-based solutions, and accelerating in attractive adjacencies such as hybrid systems; and

◦driving innovation to enable productivity and collaboration, with AI PCs and workstations playing a critical role in the transformation of how people live and work.

•In Printing, our long-term strategic focus is on:

◦offering innovative, intelligent printing experiences and subscription-based solutions designed to securely serve consumer and SMB customers through our Instant Ink Services and HP All-In Plan, as well as large enterprises through our Managed Print Services solutions;

◦providing digital printing solutions for industrial graphics segments and applications including commercial publishing, labels, packaging, and textiles; and

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◦expanding our footprint in 3D printing across digital manufacturing and strategic applications.

We are focused on ~~growing~~driving ~~our~~further ~~AI PC~~growth, ~~advanced~~recurring ~~compute~~revenue ~~solutions,~~and ~~hybrid~~investment ~~systems,~~in ~~workforce~~strategic ~~solutions,~~areas ~~consumer subscriptions, industrial graphics~~ and ~~our~~believe 3Dwe ~~and~~are ~~personalization~~well ~~businesses~~positioned ~~collectively~~to atlead athe ~~rate~~future ~~faster~~of ~~than~~work ~~our core business~~ with ~~accretive margins in the longer term. We believe~~ our ~~ability~~competitive toproduct ~~innovate~~lineup ~~will~~and ~~help~~enhanced usportfolio ~~gain~~of ~~momentum~~hybrid ~~in growth areas like AI PC~~systems, ~~advanced~~remote-computing ~~compute~~ solutions ~~and hybrid systems~~, and weintelligent ~~see~~print ~~significant~~solutions. ~~opportunities~~We toare ~~drive~~driving ~~greater~~innovation ~~recurring~~by ~~revenues~~accelerating ~~across~~the ~~Personal~~delivery ~~Systems~~of ~~and~~AI ~~Printing. Our Workforce Solutions organization drives integration~~ across our ~~commercial~~product ~~services,~~portfolio ~~software~~ and ~~security~~focusing ~~portfolio. We continue to build~~ on ~~strong~~growth ~~portfolios~~opportunities ~~like~~in ~~Instant~~commercial, ~~Ink~~solutions, toand ~~grow~~premium ~~our~~consumer ~~Consumer~~and ~~Subscription~~gaming ~~business~~markets. InWe ~~Industrial~~have ~~Graphics,~~consolidated weall ~~are~~our ~~driving~~software ~~the~~resources ~~shift~~under ~~from~~the ~~analog~~Technology toand ~~digital~~Innovation inOrganization ~~segments~~to ~~like~~evolve ~~labels~~from ~~and~~a ~~packaging.~~transactional Inhardware 3Dcompany ~~and~~to ~~Personalization,~~a wemore ~~are creating end~~experience-~~to-end~~led ~~solutions~~organization, ~~that~~further westrengthening ~~believe~~our ~~can~~ability to capture ~~more~~these ~~value with our differentiated technology~~opportunities.

We ~~believe~~continue weto ~~are~~experience ~~well~~challenges ~~positioned~~that toare ~~lead~~representative of the ~~future~~trends ofand ~~work~~uncertainties ~~with~~that ~~our~~may ~~competitive~~affect ~~product~~our ~~lineup~~industry, generally, and ~~enhanced~~our ~~portfolio~~business ofand ~~hybrid~~financial ~~systems~~results, ~~remote-computing solutions~~specifically, and ~~intelligent~~we ~~print~~expect ~~solutions.~~these Wechallenges ~~are~~to ~~driving~~continue ~~innovation~~in bythe ~~accelerating~~short-term. ~~the~~One ~~delivery~~set of AIchallenges ~~across~~relates ~~our~~to ~~product~~the ~~portfolio~~current ~~and~~macroeconomic ~~focusing~~environment onand ~~growth~~the ~~opportunities~~adverse inimpact ~~commercial,~~on ~~solutions,~~demand ~~and~~for ~~premium~~certain ~~consumer~~of ~~and~~our ~~gaming markets~~products. WeA ~~are~~second ~~consolidating~~set ~~all~~of ~~our~~challenges ~~software~~relates ~~resources~~to ~~under~~changes in the ~~Technology~~competitive ~~and~~landscape. ~~Innovation~~Our ~~Organization~~primary tocompetitors ~~evolve~~are ~~from~~exerting acompetitive ~~transactional~~pressure ~~hardware~~in ~~company~~targeted toareas aand ~~more~~are ~~experience-led~~entering ~~organization~~new markets, ~~further strengthening~~ our ~~ability~~emerging tocompetitors ~~capture~~are ~~these~~introducing ~~opportunities.~~new

We continue to experience challenges that are representative of the trends and uncertainties that may affect our industry, generally, and our business and financial results, specifically, and we expect these challenges to continue in the short-term. One set of challenges relates to the current macroeconomic environment and the adverse impact on demand for certain of our products. A second set of challenges relates to changes in the competitive landscape. Our primary competitors are exerting competitive pressure in targeted areas and are entering new markets, our emerging competitors are introducing new technologies and business models, and our alliance partners in some businesses are increasingly becoming our competitors in others. A third set of challenges relates to business model changes and our go-to-market execution in an evolving distribution and reseller landscape, with increasing online and omnichannel presence. Specific challenges we face at the segment level are set forth below.38

~~•In~~Table ~~Personal~~of ~~Systems,~~Contents ~~we face challenges with a competitive pricing environment, variability in commodity costs, and demand softness in certain geographic regions.~~

technologies and business models, and our alliance partners in some businesses are increasingly becoming our competitors in others. A third set of challenges relates to business model changes and our go-to-market execution in an evolving distribution and reseller landscape, with increasing online and omnichannel presence. Specific challenges we face at the segment level are set forth below.

•In Personal Systems, we face challenges with a competitive pricing environment, variability in commodity costs, especially increasing memory and storage costs, and the uncertainty of the market’s ability to absorb price increases.

•In Printing, we face challenges from changing customer behaviors as well as competitors with a favorable foreign currency environment and non-original supplies (which includes imitation, refill, or remanufactured alternatives). We also obtain many Printing components from single source suppliers due to technology, availability, price, quality, or other considerations.

To address these challenges, we continue to pursue innovation with a view towards developing new products and services aligned with generating market demand and meeting the needs of our customers and partners. In addition, we continue to work on improving our operations and adapting our business models, with a particular focus on enhancing our end-to-end processes, analytics, efficiencies and simplification of our product portfolio. We also continue to work on optimizing our sales coverage models, aligning our sales incentives with our strategic goals, improving channel execution and inventory, production and backlog management, strengthening our capabilities in our areas of strategic focus, effective cost management, strengthening our pricing strategy, and developing and capitalizing on market opportunities.

Macroeconomic Environment

Our business and financial performance depend significantly on worldwide economic conditions. We face global macroeconomic challenges such as ongoing geopolitical conflicts ~~(including the military conflict in Ukraine~~, ~~continued instability in the Middle East, and tensions in the Taiwan Strait and South China Sea),~~ uncertainty in the markets, volatility in exchange rates, inflationary trends and evolving dynamics in the global trade environment. We also experience seasonality in the sale of our products and services which may be affected by general economic conditions.

