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Enrique Lores, CEO, HP

Scott Mlyn | CNBC

Shares of HP fell more than 8% Wednesday morning after the printer and PC-maker released fiscal third quarter earnings that underwhelmed Wall Street.

HP reported $13.2 billion in revenue, down from the $13.37 billion expected by analysts, according to Refinitiv. Earnings per share came in line with expectations at 86 cents, excluding items. The company also offered weak guidance, citing the fact that PC pricing has not improved as much as it had hoped.

Analysts at Bernstein said HP’s quarter was “disappointing,” but that PC revenues will likely improve going forward. However, the analysts wrote that the company’s printing business may be more of a sticking point.

“Weak printer shipments may impact supplies growth in the medium term, HPQ’s margins remain above pre-pandemic levels, and we worry about the structural health of the printing business and its ability to grow over time,” the analysts wrote in a Wednesday note.

Similarly, analysts at Credit Suisse said HP’s print segment remains their biggest concern, especially because of discussion about “long term weakness” and a possible need for “more aggressive pricing.” The analysts wrote in a Wednesday note that they are lowering their fiscal fourth quarter estimates and fiscal full-year estimates for the company.

Deutsche Bank analysts also trimmed their outlook for HP and lowered their price target from $32 to $30. They said the company delivered results that were “roughly in-line” but that it has been impacted by “weaker demand driven by slower recovery in China,” as well as a gloomy long-term outlook for its print business.

Even so, the Deutsche Bank analysts said there are positive components of the report.

“Despite a tough demand environment, we continue to be impressed with HPQ’s ability to generate solid operating margins for both segments,” the analysts wrote Tuesday. “We are also encouraged that the company plans to restart share repurchases to at least offset dilution in the near term.”

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Chinese tech giant Tencent posts 13% revenue jump as growth at key gaming unit surges

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Chinese tech giant Tencent posts 13% revenue jump as growth at key gaming unit surges

Chinese tech company Tencent is a gaming giant and the parent company of WeChat, the ubiquitous social messaging app in China.

Cheng Xin | Getty Images News | Getty Images

Tencent on Wednesday reported an annual rise in its top and bottom line in the first quarter fuelled by accelerated growth in its key gaming business.

While revenue beat expectations, its net profit fell short.

Here’s how Tencent did in the first quarter of 2025 versus LSEG estimates:

  • Revenue: 180.02 billion Chinese yuan ($25 billion), versus 174.63 billion yuan expected
  • Net profit: 47.8 billion yuan, versus 52.2 billion yuan expected

Revenue rose 13% year-on-year, while net profit was up 14%.

This breaking news story is being updated.

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Sony shares rise about 2% in volatile trading following share buyback announcement

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Sony shares rise about 2% in volatile trading following share buyback announcement

A file photo of Hiroki Totoki, Sony Group Corporation executive, delivering a keynote address at CES 2025 in Las Vegas, on January 6, 2025. 

Artur Widak | Nurphoto | Getty Images

Sony Group shares rose about 2% Wednesday in volatile trading after the Japanese conglomerate announced a 250 billion yen ($1.7 billion) share buyback and operating income beat estimates.   

Operating income for the last three months of the financial year came in at 203.6 billion yen, beating mean analyst estimates of 192.2 billion yen, though it was down 11% from the same period last year. 

In the earnings report, the Japanese-based electronics, entertainment and finance company announced a stock buyback of shares worth 250 billion yen. 

Sony also provided details on a partial spinoff of its financial unit. The company plans to distribute slightly more than 80% of the shares of common stock of the spinoff to shareholders of Sony Group through dividends. 

The financial unit will list its financial operation this year and will be classified as a discontinued operation in Sony’s accounting from the current quarter, the company added. 

However, Sony’s outlook for the current financial year ending in March was lackluster.

The company forecasted its operating profit to rise a slight 0.3% to 1.28 trillion yen, after flagging a 100 billion yen hit from U.S. President Donald Trump’s trade war.

Yet, Sony clarified that the estimated tariff impact did not reflect the trade deal made between the U.S. and China on May 12 and that the actual impact could vary significantly. 

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Samsung Electronics to acquire heating and cooling solutions provider FläktGroup for 1.5 billion euros

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Samsung Electronics to acquire heating and cooling solutions provider FläktGroup for 1.5 billion euros

A Samsung Group flag flutters in front of the company’s Seocho building in Seoul. 

Sopa Images | Lightrocket | Getty Images

Samsung Electronics on Wednesday announced that it would acquire all shares of German-based FläktGroup, a leading heating and cooling solutions provider, for 1.5 billion euros ($1.68 billion) from European investment firm Triton. 

Samsung said the acquisition would help it expand in the heating, ventilation and air conditioning business as the market experiences rapid growth. 

“Our commitment is to continue investing in and developing the high-growth HVAC business as a key future growth engine,” said TM Roh, Acting Head of the Device eXperience (DX) Division at Samsung Electronics.  

The acquisition of FläktGroup stands to bolster Samsung’s position in the HVAC market against rivals such as LG Electronics. 

FläktGroup supplies heating, HVAC solutions to a wide range of buildings and facilities, notably data centers which require a high degree of stable cooling. Samsung said it anticipates sustained growth in data center demand due to the proliferation of generative AI, robotics, autonomous driving and other technologies.

FläktGroup has more 60 major customers, including leading pharmaceutical companies, biotech and food and beverage firms, and gigafactories, according to Samsung’s statement.

Samsung said in March that its HVAC solutions had achieved double-digit annual revenue growth over the past five years, and that the company aimed to boost revenue by more than 30% in 2025.

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