Filing Flows › Hewlett Packard Enterprise (HPE) › Q3 FY26
Hewlett Packard Enterprise (HPE) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed Sep 3, 2026
Hewlett Packard Enterprise (HPE) reported revenue of $12.2B for the third quarter fiscal 2026 (Q3 FY26), +34% from a year earlier and +14% from the quarter before. Operating margin was 11.4%, net earnings $1.5B (12.6% of revenue).
Hewlett Packard Enterprise, Q3 FY26: revenue $12.2B (+34% year over year), operating margin 11.4%, net earnings $1.5B, operating cash flow $1.6B. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $12.2B | +14% | +34% |
| Operating profit | $1.4B | +86% | +464% |
| Net earnings | $1.5B | +147% | +405% |
| Operating cash flow | $1.6B | +16% | +26% |
| Free cash flow | $958M | — | +21% |
What changed
Revenue was $12.2B in Q3 FY26, up 34% year over year and up 14% from the previous quarter. Server Segment was the largest line at 55% of revenue. Server Segment added $1.8B year over year (up 35%), 57% of the total change. Other declined 34%.
Operating profit was $1.4B, a 11.4% margin (up 8.7 points year over year). Of the extra revenue versus Q3 FY25, 37% reached operating profit, above the 3% margin then. Total costs grew 22% against revenue growth of 34%. The fastest-growing cost line was Research & development (+86%). Net earnings were $1.5B, up 405% year over year. The effective tax rate was 12.6%. Non-operating items added $0.37B, 21% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $1.6B (up 26% year over year), 107% of net earnings. Non-cash charges added back $0.86B of depreciation and amortization and $0.17B of share-based compensation. Working capital and other items used $0.93B. After investment in property, plant and equipment and software assets, net ($0.65B) and effect of exchange rate changes on cash, cash equivalents, and restricted cash ($0.03B), free cash flow as the company reports it was $1.0B.
Questions
What was Hewlett Packard Enterprise's revenue in the third quarter fiscal 2026?
Hewlett Packard Enterprise (HPE) reported revenue of $12.2B for the third quarter fiscal 2026 (Q3 FY26), +34% from a year earlier and +14% from the quarter before.
Was Hewlett Packard Enterprise profitable in the third quarter fiscal 2026?
Operating profit was $1.4B (11.4% of revenue) and net earnings $1.5B.