Since April 2025, new, substantial tariffs have been imposed on imports to the United States. WeOn ~~continue~~February to20, ~~evaluate~~2026, ~~and~~the ~~implement~~U.S. ~~further~~Supreme ~~mitigating~~Court ~~actions,~~held ~~including~~that ~~potential~~tariffs ~~supply~~imposed ~~chain~~under ~~resiliency~~the ~~movements~~International ~~and~~Emergency ~~cost~~Economic ~~and~~Powers ~~pricing~~Act ~~measures,~~were asnot ~~the~~authorized ~~tariff~~by ~~environment~~statute ~~evolves.~~which ~~During~~removed the ~~nine~~obligation ~~months~~for ~~ended~~and ~~July~~collection ~~31,~~of ~~2025,~~related wetariffs. ~~experienced~~We ~~higher~~are ~~commodity~~continuing ~~and~~to ~~tariff~~assess ~~costs,~~the ~~which~~impact ~~were~~of ~~not~~subsequent ~~fully~~developments, ~~mitigated~~including bythe ~~pricing~~potential ~~and~~recovery ~~other~~of ~~actions~~tariffs ~~enacted~~previously ~~during~~paid, ~~the~~as ~~period.~~well ~~Should~~as ~~these~~the oreffects ~~other~~of ~~proposed~~any oradditional ~~incremental~~ tariffs, ~~including~~or ~~potential~~trade ~~retaliatory~~ actions ~~imposed~~that bymay ~~other countries,~~ be ~~implemented~~imposed. ~~and sustained for an~~

38During fiscal year 2025 and the first half of fiscal year 2026, we experienced higher commodity and trade related costs and implemented pricing and other mitigation actions during the period. Additionally, during the first half of fiscal year 2026, we experienced higher inflationary pressure in memory and storage costs and supply constraints in our Personal Systems business, which we anticipate will continue. We continue to evaluate and implement further mitigating actions, including potential supply chain resiliency movements and cost and pricing measures, as the trade and supply environments evolve.

~~Table~~New or sustained changes to tariffs and commodity costs could result in increased supply chain challenges, cost volatility, and consumer and economic uncertainty which may have a significant adverse impact to our results of ~~Contents~~operations and cash flows to the extent our efforts do not fully mitigate these effects.

~~extended~~We ~~period~~are ofalso ~~time,~~exposed asto ~~proposed,~~fluctuations ~~enacted~~in orforeign ~~otherwise,~~currency ~~they~~exchange ~~may~~rates. We have a ~~significant~~large ~~adverse~~global ~~impact~~presence, towith more than 65% of our net revenue from outside the United States. As a result, our financial results can be impacted by fluctuations in foreign currency exchange rates. For a further discussion of ~~operations~~trends, uncertainties and ~~cash~~other ~~flows~~factors tothat could impact our operating results, see the ~~extent~~section entitled “Risk Factors” in Item 1A of Part I in our ~~efforts~~Annual doReport ~~not~~on ~~fully~~Form ~~mitigate~~10-K for the ~~effects~~fiscal ofyear ~~such~~ended ~~tariffs~~October 31, 2025.

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.

Transformation Update

InOn November ~~2022~~25, 2025, we announced our ~~Future Ready Plan (the “~~Fiscal ~~2023~~2026 Plan” orintended ~~“Future Ready”)~~ to ~~become~~drive acustomer ~~more~~satisfaction, ~~digitally~~product ~~enabled company~~innovation, ~~focus~~and ~~investments~~productivity onprimarily ~~key~~through ~~growth~~artificial ~~opportunities~~intelligence adoption and ~~simplify~~enablement ~~our~~that ~~operating~~HP ~~model.~~expects ~~The~~will ~~Fiscal~~be ~~2023~~implemented ~~Plan,~~through asfiscal ~~amended~~2028. onWe ~~February~~are ~~27,~~on-track ~~2025,~~to isachieve our expected togross ~~run~~reductions ~~through~~in cost by the end of fiscal year ~~2025~~2028. ~~The~~During ~~three~~the ~~key~~first ~~elements~~half of fiscal 2026, we took actions to integrate AI into our ~~Fiscal~~channel ~~2023~~partner ~~Plan~~experience ~~are~~and ~~digital~~scale ~~transformation,~~additional ~~portfolio~~AI ~~optimization,~~agents in our supply chain operations and ~~operational~~expect ~~efficiency~~to continue to accelerate and scale these initiatives. We ~~are~~additionally ontook ~~track~~actions to ~~achieve~~reduce ~~our~~headcount ~~overall~~through the EER program ~~savings~~of which a significant portion of which will get executed during fiscal year 2026.

~~Since~~See ~~announcing~~“Risk ~~our~~Factors—Strategic ~~Fiscal~~and ~~2023~~Operational ~~Plan,~~Risks—We wemay ~~have~~not ~~enhanced~~achieve ~~our~~some ~~digital~~or ~~capabilities~~all inof ~~Workforce~~the ~~Solutions~~expected ~~and~~benefits ~~continued~~of ~~to leverage AI to positively impact~~ our ~~products,~~restructuring ~~solutions~~ and ~~operations.~~other ~~Additionally,~~plans ~~we are reducing portfolio complexity, improving continuity of supply,~~ and ~~increasing~~such ~~our~~plans ~~forecast~~may ~~accuracy~~adversely ~~across~~affect our business” ~~to drive reduction~~ in ~~our~~Item ~~cost~~1A of ~~sales~~Part ~~and~~I ~~operating~~in ~~expenses. We also continued to reduce~~ our ~~structural~~Annual ~~cost~~Report ~~through headcount reductions and are~~ on ~~track~~Form to10-K ~~achieve~~for ~~our~~the ~~overall~~fiscal ~~headcount~~year ~~reduction~~ended ~~goal~~October 31, 2025. WeFor ~~expect~~more toinformation ~~continue~~on toour ~~invest~~Fiscal ~~some~~2026 ofPlan, ~~the~~see ~~savings~~Note ~~into~~3, ~~our growth areas and our people.~~

See “Risk Factors—Strategic and Operational Risks—We may not achieve some or all of the expected benefits of our restructuring plans and our restructuring may adversely affect our business” in Item 1A of Part I in our Annual Report on Form 10-K for the fiscal year ended October 31, 2024. For more information on our Fiscal 2023 Plan, see Note 3, “Restructuring and Other Charges,” to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.39

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“Restructuring and Other Charges,” to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

CRITICAL ACCOUNTING ESTIMATES

MD&A is based on our Condensed Consolidated 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 ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026 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~~2025.

ACCOUNTING PRONOUNCEMENTS

For a summary of recent accounting pronouncements applicable to our Condensed Consolidated Financial Statements see Note 1, “Basis of Presentation”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

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RESULTS OF OPERATIONS

Revenue from our international operations has historically represented, and we expect will continue to represent, a majority of our overall net revenue. As a result, our net revenue growth has been impacted, and we expect it will continue to be impacted, by fluctuations in foreign currency exchange rates. In order to provide a framework for assessing performance excluding the impact of foreign currency fluctuations, we supplement the year-over-year percentage change in net revenue with the year-over-year percentage change in net revenue on a constant currency basis, which excludes the effect of foreign currency exchange fluctuations calculated by translating current period revenues using monthly exchange rates from the comparative period and excluding any hedging impact recognized in the current period, and without adjusting for any repricing or demand impacts from changes in foreign currency exchange rates. This information is provided so that net revenue can be viewed with and without the effect of fluctuations in foreign currency exchange rates, which is consistent with how management evaluates our net revenue results and trends, as management does not believe that the excluded items are reflective of ongoing operating results. The constant currency measures are provided in addition to, and not as a substitute for, the year-over-year percentage change in net revenue on a GAAP basis. Other companies may calculate and define similarly labeled items differently, which may limit the usefulness of this measure for comparative purposes.

