Hp Inc. · NYSE:HPQ
Hp — Investor Day (October 2018)
26 slides from Hp's investor day presentation, Oct 3, 2018
Slide 1: Alex Cho | Personal Systems
ALEX CHO I PERSONAL SYSTEMS 1 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 2: Forward-looking statements
This presentation contains forward-looking statements that involve risks, uncertainties and assumptions. If the risks or uncertainties ever materialize or the assumptions prove incorrect, the results of HP Inc. and its consolidated subsidiaries (“HP”) may differ materially from those expressed or im
Slide 3: Non-GAAP financial measures
HP has included non-GAAP financial measures in this presentation to supplement HP’s consolidated financial statements presented on a GAAP basis. Definitions of these non-GAAP financial measures and reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial me
Slide 4: $164M Revenue growth
Reinvent PC $164M Strong experiences YTD Revenue Transform portfolio Incremental profit1 growth 1. HP Inc. Earnings Results, FQ1-FQ3’18 vs. FQ1-FQ3’17 4 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 5: Revenue growth and Consumer Premium PC
3.9% +14% 3.8% 24.0% +12 pts 3.6% Revenue 20.8% growth2 2015 1H 2018 FQ1’18 FQ2’18 FQ3’18 CQ2’ 16 CQ2’18 Consumer Premium PC Operating HP PC market Net Promoter Score1 profit share (%)3 1. HP 1H FY’18 vs. FY’15 customer NPS Survey. FY’16 figures estimated (change in NPS vendor and panels) 2. HP Inc.
Slide 6: Design awards and cost mitigations
40 $1B+ 2 170 Design awards1 Cost mitigations2 PCs delivered Countries every second, every day3 (Pricing, Currency, Base Unit Cost Reductions ) 200K+ Channel partners 1. HP internal analysis of received awards 2. HP internal financial data, FQ1’18–FQ3’18 vs. FQ1’17–FQ3’17 3. HP internal analysis, Ma
Slide 7: Core growth: unit share gains
CORE GROWTH +3.1pts +2.6 Pts 15.4% +50% #1 RPOS share 10.7% Premium unit share Pipeline growth (CQ2’18 vs CQ2’16)1 9.4% (CQ2’18, Y/Y)3 8.8% 12.8% 8.6% 8.1% +2.7pts CQ2’ 16 CQ2’ 17 CQ2’18 CQ2’ 17 CQ2’18 Commercial unit Displays unit share2 RPOS share4 share (CQ2’18 vs CQ2’16)1 1. IDC PCD WW Quarterly
Slide 8: World's smallest, longest battery life, first products
WORLD’S SMALLEST WORLD’S LONGEST BATTERY LIFE WORLDS FIRST ALL-IN-ONE WORLD'S FIRST HEALTHCARE AIO WITH BUSINESS CONVERTIBLE1 IN A QUAD CORE CONVERTIBLE2 WITH AMAZON ALEXA3 INTEGRATED DUAL-BAND RFID AND BIOMETRICS4 WORLD’S MOST VERSATILE WORLD’S FIRST HEADSET WITH SLEEK, MODERN THE WORLD’S MOST POWE
Slide 9: $320B+ TAM, +4% CAGR
~$30 SOLUTIONS1 Virtual Reality +22% ~$80 3D Scanning Retail Solutions +11% CAGR $320B+ SERVICES AND PERIPHERALS1 Device as a Service / Security 2 Transactional Services +6% +4% CAGR ~$210 Displays and Accessories COMPUTE END-POINT3 Flat PCs Workstations Detachables Thin Clients CY’18 1. TAM based o
Slide 10: People using device for work and play
67% 2X 71% 50% +60% PEOPLE USING LIKELIHOOD OF CHOOSING A BREACHES ORIGINATE FROM SEARCHES WILL BE VOICE GROWTH FOR DEVICE FOR WORK & PLAY1 PC WITH LTE CONNECTIVITY2 ENDPOINT DEVICES3 BY 20204 PC-AS-A-SERVICE5 1. IDC ConsumerScape 360, 2018 main survey 2. HP, Primary Research, OOF, 2017 3. Informati
Slide 11: Agile, connected, interactive, secure, mobile
AGILE | CONNECTED | INTERACTIVE | SECURE | MOBILE 11 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 12: Immersive, mobile, multi-device, personalized, mainstream
IMMERSIVE | MOBILE | MULTI-DEVICE | PERSONALIZED | MAINSTREAM 12 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 13: Experiential, frictionless, secure, omnichannel, as-a-service
EXPERIENTIAL | FRICTIONLESS | SECURE | OMNICHANNEL | AS-A-SERVICE 13 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 14: Core, growth, future
