惠普企業 (HPE) 2016 Q1 法說會逐字稿

Good afternoon and welcome to the first-quarter 2016 Hewlett Packard Enterprise earnings conference call. My name is Laura and I'll be your conference moderator for today's call.

下午好，歡迎參加 2016 年第一季惠普企業財報電話會議。我叫勞拉，我將擔任今天電話會議的主持人。

(Operator Instructions)

（操作員指示）

As a reminder this conference is being recorded for replay purposes. I would now like to turn the presentation over to your host for today's call, Mr. Andrew Simanek, Head of Investor Relations.

提醒一下，本次會議將會被錄音以供重播。現在，我想將演講交給今天電話會議的主持人、投資者關係主管 Andrew Simanek 先生。

Good afternoon. I'm Andy Simanek, Head of Investor Relations for Hewlett Packard Enterprise, and I'd like to welcome you to our fiscal 2016 first-quarter earnings conference call with Meg Whitman, HPE's President and Chief Executive Officer, and Tim Stonesifer, HPE's Executive Vice President and Chief Financial Officer.

午安.我是惠普企業投資者關係主管 Andy Simanek，歡迎您參加我們 2016 財年第一季財報電話會議，與會人員包括 HPE 總裁兼執行長 Meg Whitman 和 HPE 執行副總裁兼財務長 Tim Stonesifer。

Before handing the call over to Meg let me remind you that this call is being webcast. A replay of the webcast will be made available shortly after the call for approximately one year. We posted the press release and the slide presentation accompanying today's Earnings Release on our HPE Investor Relations web page at investors.HPE.com.

在將電話交給梅格之前，請允許我提醒您，本次通話正在進行網路直播。網路直播的重播將在會議結束後不久提供，為期約一年。我們在 HPE 投資者關係網頁 investors.HPE.com 上發布了今天的收益報告隨附的新聞稿和幻燈片演示。

As always, elements of this presentation are forward-looking and are based on our best view of the world and our businesses as we see them today. For more detailed information, please see the disclaimers on the earnings materials relating to forward-looking statements that involve risks, uncertainties and assumptions. For a discussion of some of these risks, uncertainties and assumptions, please refer to HPE's SEC reports, including its most recent Form 10-K.

與往常一樣，本次演示的內容具有前瞻性，基於我們對當今世界和我們業務的最佳看法。欲了解更詳細信息，請參閱收益資料中有關涉及風險、不確定性和假設的前瞻性陳述的免責聲明。有關這些風險、不確定性和假設的討論，請參閱 HPE 的 SEC 報告，包括其最新的 10-K 表格。

HPE assumes no obligation and does not intend to update any such forward-looking statements. We also note that the financial information discussed on this call reflects estimates based on information available at this time and can differ materially from the amounts ultimately reported in HPE's quarterly report on Form 10-Q for the fiscal quarter ended January 31, 2016.

HPE 不承擔任何義務，也不打算更新任何此類前瞻性聲明。我們還注意到，本次電話會議上討論的財務資訊反映了基於​​目前可用資訊的估計，可能與 HPE 2016 年 1 月 31 日結束的財政季度的 10-Q 表季度報告中最終報告的金額存在重大差異。

Finally, for financial information that has been expressed on a non-GAAP basis we have included reconciliations to the comparable GAAP information. Please refer to the tables and slide presentation accompanying today's Earnings Release.

最後，對於以非 GAAP 基礎表達的財務訊息，我們已將其納入可比較 GAAP 資訊的調整範圍。請參閱今天的收益報告附帶的表格和幻燈片簡報。

With that, let me turn it over to Meg.

說完這些，讓我把它交給梅格。

Thanks, Andy. Good afternoon, everyone. Thank you for joining us today. We've now completed our first full quarter as an independent company and we're off to a very strong start. We are already seeing the benefits of being a smaller, more focused and agile company across a number of fronts. Our customers and partners understand our strategy and appreciate working with a simplified, faster moving organization.

謝謝，安迪。大家下午好。感謝您今天加入我們。現在，我們已經完成了作為獨立公司的第一個完整季度，並且取得了非常強勁的開局。我們已經在多個方面看到了作為一家規模更小、更專注、更敏捷的公司所帶來的好處。我們的客戶和合作夥伴了解我們的策略，並樂於與一個簡化、行動更快的組織合作。

Our employees are engaged and aligned. For example, we've created a single pan-HPE sales training and account planning program, which has already uncovered over 100 accounts where there are significant untapped cross-selling opportunities. Our innovation engine is firing on all cylinders, and you're going to see some amazing new introductions in the coming quarters in key areas of the portfolio, including servers, cloud, high-performance computing, IoT, all flash storage, Aruba and ConvergedSystems.

