Hewlett-Packard reported that profit for its second fiscal quarter grew 16 percent on improvement across its businesses.

Net income for the first quarter was $2.1 billion, or 80 cents per share, up from $1.8 billion, or 65 cents per share in the year earlier period. Net revenue was up 11 percent to $28.3 billion from $25.5 billion. Analysts had expected earnings per share of 85 cents, according to a survey by Thomson Financial.

Operating margin, excluding special items, was up 10 percent, from 9 percent a year ago.

The company boosted its full year sales outlook to between $114.2 billion to $114.4 billion, up from previous guidance of $113.5 billion to $114.0 billion.

It expects diluted earnings per share between $3.30 to $3.34.

The company anticipates third quarter sales between $27.3 billion to $27.4 billion. Diluted earnings per share are expected to be between 76 cents and 77 cents.

After currency adjustments, sales in the Americas were up 2 percent. revenue in Europe, the Middle East and Africa grew 6 percent. Revenue in Asia grew 7 percent. The company said 70 percent of its sales were outside the U.S.

Shares of HP fel 25 cents, or 0.54 percent to close at $46.46


Sales at the company's Personal Systems Group rose 16 percent to $10.1 billion year over year. Imaging and Printing Group sales were up 6 percent in that time. Enterprise Storage and Servers revenue rose 4 percent to $4.8 billion.

HP Services sales grew 28 percent to $727 million. Asset management generated $4.8 billion. HP Software sales were up 28 percent. Financial services rose 25 percent.