HP logs strong third quarter

HP chief executive Mark Hurd announced strong figures for the third quarter

HP drew on booming sales in its Personal Systems Group to record $25.4bn in revenues and $2.1bn in profits for its third quarter.

The figures mark a 16 per cent sales revenue gain and a 29 per cent boost in profit for the vendor.

Leading the charge for HP was the company's Personal Systems Group, which logged a 29 per cent revenue increase over last year. The unit oversees consumer and enterprise PC operations.

Notebook revenue ballooned by 54 per cent over last year, while desktop revenue grew by 12 per cent, pushing the group's total revenues to roughly $8.9bn.

HP has seen PC sales grow consistently over the past several quarters. In January, the company surpassed Dell to claim the lion's share of the global PC market.

HP's other cash cow - printers and inks - also posted a strong quarter, with $6.8bn in revenue led by a 76 per cent increase in sales of multi-function printers.

Chief executive Mark Hurd credited much of the gain to the company's cost-cutting measures that began in 2005.

"We are executing increasingly well in creating demand for our innovative products and services, and we are continuing to become a more efficient organisation," he said.

The big gains provide a welcome respite for the company, following last year's investigation over boardroom leaks that claimed several executives.

HP got an unpleasant reminder of the scandal yesterday, when four of the reporters targeted by the investigation filed suit against the company.