Results of operations in dollars and as a percentage of net revenue were as follows:

	Three months ended July 31								Nine months ended July 31
	Three months ended April 30								Six months ended April 30
	2025				2024				2025				2024
	2026				2025				2026				2025
	Dollars		% of Net Revenue		Dollars		% of Net Revenue		Dollars		% of Net Revenue		Dollars		% of Net Revenue
	Dollars in millions
Net revenue:
Products	$	13,~~114~~563	94.1	%	$	12,~~750~~423	94.30	%	$	3827,~~232~~161	94.02	%	$	3725,~~212~~118	94.20	%
Services	~~818~~845		5.9	%	~~769~~797		56.70	%	21,~~424~~685		65.08	%	21,~~292~~606		56.80	%
Total net revenue	1314,~~932~~408		100.0	%	13,~~519~~220		100.0	%	4028,~~656~~846		100.0	%	3926,~~504~~724		100.0	%
Cost of net revenue:
Products(1)	10,~~599~~918		80.85	%	10,~~164~~007		7980.76	%	3022,~~800~~056		8081.62	%	2920,~~359~~201		7880.94	%
Services(2)	~~482~~474		5856.91	%	~~449~~474		5859.45	%	~~1,426~~939		5855.87	%	~~1,328~~944		5758.98	%
Total cost of net revenue	11,~~081~~392		79.51	%	10,~~613~~481		7879.53	%	3222,~~226~~995		79.37	%	3021,~~687~~145		7779.71	%
Gross Margin	23,~~851~~016		20.59	%	2,~~906~~739		2120.57	%	85,~~430~~851		20.73	%	85,~~817~~579		2220.39	%
Research and development	~~406~~432		23.90	%	~~413~~401		3.10	%	~~1,204~~824		32.09	%	~~1,248~~798		3.20	%
Selling, general and administrative	1,~~452~~514		10.45	%	1,~~404~~480		1011.32	%	43,~~391~~018		10.85	%	42,~~249~~939		1011.70	%
Restructuring and other charges	~~110~~365		02.96	%	46122		01.30	%	~~302~~491		01.76	%	~~180~~192		0.47	%
Acquisition and divestiture charges	84		~~0.1~~—	%	2217		0.21	%	312		~~0.1~~—	%	7123		0.21	%
Amortization of intangible assets	~~159~~89		10.16	%	8165		0.65	%	~~287~~145		0.75	%	~~242~~128		0.65	%
Total operating expenses	2,~~135~~404		1516.47	%	12,~~966~~085		1415.58	%	64,~~215~~480		15.35	%	54,~~990~~080		15.13	%
Earnings from operations	~~716~~612		54.12	%	~~940~~654		74.09	%	21,~~215~~371		5.4.8	%	21,~~827~~499		75.26	%
Interest and other, net	(92119)		(0.68)	%	(~~113~~148)		(01.91)	%	(~~381~~207)		(0.98)	%	(~~410~~289)		(1.1)	%
Earnings before taxes	~~624~~493		43.54	%	~~827~~506		63.18	%	1,~~834~~164		4.50	%	21,~~417~~210		64.15	%
Benefit from (provision for) taxes	139		1.0	%	(187)		(1.4)	%	(100)		(0.2)	%	(548)		(1.4)	%
Provision for taxes	(43)		(0.3)	%	(100)		(0.7)	%	(169)		(0.6)	%	(239)		(0.9)	%
Net earnings	$	~~763~~450	53.51	%	$	~~640~~406	43.71	%	$	~~1,734~~995	4.3.4	%	$	~~1,869~~971	43.76	%

(1) Products cost of net revenue as a percentage of net revenue is calculated as a percentage of product net revenue.

(2) Services cost of net revenue as a percentage of net revenue is calculated as a percentage of services net revenue.

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Net Revenue

Products net revenue includes revenue from the sale of hardware, supplies, subscriptions and software licenses. Services net revenue includes revenue from our service offerings and support on hardware devices.

For the three months ended ~~July~~April 3130, ~~2025~~2026, net revenue increased 39.10% (increased 36.3% on a constant currency basis) as compared to the prior-year period. ~~U.S.~~Net ~~net~~ revenue from international operations increased 114.74% to $59.18 billion, ~~and~~primarily ~~net~~driven ~~revenue~~by ~~from~~the ~~international~~Windows-based ~~operations~~PC ~~increased~~operating 3system refresh, while U.8S. net revenue decreased 0.9% to $84.97 billion. The increase in net revenue was primarily driven by products net revenue due to ~~increased~~pricing ~~units~~actions to mitigate higher commodity costs in Personal Systems 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~~.

For the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, total net revenue increased 27.9% (increased 35.7% on a constant currency basis) as compared to the prior-year period. ~~U.S.~~Net ~~net~~ revenue from international operations increased 312.02% to $1419.27 billion, ~~and~~primarily ~~net~~driven ~~revenue~~by ~~from~~the ~~international~~Windows-based ~~operations~~PC ~~increased~~operating 2system refresh, while U.9S. net revenue decreased 0.3% to $269.51 billion. The increase in net revenue was primarily driven by products net revenue due to ~~increased~~pricing ~~units~~actions to mitigate higher commodity costs in ~~Commercial~~Personal PSSystems as well as an increase in services net revenue due to support services on hardware devices, partially offset by ademand ~~decline~~softness ~~in Printing net revenue~~ and ~~unfavorable~~competitive ~~currency~~pressures ~~impacts~~in Printing.

A detailed discussion of the factors contributing to the changes in segment net revenue is included in “Segment Information” below.

Gross Margin

For the three months ended ~~July~~April 3130, ~~2025~~2026, gross margin ~~decreased~~increased ~~by 1.~~0.2 percentage points primarily driven by products gross margin due to higher ~~tariff~~average ~~costs,~~selling ~~mix~~prices ~~shifts~~(“ASPs”) ~~towards~~including ~~Personal~~favorable ~~Systems~~foreign ~~and unfavorable~~ currency impacts, partially offset by ~~disciplined~~higher ~~pricing~~commodity ~~actions~~costs and unfavorable mix shifts towards Personal Systems. Services gross margin ~~decreased~~increased due to ~~unfavorable~~favorable mix shifts.

For the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, gross margin decreased 10.6 percentage points primarily driven by products gross margin due to higher commodity and ~~tariff~~supply chain costs, and unfavorable mix shifts towards Personal Systems ~~and unfavorable currency impacts~~, partially offset by ~~disciplined~~ pricing actions, ~~and cost savings~~ including ~~Future~~favorable ~~Ready~~foreign ~~transformation~~currency ~~savings~~impacts. Services gross margin ~~decreased~~increased due to ~~unfavorable~~favorable mix shifts.

A detailed discussion of the factors contributing to the changes in segment gross margins is included under “Segment Information” below.

Operating Expenses

Research and Development (“R&D”)

R&D expense ~~remained~~increased ~~flat for the three months ended July 31, 2025~~7.7% ~~R&D~~and ~~expense decreased~~ 3.53% for the ~~nine~~three and six months ended ~~July~~April 3130, ~~2025~~2026, respectively primarily ~~due~~driven toby ~~disciplined~~higher ~~cost~~variable ~~savings~~compensation.