CORE GROWTH FUTURE CUSTOMER SUPPLY CHAIN AND CHANNEL SECURITY AND ANALYTICS INSIGHTS COST MANAGEMENT PARTNERSHIPS MANAGEABILITY AND AI 14 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 15: Annual intervention rate reduction; most powerful convertible PC
Annual intervention +3 pts rate reduction 100 The world’s most powerful convertible PC1 22% 94 93 19% 91 CQ2’17 CQ2’18 CQ3’ 17 CQ2’18 Sure Click2 Sure Start3 Sure View4 Most secure and manageable PCs5 Premium unit-mix6 Indexed to CQ3’177 1. Based on HP's internal analysis of convertible non-detachab
Slide 16: HP EliteBook x360 1030 G3 and Spectre Folio
HP EliteBook x360 1030 G3 HP Spectre Folio +2.2 Pts +1.6 Pts +0.9 Pts Apple Dell Lenovo Unit share change3 -6.0 Pts CQ2’18–CQ2’17 (Points) WORLD’S SMALLEST BUSINESS WORLD’S FIRST LEATHER CONVERTIBLE WITH 4G LTE1 CONVERTIBLE PC2 1. Based on competitors as of April 2018 of convertible, non detachables
Slide 17: Gaming: devices, accessories, software/solutions
DEVICES ACCESSORIES SOFTWARE/SOLUTIONS 12.8% 12.0% 8.8% OMEN Gaming OMEN Display OMEN Streaming1 2.8% 2015 2016 2017 2018 YTD Pavilion Gaming OMEN Mindframe Game Coaching Consumer Gaming revenue share2 1. Must activate OMEN Game Stream account on your OMEN PC and download the OMEN Command Center app
Slide 18: Building the world's most secure and manageable PCs
BUILDING THE WORLD’S MOST SECURE AND MANAGEABLE PCS1 DEVICE IDENTITY DATA Manage and Enforce Security Policies Above the OS HP Image Assistant, HP MIK Protection From 16 Visual Hacking HP Sure View Gen2 Average number Minimize Downtime 30%+ Protect Against of malicious emails / HP Sure Recover In th
Slide 19: Retail solutions: unit share
SLEEK DESIGN, SEAMLESS MOBILITY MULTI-LAYERED SECURITY INTEGRATED PERIPHERALS #1 Unit share1 +2.6 Unit share growth YTD Y/Y1 1. HP internal analysis of purpose built POS systems from IHL Q2 2018 POS Report 19 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject t
Slide 20: Device as a Service
60% Improve end-user and IT ITDMs cite resources drained by device management1 Devices: Multi OS, multi form factor productivity 80% Strengthen security posture of IT total costs after purchase of PC1 Flexibility: Tailored offerings with simplified purchasing Improve cost 200% predictability increas
Slide 21: Proactive management with HP TechPulse
PROACTIVE MANAGEMENT WITH HP TECHPULSE Identify failing batteries Identify failing disk drives Identify users with need Number of hours firewall of user devices of user devices of powerful PC was turned off 52,000 2,300 918 March April May Immediate <1 month <6 months Later Over utilized Normal Unde
Slide 22: Market by 2021: $6B, $15B, $25B
$6B $15B $25B MARKET BY 20211 MARKET BY 20211 MARKET BY 20211 1. HP internal analysis 22 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.
Slide 23: Yale University
Visualization and Procedural Safety and compliance collaboration solution training solution training solution Yale University FASTER REDUCED IMPROVED TRAINING DESIGN TIME TRAINING COST EFFECTIVENESS 23 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to chang
Slide 24: Future growth and core
• Build Commercial VR leadership New categories FUTURE • Establish 3D scanning Services and solutions GROWTH • Scale Device as a Service / security • Vertical solutions Other pockets of growth Premium and gaming CORE • Win in other pockets of growth: 2-in-1s, Workstations, Displays & Acc. • Continue
Slide 25: Opportunity, strategy, execution
LARGE MARKET CONSISTENT WORLD-CLASS STRONG FINANCIAL OPPORTUNITY STRATEGY EXECUTION PERFORMANCE $320B+TAM Reinvent PC experiences Insights to innovation Outgrow the market +4% CAGR1 Transform portfolio Supply chain and go to market Profitable growth BUILDING THE WORLD’S MOST EXCITING DEVICES AND INT
Slide 26: Thank you
THANK YOU SECURITIES ANALYST MEETING 2018 26 © Copyright 2018 HP Development Company, L.P. The information contained herein is subject to change without notice.