Partner Sales Up $69 Million In First Fiscal Quarter
Hewlett Packard Enterprises’ indirect sales were up $69 million or two percent year over year with triple-digit channel sales growth for both HPE GreenLake’s on premises cloud service and HPE’s Primera storage business, said HPE Worldwide Channel Chief George Hope.
Overall, HPE’s channel partners contributed $2.9 billion in indirect sales, said Hope, who hosted a post earnings conference call for partners with HPE CEO Antonio Neri.
HPE’s hardware indirect mix accounted for 65 percent of sales, said Hope.
Neri, for his part, thanked channel partners for helping to deliver a strong quarter for HPE with earnings and sales that were above expectations.
Overall, HPE posted non-GAAP earnings of 52 cents per share on sales of $6.83 billion for its first fiscal quarter ended Jan. 31. That was well above the Zacks Wall Street earnings consensus of 40 cents per share on sales of $6.80 billion.
The considerable earnings increase is higher than pre-pandemic levels, said Neri. “That is pretty remarkable if you think about it,” he said.
HPE reported record breaking free cash flow for the quarter of $563 million, up $748 million from the year ago period. “We never had positive free cash flow in Q1,” said Neri.
“Congratulations,” Neri said to channel partners, commenting on the strong quarterly results. “Our results are a reflection of what you do. Without you we can not deliver this kind of performance. Q1 was clearly marked by strong profitability and cash flow. This was a very solid quarter for us and I am pleased with these results because it gives us a very good platform to build on for the rest of 2021.”