Selling, General and Administrative (“SG&A”)

SG&A expense increased 2.3% and 2.47% for the three and six months ended ~~July~~April 3130, ~~2025~~2026 primarily ~~due~~driven toby higher variable compensation ~~and go-to-market initiatives~~.

SG&A expense increased 3.3% for the nine months ended July 31, 2025 primarily due to higher litigation costs, partially offset by lower variable compensation.

Restructuring and Other Charges

Restructuring and other charges increased $64243 million and $~~122~~299 million for the three and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, respectively, ~~due~~primarily todriven by the ~~February~~EER ~~2025~~program ~~amendment~~under of the Fiscal ~~2023~~2026 Plan. For more information, see Note 3, “Restructuring and other charges”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Acquisition and Divestiture Charges

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 and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026 decreased by $1413 million and $4021 million, respectively, primarily due to ~~reduced~~lower acquisition and integration activities.

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Amortization of Intangible Assets

Amortization of intangible assets ~~increased~~includes ~~for the three and nine months ended July 31, 2025 primarily due to~~ impairment charges of $6532 million related to acquired customer contracts, customer lists and distribution agreements ~~within~~and technology and patents related to the ~~Print~~Personal Systems segment ~~and~~resulting ~~$27~~in ~~million~~an ofincrease ~~technology~~for ~~and~~the ~~patents~~three ~~within~~and ~~the~~six ~~Corporate~~months ~~Investments~~ended ~~segment~~April 30, 2026.

Interest and Other, Net

Interest and other, net expense decreased $2129 million and $2982 million for the three and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, respectively, primarily due to a ~~gain~~lower ~~from~~interest aexpense ~~single~~on ~~litigation~~debt ~~matter~~and ~~that~~factoring ~~does not relate to HP’s ongoing business operations, partially offset by unfavorable currency impacts~~costs.

~~Benefit from (~~Provision for) Taxes

Our effective tax rate was ~~(22~~8.3)7% for the three months ended ~~July 31~~April 30, ~~2025~~2026 and 514.5% for the ~~nine~~six months ended ~~July 31~~April 30, ~~2025~~2026. The difference between the U.S. federal statutory tax rate of 21% and our effective tax rate for the three and ~~nine~~six months ended ~~July 31~~April 30, ~~2025~~2026 was primarily due to ~~decreases~~audit settlements in ~~unrecognized~~various ~~tax benefits~~jurisdictions.

During the three and nine months ended July 31, 2025, we recorded $281 million and $315 million of net income tax benefits, respectively, related to discrete items in the provision for taxes. These amounts included income tax benefits of $243 million and $228 million related to changes in uncertain tax positions, $20 million and $58 million related to restructuring charges, and $15 million and $18 million related to the filing of tax returns in various jurisdictions for the three and nine months ended July 31, 2025, respectively. The three and nine months ended July 31, 2025 also included benefits of $55 million related to changes in valuation allowances and $22 million related to audit settlements in various jurisdictions. These benefits were partially offset by income tax charges of $80 million related to tax effects of internal reorganization for the three and nine months ended July 31, 2025.43

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the United States. This legislation introduces several measures, including the permanent extension of select provisions from the Tax Cuts and Jobs Act, revisions to the international tax framework, and the reinstatement of favorable tax treatment for certain business-related items. The OBBBA contains multiple effective dates, with key provisions beginning in our fiscal year 2026. Based on our assessment, we do not anticipate a material impact on our effective tax and cash tax rates.

In December 2021, the Organisation for Economic Co-operation and Development (“OECD”) introduced model rules for a global minimum tax framework, commonly referred to as BEPS Pillar Two. Numerous governments worldwide have enacted or are in the process of enacting legislation to implement this framework. Where applicable, we plan to treat the tax as a period cost. As of July 31, 2025, we do not anticipate a material impact on our effective tax rate or cash tax payments in these jurisdictions for fiscal year 2025. Our assessment for future fiscal years may be influenced by additional legislative guidance and the enactment of further provisions within the BEPS Pillar Two framework.

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Segment Information

A description of the products and services for each segment and the business unit realignment in the first quarter of fiscal year 2026 can be found in Note 2, “Segment Information” to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Personal Systems

	Three months ended July 31								Nine months ended July 31
	Three months ended April 30								Six months ended April 30
	2025			2024			% Change		2025			2024			% Change
	2026			2025			% Change		2026			2025			% Change
	Dollars in millions
Net revenue	$	910,~~931~~213		$	9,~~369~~024		613.02	%	$	2820,~~179~~464		$	2618,~~604~~248		512.91	%
Earnings from operations	$	~~541~~530		$	~~617~~409		~~(12~~29.3)6	%	$	1,~~457~~041		$	~~1,662~~916		~~(12~~13.3)6	%
Earnings from operations as a % of net revenue	5.42		%	64.65		%			5.21		%	65.20		%

The components of net revenue and the weighted net revenue change by business unit were as follows:

	Three months ended July 31					Nine months ended July 31
	Three months ended April 30					Six months ended April 30
	Net Revenue				Weighted Net Revenue Change(1)	Net Revenue				Weighted Net Revenue Change(1)
	2025		2024			2025		2024
	2026		2025			2026		2025
	Dollars in millions				Percentage Points	Dollars in millions				Percentage Points
Commercial PS	$	7,~~036~~743	$	6,~~677~~786	310.86	$	2014,~~467~~996	$	1813,~~964~~431	58.6
Consumer PS	2,~~895~~470		2,~~692~~238		2.26	75,~~712~~468		74,~~640~~817		0.3.5
Total Personal Systems	$	910,~~931~~213	$	9,~~369~~024	613.02	$	2820,~~179~~464	$	2618,~~604~~248	512.91

(1)Weighted Net Revenue Change Percentage Points measures contribution of each business unit towards overall segment revenue growth. It is calculated by dividing the change in revenue of each business unit from the prior-year period by total segment revenue for the prior-year period.

Three months ended ~~July~~April 3130, ~~2025~~2026 compared with three months ended ~~July~~April 3130, ~~2024~~2025

Personal Systems net revenue increased 613.02% (increased 610.20% on a constant currency basis) for the three months ended ~~July~~April 3130, ~~2025~~2026. The net revenue increase was primarily due to a 422.93% increase in ~~PCs~~ASPs ~~unit~~with ~~volume~~a ~~driven~~focus byon ~~the~~higher ~~Windows-based~~value PCunits ~~operating~~in ~~system~~a ~~refresh~~dynamic ~~and~~commodity environment contributing to a 27.50% ~~increase~~decrease in ~~average~~PCs ~~selling~~unit ~~price (“ASPs”)~~volume. The increase in ASPs is primarily due to ~~disciplined~~ pricing actions, ~~partially~~favorable ~~offset~~currency byimpacts ~~unfavorable~~and mix ~~shift towards Consumer PS and currency impacts~~shifts.

Commercial PS net revenue increased 514.41% primarily due to a 223.90% increase in ~~units~~ASPs, ~~and~~partially offset by a 4.6.7% ~~increase~~decline in ~~ASPs~~units. The increase in ASPs is primarily due to pricing actions, favorable ~~mix~~currency ~~shifts~~impacts and ~~disciplined~~mix ~~pricing~~shifts.

Consumer PS net revenue increased 710.54% primarily due to ana 819.49% increase in ~~units~~ASPs, partially offset by a 07.98% ~~decrease~~decline in ~~ASPs~~units. The ~~decrease~~increase in ASPs was primarily due to ~~unfavorable~~pricing ~~mix~~actions ~~shifts~~ and favorable currency impacts~~, partially offset by disciplined pricing~~.

