HP 2015 Annual Report Download - page 77

Table of Contents
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Corporate Investments
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The revenue decrease for fiscal 2015 was due primarily to the sale of IP related to the Palm acquisition in the prior-year period.
The increase in the loss from operations for fiscal 2015 was due primarily to the sale of IP in the prior-year period and higher expenses from enterprise-
related business incubation activities and HP Labs.
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The revenue increase for fiscal 2014 was due primarily to the sale of IP related to the Palm acquisition.
The decrease in the loss from operations for fiscal 2014 was due primarily to the sale of IP, the benefits of which were partially offset by higher expenses
associated with enterprise-related business incubation activities, corporate strategy, HP Labs and global alliances.
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We use cash generated by operations as our primary source of liquidity. We believe that internally generated cash flows are generally sufficient to
support our operating businesses, capital expenditures, restructuring activities, principal and interest payment of debt, income tax payments and the payment
of stockholder dividends, in addition to investments and share repurchases. We are able to supplement this short-term liquidity, if necessary, with broad
access to capital markets and credit facilities made available by various domestic and foreign financial institutions. Our access to capital markets may be
constrained and our cost of borrowing may increase under certain business, market and economic conditions; however, our access to a variety of funding
sources to meet our liquidity needs is designed to facilitate continued access to capital resources under all such conditions. Our liquidity is subject to various
risks including the risks identified in the section entitled "Risk Factors" in Item 1A and market risks identified in the section entitled "Quantitative and
Qualitative Disclosures about Market Risk" in Item 7A, which is incorporated herein by reference.
Our cash balances are held in numerous locations throughout the world, with substantially all of those amounts held outside of the U.S. We utilize a
variety of planning and financing strategies in an effort to ensure that our worldwide cash is available when and where it is needed. Our cash position remains
strong, and we expect that our cash balances, anticipated cash flow generated from operations and access to capital markets will be sufficient to cover our
expected near-term cash outlays.
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     
   
Net revenue $ 27 $ 302 $ 24
Loss from operations $ (565) $ (199) $ (316)
Loss from operations as a % of net revenue(1) NM (66.0)% NM
(1) "NM" represents not meaningful.
Source: HP INC, 10-K, December 16, 2015 Powered by Morningstar® Document Research℠
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