Whitman On The Record
Hewlett Packard Enterprise CEO Meg Whitman spoke with CRN about the company's plan to simplify and streamline, Aruba market share gains, Cisco layoffs and why customers should make the move from Cisco UCS to Synergy.
The discussion with Whitman came after HPE reported adjusted earnings of 35 cents per share on sales of $9.9 billion for its second fiscal quarter ended April 30. The Wall Street consensus was earnings of 35 cents per share on sales of $9.64 billion.
HPE revenues, when adjusted for divestitures and without the impact of currency and the Tier 1 server sales decline, would have been up 1 percent compared with the year-ago quarter, according to the company. HPE's core industry standard server business rebounded with sales down 1 percent when adjusted for currency and divestitures.
As part of the next step in its transformation into a smaller and faster moving $28 billion company, HPE plans to take out as much as $200 to $300 million in additional costs in the second half of the year. "We are taking a fresh look at the cost structure for the new HPE," said Whitman. "As a smaller company, it should be much easier to spot opportunities to optimize the business, streamline processes and reduce costs."