Personal Systems earnings from operations as a percentage of net revenue ~~decreased~~increased by 10.27 percentage points driven by aan ~~decrease~~increase in gross margin, ~~and~~partially offset by an increase in operating expenses as a percentage of revenue. Gross margin ~~decreased~~increased primarily due to ~~higher~~pricing ~~tariff~~actions ~~costs~~including asfavorable ~~well~~foreign ~~as unfavorable~~ currency impacts, partially offset by ~~disciplined~~increased ~~pricing~~commodity ~~actions~~costs. Operating expenses as a percentage of revenue increased primarily ~~due~~driven toby higher variable compensation ~~and go-to-market initiatives~~.

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Nine months ended July 31, 2025 compared with nine months ended July 31, 2024

Personal Systems net revenue increased 5.9% (increased 6.5% on a constant currency basis) for the nine months ended July 31, 2025. The net revenue increase was primarily due to a 3.4% increase in ASPs and a 3.3% 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.

Commercial PS net revenue increased 7.9% primarily due to a 6.3% increase in PC unit volume driven by market expansion and a 2.8% increase in ASPs. The increase in ASPs is primarily due to favorable mix shifts and disciplined pricing actions, partially offset by unfavorable currency impacts.

Consumer PS net revenue increased 0.9% due to a 2.6% increase in ASPs, partially offset by 1.7% decrease in PC unit volume as a result of our strategy to rebalance our portfolio to a more profitable mix. The increase in ASPs is primarily driven by disciplined pricing actions.

Personal Systems earnings from operations as a percentage of net revenue decreased by 1.0 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 go-to-market initiatives and variable compensation as well as cost savings including Future Ready transformation savings.

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Six months ended April 30, 2026 compared with six months ended April 30, 2025

Personal Systems net revenue increased 12.1% (increased 9.5% on a constant currency basis) for the six months ended April 30, 2026. The net revenue increase was primarily due to a 10.1% increase in ASPs and a 2.4% increase in PC unit volume driven by the Windows-based PC operating system refresh as well as accelerated demand resulting from anticipated commodity cost increases, partially offset by a focus on higher value units in a dynamic commodity environment. The increase in ASPs is primarily due to pricing actions and favorable currency impacts.

Commercial PS net revenue increased 11.7% primarily due to a 10.6% increase in ASP’s and a 1.6% PC unit volume. The increase in ASPs is primarily due to pricing actions, favorable mix shifts and currency impacts.

Consumer PS net revenue increased 13.5% primarily due to a 9.4% increase in ASPs and a 3.9% increase in PC unit volume. The increase in ASPs is primarily driven by pricing actions and favorable currency impacts.

Personal Systems earnings from operations as a percentage of net revenue increased by 0.1 percentage points driven by a decrease in operating expenses as a percentage of revenue, partially offset by a decrease in gross margin. Operating expenses as a percentage of revenue decreased due to disciplined cost management, partially offset by higher variable compensation. Gross margin decreased primarily due to higher commodity and supply chain costs, partially offset by disciplined pricing actions, including favorable foreign currency impacts.

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Printing

	Three months ended July 31								Nine months ended July 31
	Three months ended April 30								Six months ended April 30
	2025			2024			% Change		2025			2024			% Change
	2026			2025			% Change		2026			2025			% Change
	Dollars in millions
Net revenue	$	34,~~986~~195		$	4,~~143~~197		~~(3.8)~~—	%	$	128,~~436~~382		$	128,~~886~~477		(31.51)	%
Earnings from operations	$	~~689~~767		$	~~715~~804		(34.6)	%	$	21,~~313~~532		$	21,~~416~~605		(4.35)	%
Earnings from operations as a % of net revenue	1718.3		%	1719.32		%			18.63		%	18.79		%

The components of net revenue and the weighted net revenue change by business unit were as follows:

Three months ended July 31

Nine months ended July 31

Three months ended April 30

Six months ended April 30

Net Revenue

Weighted Net Revenue Change(1)

Net Revenue

Weighted Net Revenue Change(1)

2025

2024

2025

2024

2026

2025

2026

2025

Dollars in millions

Percentage Points

Dollars in millions

Percentage Points

Supplies

2,~~604~~754

2,~~703~~728

(20.4)6

85,~~155~~553

85,~~430~~557

~~(2.1)~~—

Commercial Printing

1,~~113~~168

1,~~147~~167

~~(0.8)~~—

32,~~424~~273

32,~~579~~311

(10.25)

Consumer Printing

~~269~~273

~~293~~302

(0.6)

~~857~~556

~~877~~609

(0.26)

Total Printing

34,~~986~~195

4,~~143~~197

~~(3.8)~~—

128,~~436~~382

128,~~886~~477

(31.51)

Three months ended ~~July~~April 3130, ~~2025~~2026 compared with three months ended ~~July~~April 3130, ~~2024~~2025

Printing net revenue ~~decreased~~remained ~~3.8%~~flat (decreased 31.49% on a constant currency basis) for the three months ended ~~July~~April 3130, ~~2025~~2026. ~~The~~Net ~~decrease in net~~ revenue ~~was~~for ~~driven by~~ Supplies, ~~Commercial~~increased ~~Printing~~1.0%, ~~and~~primarily ~~Consumer~~due ~~Printing~~to asfavorable ~~well as unfavorable~~ currency impacts. ~~Net~~and ~~revenue~~pricing ~~for Supplies decreased 3.7%~~actions, ~~primarily~~partially ~~due~~offset toby a decline in the installed base and usage ~~as well as unfavorable currency impacts, partially offset by disciplined pricing actions~~. Printer units decreased by 96.56% primarily due to demand softness and competitive pressures, while ASPs increased by 35.70% ~~driven by Commercial Printing~~.

Net revenue for Commercial Printing ~~decreased~~remained ~~3.0%~~flat, primarily due to ana 112.57% ~~decrease~~increase in ~~printer unit volume due to demand softness~~ASPs, ~~partially~~ offset by a 64.90% ~~increase~~decrease in ~~ASPs~~printer unit volume. The increase in ASPs was primarily driven by pricing actions, favorable ~~mix~~currency ~~shifts~~impacts, ~~towards~~partially ~~industrial~~offset ~~solutions~~by unfavorable mix shifts.

Net revenue for Consumer Printing decreased 89.26%, primarily due to an 8.31% decrease in printer unit volume, ~~due~~partially tooffset ~~demand~~by ~~softness~~a ~~while~~5.3% ~~ASPs~~increase ~~remained~~in ~~flat~~ASPs. The increase in ASPs was primarily driven by favorable mix shifts towards Big Tank and foreign currency impacts, partially offset by competitive pricing.

Printing earnings from operations as a percentage of net revenue ~~remained~~decreased ~~flat~~by 0.9 percentage points for the period,. ~~including~~The ~~both~~decrease was driven by an increase in operating expenses as a percentage of revenue, while gross margin ~~and~~remained ~~operating~~flat. Operating expenses as a percentage of revenue increased primarily due to higher go-to-market initiatives.

