Meg Whitman on the CC: "Total company [Y/Y] revenue growth in [FY14] is unlikely." Ongoing PC and services challenges are blamed for the outlook. H-P (HPQ) is currently expected by analysts to see a 2.2% FY14 rev. drop.
More from Whitman: "We see a continued weak enterprise spending environment. Sentiment in the U.S. is improving ... I would characterize Europe as challenging and China continues to be soft." Also, "continued pricing pressure" is expected for PCs, printers, and (thanks to Dell?) x86 servers.
Investors have already been on edge about enterprise IT spending thanks to Cisco.
Whitman doesn't hesitate to throw Dave Donatelli under the bus - she calls H-P's enterprise hardware performance "very disappointing - and suggests the unit's problems are due to execution rather than technology (they'd better be, given R&D is less than 4% of revenue and declining).
AllThingsD reports Whitman and Donatelli "had a difficult relationship" even before Donatelli's reassignment, thanks in part to server share losses to Dell.
FQ3 free cash flow was $2B, above net income of $1.7B. The presence of "material non-public information" is said to have curtailed buyback activity.