Blame it on Rio. And Moscow, Delhi, and Beijing. That's how Hewlett-Packard helped explain financial results that beat analysts' expectations. Growth in such markets as Brazil, Russia, India, and China is helping HP shrug off the effects of a slowdown in the U.S. and prompted the company to raise its sales forecast for the rest of the year.
Shares rallied in extended trading on signs that HP (HPQ) Chief Executive Mark Hurd is delivering the results investors want. HP, the world's largest technology company, said it expects revenue for the fiscal year that ends in October to be $113.5 billion to $114 billion, from a previous estimate of $111.5 billion. In the most recent fiscal year, HP posted revenues of $104.3 billion. "We had balanced growth and profitability across all regions and gained share in key market segments," Hurd said during a conference call with analysts. He said the company would also benefit from efforts to trim expenses. "We expect to remove significantly more cost this year than we did last year," Hurd said.