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HP HPQ Unrecognized Tax Benefits

Unrecognized Tax Benefits at other companies

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Ingram MicroINGM
$17M+4.4%
Cirrus Logic logo
Cirrus LogicCRUS
$32.1M0.0%
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Insight EnterprisesNSIT
$15.04M
Hewlett Packard Enterprise logo
Hewlett Packard EnterpriseHPE

Other financials

Income statement

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Revenue$14.4B+9.0%
Gross profit$3.0B+10.1%
Operating income$612.0M-6.4%
Net income$450.0M+10.8%
EPS (diluted)$0.49+16.7%

Balance sheet

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Cash & equivalents$3.7B+35.6%
Total debt$11.7B-11.8%
Total equity-$144.0M+88.7%
Total assets$42.9B+10.7%

Cash flow

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Operating cash flow$926.0M+2,337%
CapEx$170.0M-7.1%
Free cash flow$756.0M+621%

Valuation

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Market cap$25.77B+9.7%
Enterprise value$33.78B+5.0%
P/E10.1×+1.2×
P/S0.5×0.0×

Profitability

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Gross margin20.3%-0.8pp
Operating margin5.3%-1.0pp
Net margin4.4%-0.2pp
FCF margin6.6%+1.7pp

Returns & leverage

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Return on equity-359.6%
Debt / equity0.4×
Current ratio0.8×+0.1×

Where this comes from

Reported directly by HP in its filing.

Tagged under the XBRL concept us-gaap:UnrecognizedTaxBenefits.

The source filing: HP’s 10-Q, filed May 28, 2026.

Filed
May 27, 2026, 8:00 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0000047217-26-000029

As of April 30, 2026, the amount of gross unrecognized tax benefits was $822 million, of which up to $650 million would affect HP’s effective tax rate if realized. Total gross unrecognized tax benefits decreased by $43 million for the six months ended April 30, 2026. HP recognizes interest income from favorable settlements and interest expense and penalties accrued on unrecognized tax benefits in the provision for taxes in the Condensed Consolidated Statements of Earnings. As of April 30, 2026 and 2025, HP had accrued $75 million and $157 million, respectively, for interest and penalties.

ITEM 1. Financial Statements and Supplementary Data.

FAQ

What is HP's unrecognized tax benefits?
HP (HPQ) reported unrecognized tax benefits of $822M in Q1 2026.
How has HP's unrecognized tax benefits changed year-over-year?
HP's unrecognized tax benefits decreased by 31.5% year-over-year, from $1.2B to $822M.
What does unrecognized tax benefits mean?
This represents the amount of tax benefits from uncertain tax positions that have not been recognized in the financial statements because they do not meet the 'more-likely-than-not' threshold. It reflects the company's exposure to potential tax audits and disputes with tax authorities. This is a key indicator of tax-related legal and financial risk.

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