~~Nine~~Six months ended ~~July~~April 3130, ~~2025~~2026 compared with ~~nine~~six months ended ~~July~~April 3130, ~~2024~~2025

Printing net revenue decreased 31.51% (decreased 2.25% on a constant currency basis) for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026. The decrease in net revenue was driven by ~~Supplies and~~ Commercial, Consumer Printing asand ~~well~~Supplies, aspartially ~~net~~offset ~~unfavorable~~by favorable currency impacts. Net revenue for Supplies ~~decreased~~remained ~~3.3%~~flat, primarily due to decline in the installed base and usage ~~as well as unfavorable currency impacts~~, ~~partially~~ offset by ~~disciplined~~favorable ~~pricing~~currency ~~actions~~impacts. Printer ~~hardware ASPs decreased 3.9% and printer~~ unit volume decreased 16.35% ~~primarily~~ driven by demand softness. ~~The~~and ~~decrease~~competitive ~~in ASPs was primarily due to unfavorable mix shifts towards Consumer Printing~~pressures, ~~competitive~~while ~~pricing~~hardware ~~and~~ASPs ~~currency~~increased ~~impacts~~3.0%.

Net revenue for Commercial Printing decreased by 41.36%, primarily due to a 45.13% decrease in printer unit volume and a 21.07% ~~decrease~~increase in ASPs. The ~~decrease~~increase in ASPs was primarily driven by ~~competitive~~favorable ~~pricing~~foreign currency impacts, partially offset by ~~favorable~~unfavorable mix shifts.

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Net revenue for Consumer Printing decreased 28.37%, primarily due to a 2.7.2% decrease in ~~ASPs, while~~ printer unit volume, ~~remained~~partially ~~flat~~offset by a 3.6% increase in ASPs. The ~~decrease~~increase in ASPs was primarily driven by ~~unfavorable~~favorable mix shifts towards Big Tank and foreign currency impacts, ~~mix~~partially ~~shifts,~~offset ~~and~~by competitive pricing.

Printing earnings from operations as a percentage of net revenue decreased 0.16 percentage points driven by aan ~~decrease~~increase in ~~gross margin, partially offset by a decrease in~~ operating expenses as a percentage of revenue., ~~The~~partially ~~decrease~~offset by an increase in gross margin. isOperating ~~primarily~~expenses ~~due~~as toa ~~unfavorable~~percentage ~~mix~~of ~~shifts~~revenue ~~and~~increased ~~higher~~primarily ~~tariff~~driven ~~costs, partially offset~~ by ~~cost~~higher ~~savings~~variable ~~including~~compensation ~~Future~~and ~~Ready~~go-to ~~transformation~~market ~~savings~~initiatives. ~~Operating~~Gross ~~expenses~~margin asincreased ~~a percentage of revenue decreased~~ primarily due to ~~lower~~pricing ~~variable~~actions ~~compensation~~ and ~~the~~favorable ~~receipt~~mix ofshift atowards ~~government~~Supplies, ~~grant~~partially inoffset ~~the~~by ~~current~~trade ~~period~~related costs.

Corporate Investments

The loss from operations in Corporate Investments for the three and ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026 was primarily due to expenses associated with our incubation projects and investments in digital enablement.

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LIQUIDITY AND CAPITAL RESOURCES

We use cash generated by operations as our primary source of liquidity. We believe that current cash, cash flow from operating activities, new borrowings, available commercial paper authorization and the credit facility will be sufficient to meet HP’s operating cash requirements, planned capital expenditures, interest and principal payments on all borrowings, pension and post-retirement funding requirements, authorized share repurchases and annual dividend payments for the foreseeable future. Additionally, if suitable acquisition opportunities arise, the Company may obtain all or a portion of the required financing through additional borrowings. While our access to capital markets may be constrained and our cost of borrowing may increase under certain business, market and economic conditions, our access to a variety of funding sources to meet our liquidity needs is designed to facilitate continued access to capital resources under all such conditions. Our liquidity is subject to various risks including the risks identified in 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~~2025 and the market risks identified in the section entitled “Quantitative and Qualitative Disclosures about Market Risk” in Item 3 of Part I of this report.

Amounts held outside of the U.S. are generally utilized to support non-U.S. liquidity needs and may from time to time be distributed to the U.S. Repatriations of amounts held outside the U.S. generally will not be taxable from a U.S. federal tax perspective but may be subject to state income or foreign withholding tax upon repatriation. As we evaluate the future cash needs of our operations, we may revise the amount of foreign earnings considered to be permanently reinvested in our foreign subsidiaries and how to utilize such funds, including reducing our gross debt level, or other uses.

Liquidity

Our cash, cash equivalents and restricted cash and total debt were as follows:

	As of
	July 31, 2025		October 31, 2024
	April 30, 2026		October 31, 2025
	In millions
Cash and cash equivalents	$	23,~~871~~703	$	3,~~238~~690
Restricted cash	$	3—	$	15
Total debt	$	9,~~602~~666	$	9,~~669~~666

Our key cash flow metrics were as follows:

	Nine months ended July 31
	Six months ended April 30
	2025		2024
	2026		2025
	In millions
Net cash provided by operating activities	$	21,~~073~~309	$	~~2,126~~412
Net cash used in investing activities	(~~1,113~~283)		(~~514~~1,133)
Net cash used in financing activities	(1,339)		(1,966)
Net cash (used in) provided by financing activities	(1,036)		198
Net decrease in cash, cash equivalents and restricted cash	$	(~~379~~10)	$	(~~354~~523)

Operating Activities

Compared to the corresponding period in fiscal year ~~2024~~2025, net cash provided by operating activities ~~decreased~~increased $0.19 billion for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, primarily due to ~~working~~favorable ~~capital~~cash ~~impacts~~conversion ~~and lower net earnings~~cycle, partially offset by changes in receivables from contract manufacturers.

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Key Working Capital Metrics

Management utilizes current cash conversion cycle information to manage our working capital level. Our working capital metrics and cash conversion cycle impacts were as follows:

	As of			As of
	July 31, 2025	October 31, 2024	Change	July 31, 2024	October 31, 2023	Change		Y/Y Change
	April 30, 2026	April 30, 2025	Y/Y Change	October 31, 2025			October 31, 2024
Days of sales outstanding in accounts receivable (“DSO”)	3338	3330	—8	3135	28	3	33	2
Days of supply in inventory (“DOS”)	68	63	5	67	57	10		1
Days of inventory outstanding (“DIO”)	73	70	3	66			63
Days of purchases outstanding in accounts payable (“DPO”)	(~~138~~151)	(~~138~~130)	—(21)	(~~131~~139)	~~(117)~~	~~(14)~~	(138)	~~(7)~~
Cash conversion cycle	(3740)	(4230)	5(10)	(3338)	~~(32)~~	~~(1)~~	(42)	~~(4)~~

~~July~~April 3130, ~~2025~~2026 as compared to ~~July~~April 3130, ~~2024~~2025

The cash conversion cycle is the sum of DSO and ~~DOS~~DIO less DPO. Items which may cause the cash conversion cycle in a particular period to differ from historical trends include, but are not limited to, changes in business mix, changes in payment terms and timing, timing and extent of receivables factoring, seasonal trends and the timing of revenue recognition and inventory purchases within the period.

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 lower factoring.

~~DOS~~DIO measures the average number of days from procurement to sale of our product. ~~DOS~~DIO is calculated by dividing ending inventory by a 90-day average cost of goods sold. The increase in ~~DOS~~DIO was primarily due to higher ~~inventory~~commodity ~~in-transit~~costs, ~~and~~partially ~~tariff~~offset ~~mitigation~~by ~~actions~~inventory optimization in Printing.

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 higher ~~purchasing~~commodity ~~volumes~~cost, partially offset by lower advance buys.

