(b) Primarily relates to an H3C working capital adjustment payment.
(c) During the first quarter of fiscal 2018, the Company adopted ASU 2016-09, as a result of which, excess tax benefits from stock-based compensation is presented as an operating activity, rather than as a financing activity, and the payment of withholding taxes is presented as a financing activity, rather than as an operating activity. The Company adopted the standard retrospectively for the prior comparative periods. As such, prior period amounts have been reclassified to conform to the current presentation.
|
HEWLETT PACKARD ENTERPRISE COMPANY AND SUBSIDIARIES
SEGMENT INFORMATION (Unaudited) (In millions) | ||||||||||||
| Three months ended | ||||||||||||
|
January 31,
2018 |
October 31,
2017 |
January 31,
2017 | ||||||||||
| Net revenue:(a) | ||||||||||||
| Hybrid IT | $ | 6,331 | $ | 6,155 | $ | 5,755 | ||||||
| Intelligent Edge | 620 | 697 | 570 | |||||||||
| Financial Services | 888 | 1,010 | 823 | |||||||||
| Corporate Investments | (1 | ) | 3 | — | ||||||||
| Total segment net revenue | 7,838 | 7,865 | 7,148 | |||||||||
| Elimination of intersegment net revenue and other | (164 | ) | (205 | ) | (246 | ) | ||||||
| Total Hewlett Packard Enterprise consolidated net revenue | $ | 7,674 | $ | 7,660 | $ | 6,902 | ||||||
| Earnings from continuing operations before taxes:(a) (b) | ||||||||||||
| Hybrid IT | $ | 608 | $ | 602 | $ | 733 | ||||||
| Intelligent Edge | 18 | 87 | 16 | |||||||||
| Financial Services | 72 | 77 | 76 | |||||||||
| Corporate Investments | (21 | ) | (21 | ) | (33 | ) | ||||||
| Total segment earnings from operations | 677 | 745 | 792 | |||||||||
| Unallocated corporate costs and eliminations(b) | (54 | ) | (100 | ) | (96 | ) | ||||||
| Unallocated stock-based compensation expense(b) | (30 | ) | (20 | ) | (43 | ) | ||||||
| Amortization of intangible assets | (78 | ) | (86 | ) | (66 | ) | ||||||
| Restructuring charges | (3 | ) | (113 | ) | (83 | ) | ||||||
| Transformation costs(c) | (245 | ) | (328 | ) | — | |||||||
| Disaster charges (d) | — | (93 | ) | — | ||||||||
| Acquisition and other related charges | (30 | ) | (53 | ) | (44 | ) | ||||||
| Separation costs | 24 | (202 | ) | (11 | ) | |||||||
| Defined benefit plan settlement charges and remeasurement (benefit) (e) | — | 26 | 4 | |||||||||
| Interest and other, net | (21 | ) | (76 | ) | (78 | ) | ||||||
| Tax indemnification adjustments (f) | (919 | ) | (2 | ) | (18 | ) | ||||||
| Earnings (loss) from equity interests | 22 | 1 | (22 | ) | ||||||||
| Total Hewlett Packard Enterprise consolidated (loss) earnings from continuing operations before taxes (b) | $ | (657 | ) | $ | (301 | ) | $ | 335 | ||||
