HP Enterprise sees FY17 combined adjusted EPS $2.00-$2.10, consensus $2.05
Sees FY17 combined revenue flat to down 1%. Revenue consensus $49.23B. Sees normalized free cash flow $3.6B-$3.9B. Guidance reflects HPE's current structure, includes full year of Enterprise Services and Software contribution, and "is comparable to current estimates," the company stated. Sees FY17 reported adjusted EPS $1.45-$1.55. Cuts reported free cash flow to negative $1.8B "due to the partial year contribution from ES and Software, previously announced restructuring and separation payments, and a $2.5B payment to fund the ES pension associated with the spin-merge." Sees ending FY17 with operating company net cash balance $8B. Sees cash flow approaching normalized levels in FY18. CFO Tim Stonesifer also provided an outlook for "the future HPE, excluding the partial year contributions from both ES and Software in FY17, which gives a more comparable view for FY18," forecasting "modest" revenue growth in FY17 and adjusted EPS of $1.25-$1.35.