Investing Activities

Compared to the corresponding period in fiscal year ~~2024~~2025, net cash used in investing activities ~~increased~~decreased by $0.69 billion for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, primarily due to a $0.6 billion favorable net decrease in collateral posted for derivative instruments, lower payments in connection with business acquisitions of $0.3 1 billion, ~~higher~~and lower investment in property, plant, equipment and purchased intangible of $0.~~3 billion, and payments made in connection with business acquisitions of $0.~~1 billion.

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Financing Activities

Compared to the corresponding period in fiscal year ~~2024~~2025, net cash used in financing activities ~~decreased~~increased by $01.62 billion for the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, primarily due to a $01.9 0 billion decrease in ~~share~~net ~~repurchases,~~proceeds ~~partially~~from ~~offset by higher net~~ debt ~~repayments~~and ofa $0.2 billion increase in share repurchases.

Share Repurchases and Dividends

During the ~~nine~~six months ended ~~July~~April 3130, ~~2025~~2026, HP returned $1.20 billion to shareholders in the form of ~~cash~~share ~~dividends~~repurchases of $0.84 billion and ~~share~~cash ~~repurchases~~dividends of $0.46 billion. As of ~~July~~April 3130, ~~2025~~2026, HP had approximately $8.90 billion remaining under the share repurchase authorization approved by HP’s Board of Directors.

For more information on our share repurchases, see Note 9, “Stockholders’ Deficit”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

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Capital Resources

Debt Levels

As of

July 31, 2025

October 31, 2024

April 30, 2026

October 31, 2025

Dollars in millions

Short-term debt

~~820~~810

~~1,406~~845

Long-term debt

8,~~782~~856

8,~~263~~821

Weighted-average interest rate

4.6

4.56

We maintain debt levels that we establish through consideration of a number of factors, including cash flow expectations, cash requirements for operations, investment plans (including acquisitions), share repurchase activities, our cost of capital and targeted capital structure.

Our weighted-average interest rate reflects the effective rate on our borrowings prevailing during the period and reflects the effect of interest rate swaps. For more information on our interest rate swaps, see Note 7, “Financial Instruments”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

As of ~~July~~April 3130, ~~2025~~2026, we maintained a $5.0 billion sustainability-linked senior unsecured committed revolving credit facility which will be available until August 1, 2029. Funds borrowed under the revolving credit facility may be used for general corporate purposes.

Available Borrowing Resources

As of ~~July~~April 3130, ~~2025~~2026, we had available borrowing resources of $1.10 billion from uncommitted lines of credit in addition to funds available under the revolving credit facility.

In February 2024, we filed an automatically effective shelf registration statement with the SEC, which enables us to offer for sale, at any time and from time to time, in one or more offerings, an unspecified amount of debt securities, common stock, preferred stock, depository shares and warrants.

For more information on our borrowings, see Note 8, “Borrowings”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Credit Ratings

Our credit risk is evaluated by major independent rating agencies based upon publicly available information as well as information they obtain during our ongoing discussions. While we currently do not have any rating downgrade triggers that would accelerate the maturity of a material amount of our debt, a downgrade from our current credit rating may increase the cost of borrowing under our credit facility, reduce market capacity for our commercial paper, require the posting of additional collateral under some of our derivative contracts and may have a negative impact on our liquidity and capital position and our contractual business going forward, depending on the extent of such downgrade. We can access alternative sources of funding, including drawdowns under our credit facility, if necessary, to offset potential reductions in the market capacity for our commercial paper.

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CONTRACTUAL AND OTHER OBLIGATIONS

Unconditional Purchase Obligation

Purchase obligations include agreements to purchase goods or services that are enforceable and legally binding on HP and that specify all significant terms, including fixed or minimum quantities to be purchased; fixed, minimum, or variable price provisions; and the approximate timing of the transaction. Unconditional purchase obligations exclude agreements that are cancellable without penalty. The Company's purchase obligations under variable price provisions approximate market prices at the time of purchase and are estimated using current period pricing. Actual future variable price purchase commitments may significantly vary depending on market prices and product mix at the time of purchase. The Company's unconditional purchase obligations are primarily related to inventory and service support. As of April 30, 2026, the Company had outstanding purchase commitments of $2.2 billion. The majority of these commitments are due within five years. For more information, see Note 13, “Commitments,” to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Retirement and Post-Retirement Benefit Plan Contributions

As of ~~July~~April 3130, ~~2025~~2026, we anticipate making contributions for the remainder of fiscal year ~~2025~~2026 of approximately $48.0 million to our non-U.S. pension plans and $1016.0 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 Financial Statements in our Annual Report on Form 10-K for the fiscal year ended October 31, ~~2024~~2025.

Cost Savings Plan

As a result of our approved restructuring plans, we expect to make future cash payments of approximately $0.23 billion. For more information on our restructuring activities that are part of our cost improvements, see Note 3, “Restructuring and Other Charges”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Uncertain Tax Positions

As of ~~July~~April 3130, ~~2025~~2026, we had approximately $~~837~~733 million of recorded liabilities and related interest and penalties pertaining to uncertain tax positions. We are unable to make a reasonable estimate as to when cash settlement with the tax authorities might occur due to the uncertainties related to these tax matters. Payments of these liabilities would result from settlements with taxing authorities. For more information on our uncertain tax positions, see Note 4, “Taxes on Earnings”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Off-Balance Sheet Arrangements

As part of our ongoing business, we have not participated in transactions that generate material relationships with unconsolidated entities or financial partnerships, such as entities often referred to as structured finance or special purpose entities, which would have been established for the purpose of facilitating off-balance sheet arrangements or other contractually narrow or limited purposes.

HP utilizes certain third-party arrangements in the normal course of business as part of HP’s cash and liquidity management and also to provide liquidity to certain partners to facilitate their working capital requirements. For more information on our third-party short-term financing arrangements, see Note 5, “Supplementary Financial Information”, to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

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Item 3. Quantitative and Qualitative Disclosures About Market Risk.

For quantitative and qualitative disclosures about market risk affecting HP, see “Quantitative and Qualitative Disclosures About Market Risk” in Item 7A of Part II of our Annual Report on Form 10-K for the fiscal year ended October 31, ~~2024~~2025. Our exposure to market risk has not changed materially since October 31, ~~2024~~2025.

Item 4. Controls and Procedures.

Under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act as of the end of the period covered by this report (the “Evaluation Date”). Based on this evaluation, our principal executive officer and principal financial officer concluded as of ~~Disclosure~~the ~~Controls~~Evaluation Date that our disclosure controls and ~~Procedures~~procedures were effective such that the information required to be disclosed by us in our SEC reports (i) is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms, and (ii) is accumulated and communicated to HP’s management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

Under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation of ~~the~~any ~~effectiveness~~changes ofin ~~the~~our ~~design~~internal ~~and~~control ~~operation~~over offinancial ~~our~~reporting ~~disclosure~~(as ~~controls~~such ~~and~~term ~~procedures,~~is as defined in Rules 13a-15(ef) and 15d-15(ef) under the Exchange Act) asthat ofoccurred ~~the~~during ~~end~~our ofmost ~~the~~recently ~~period~~completed ~~covered~~fiscal ~~by this report (the “Evaluation Date”)~~quarter. Based on ~~this~~that evaluation, our principal executive officer and principal financial officer concluded that ~~our~~there ~~disclosure~~has ~~controls~~not ~~and~~been ~~procedures~~any ~~were~~change ~~not~~in ~~effective~~our asinternal ofcontrol over financial reporting during the ~~Evaluation~~quarter ~~Date~~ended ~~due~~April 30, to2026 ~~the~~that ~~unremediated~~has ~~material~~materially ~~weakness~~affected, inor is reasonably likely to materially affect, our internal control over financial reporting ~~described below~~.

~~Material Weakness~~ 52

As previously reported in the Company’s Annual Report on Form 10-K for the fiscal year ended October 31, 2024, we identified a material weakness in internal control over financial reporting. The material weakness resulted from undue reliance on information generated from certain software solutions affecting various financial statement line items as well as net revenue without effectively designed information technology (“IT”) general controls specifically around user access and change management and job schedule monitoring IT operations. As of July 31, 2025, the Company has concluded that the previously identified material weakness was not remediated. As a result of the material weakness, the application controls and IT dependent manual controls that rely upon information from affected IT applications were also deemed ineffective.

This material weakness did not result in any material misstatement of our financial statements. While this material weakness did not result in a material misstatement of our financial statements, there is a reasonable possibility that it could have resulted in a material misstatement in the Company's annual or interim consolidated financial statements that would not be detected. Accordingly, we determined that it constituted a material weakness.

With respect to the material weakness above, management, under the oversight of the Audit Committee, is in the process of designing appropriate IT general controls specific to the impacted software solutions. While we have taken steps to implement our remediation plan, the material weakness will not be considered remediated until the enhanced controls operate for a sufficient period of time and management has concluded, through testing, that the related controls are effective. The Company will monitor the effectiveness of its remediation plan and refine its remediation plan as appropriate.

Changes in Internal Control over Financial Reporting

Other than the material weakness described above, there has been no change in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) during the quarter ended July 31, 2025 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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PART II. OTHER INFORMATION

Item 1. Legal Proceedings.

Information with respect to this item may be found in Note 11, “Litigation and Contingencies” to the Condensed Consolidated Financial Statements in Item 1 of Part I of this report, which is incorporated herein by reference.

Item 1A. Risk Factors.

Our operations and financial results are subject to various risks and uncertainties, including those described in Part I, Item 1A, “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended October 31, ~~2024~~2025, which could adversely affect our business, financial condition, results of operations, cash flows, and the trading price of our common and capital stock. There have been no material changes in our risk factors since our Annual Report on Form 10-K for the fiscal year ended October 31, ~~2024~~2025.

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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Recent Sales of Unregistered Securities

There were no unregistered sales of equity securities during the period covered by this report.

Issuer Purchases of Equity Securities

The table below provides information regarding the Company’s share repurchases that settled during the three months ended ~~July~~April 3130, ~~2025~~2026.

Period	TotalNumberof SharesPurchased	AveragePrice Paidper Share		Total Number ofShares Purchased asPart of PubliclyAnnounced Plansor Programs	Approximate DollarValue of Sharesthat May Yet BePurchased under thePlans or Programs
	In thousands, except per share amounts
May 2025	5,484	$	27.35	5,484	$	8,911,940
February 2026	5,250	$	19.05	5,250	$	7,986,940
June 2025	—	$	—	—	$	8,911,940
March 2026	—	$	—	—	$	7,986,940
July 2025	—	$	—	—	$	8,911,940
April 2026	—	$	—	—	$	7,986,940
Total	5,~~484~~250			5,~~484~~250

The Company’s share repurchase program, which does not have a specific expiration date, authorizes repurchases in the open market or in private transactions. On August 27, 2024 HP’s Board of Directors increased HP’s share repurchase authorization to $10.0 billion inclusive of the amount remaining under previously authorized share repurchases. In the three months ended ~~July~~April 3130, ~~2025~~2026, we returned $0.21 billion to shareholders through the repurchase of 5.52 million shares on the open market.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

Item 5. Other Information.

Our directors and officers (as defined in Exchange Act Rule 16a-1(f)) may from time to time enter into plans or other arrangements for the purchase or sale of our shares that are intended to satisfy the affirmative defense conditions of Rule 10b5–1(c) or may represent a non-Rule 10b5-1 trading arrangement under the Exchange Act. On ~~June~~March 3010, ~~2025~~2026, ~~Enrique~~David ~~Lores~~McQuarrie, our ~~President and~~ Chief ~~Executive~~Commercial Officer, adopted a written plan for the sale of up to ~~(i) 34~~94,~~282~~716 shares of our common stock; (ii) 185,318 shares of our common stock underlying time-based restricted stock units; (iii) 179,261 shares of our common stock underlying performance adjusted restricted stock units, plus any additional shares that vest based on the achievement of the relevant performance criteria; and (iv) shares of our common stock underlying any dividend equivalent units that accrue with respect to (ii) and (iii). The plan is scheduled to commence on ~~September 29, 2025 and is scheduled to expire on~~ June 3012, 2026, or on any earlier date on which all of the shares have been sold. On June 25, 2025, Anneliese Olson, our President of Imaging, Printing & Solutions, adopted a written plan for the sale of up to 57,617 shares of our common stock underlying time-based restricted stock units and ~~shares of our common stock underlying any dividend equivalent units that accrue with respect to such awards. The plan~~ is scheduled to ~~commence on October 29, 2025 and is scheduled to~~ expire on December 31, ~~2025~~2026, or on any earlier date on which all of the shares have been sold. ~~These~~This ~~plans~~plan ~~are~~is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act.

Item 6. Exhibits.

The Exhibit Index beginning on page 5455 of this report sets forth a list of exhibits.

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HP INC.

EXHIBIT INDEX

ExhibitNumber

Incorporated by Reference

Exhibit Description

Form

File No.

Exhibit(s)

Filing Date

3(a)

Registrant’s Restated Certificate of Incorporation.

8-K

001-04423

3.2

April 25, 2024

3(b)

Registrant’s Amended and Restated Bylaws.

8-K

001-04423

3.1

~~June~~February 253, ~~2025~~2026

10(a)

Registrant’s Fifth Amended and Restated 2004 Stock Incentive Plan.*

8-K

001-04423

10.1

April 21, 2026

31.1

Certification of Chief Executive Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act of 1934, as amended.†

31.2

Certification of Chief Financial Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act of 1934, as amended.†

Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.††

101.INS

XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.†

101.SCH

Inline XBRL Taxonomy Extension Schema Document.†

101.CAL

Inline XBRL Taxonomy Extension Calculation Linkbase Document.†

101.DEF

Inline XBRL Taxonomy Extension Definition Linkbase Document.†

101.LAB

Inline XBRL Taxonomy Extension Label Linkbase Document.†

101.PRE

Inline XBRL Taxonomy Extension Presentation Linkbase Document.†

104

The cover page from the Company’s Quarterly Report on Form 10-Q for the quarter ended ~~July~~April 3130, ~~2025~~2026, formatted in Inline XBRL (included within the Exhibit 101 attachments).†

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* Indicates management contract or compensatory plan, contract or arrangement.

† Filed herewith.

†† Furnished herewith.

The registrant agrees to furnish to the Commission supplementally upon request a copy of (1) any instrument with respect to long-term debt not filed herewith as to which the total amount of securities authorized thereunder does not exceed 10% of the total assets of the registrant and its subsidiaries on a consolidated basis and (2) any omitted schedules to any material agreements set forth above.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


			HP INC.
			/s/ KAREN L. PARKHILL
			Karen L. Parkhill Chief Financial Officer (Principal Financial Officer and Authorized Signatory)

Date: ~~August~~May 27, ~~2025~~2026

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