我們的員工積極參與，步調一致。例如，我們創建了一個泛 HPE 銷售培訓和客戶規劃計劃，該計劃已經發現 100 多個存在大量未開發交叉銷售機會的客戶。我們的創新引擎正在全速運轉，您將在未來幾季看到產品組合關鍵領域的一些令人驚嘆的新產品，包括伺服器、雲端、高效能運算、物聯網、全快閃、Aruba 和 ConvergedSystems。

For our shareholders this focus is driving strong financial and operational performance. In Q1 we delivered our third consecutive quarter of growth in constant currency, with revenue of $12.7 billion, up 4% year over year. And when you exclude the impact from recent M&A activities we grew revenue on a constant currency basis in every one of our business segments for the first time since Q4 fiscal year 2010.

對於我們的股東來說，這種關注正在推動強勁的財務和營運表現。第一季度，我們實現了連續第三個季度的成長（以固定匯率計算），營收達到 127 億美元，年成長 4%。如果排除近期併購活動的影響，我們每個業務部門的營收以固定匯率計算均實現成長，這是自 2010 財年第四季以來的首次。

At the same time, we continued to make progress on our cost structure, particularly in ES, and delivered non-GAAP diluted net earnings per share of $0.41, at the top end of our previously provided range. Delivering strong cash flow is also a key priority for us. While Q1 was impacted by seasonality, separation payments and timing, we expect cash flow to improve as we move through the year, and remain confident in our full-year free cash flow outlook of $2 billion to $2.2 billion. Tim will walk through the specific Q1 cash flow drivers in a minute.

同時，我們繼續在成本結構方面取得進展，特別是在 ES 方面，並實現了每股非 GAAP 稀釋淨收益 0.41 美元，達到我們之前提供的範圍的最高端。實現強勁的現金流也是我們的首要任務。雖然第一季受到季節性、離職補償和時間安排的影響，但我們預計隨著時間的推移，現金流將會改善，並且對全年 20 億美元至 22 億美元的自由現金流前景仍然充滿信心。蒂姆將在一分鐘內介紹具體的 Q1 現金流驅動因素。

Finally, in line with our commitment to return cash to our shareholders, in Q1 we paid $1.3 billion including $1.2 billion for share repurchases and nearly $100 million in dividends. As a result, we've already exceeded our FY16 commitment of returning at least 50% of expected free cash flow to shareholders. And share repurchases will remain our preferred method to return cash to shareholders given current market conditions.

最後，根據我們向股東返還現金的承諾，我們在第一季支付了 13 億美元，其中包括 12 億美元的股票回購和近 1 億美元的股息。因此，我們已超額完成了 2016 財年的承諾，即向股東返還至少 50% 的預期自由現金流。鑑於當前的市場狀況，股票回購仍將是我們向股東返還現金的首選方式。

Overall, while there is more work to do to accelerate top-line growth, align our cost structure, and drive even closer collaboration and integration across our organization, I'm very pleased with where we stand today.

整體而言，雖然還有很多工作要做，以加速營收成長、調整成本結構、推動整個組織更加緊密的協作和整合，但我對我們目前的狀況感到非常滿意。

Now, let me turn to business performance. We had another strong quarter in Enterprise Group, with revenue up 7% year over year in constant currency. Our portfolio is truly the best we've had in years and is driving strong customer traction.

現在，讓我來談談業務績效。企業集團又度過了一個強勁的季度，以固定匯率計算，營收年增 7%。我們的產品組合確實是多年來最好的，並且正在吸引強大的客戶。

For example, today, HPE is the leading infrastructure provider for SAP HANA, with nearly twice the number of shipments over the next competitor. And this quarter we won a number of important deals, including one with Canadian communications company, Rogers, to help them transform their existing traditional IT to a hybrid infrastructure. We will provide a comprehensive solution including ConvergedSystems, CloudSystems, StoreOnce, 3PAR all flash and Technology Services.

例如，目前，HPE 是 SAP HANA 領先的基礎設施供應商，其出貨量幾乎是第二名競爭對手的兩倍。本季度，我們贏得了許多重要交易，其中包括與加拿大通訊公司羅傑斯 (Rogers) 達成的交易，幫助他們將現有的傳統 IT 轉變為混合基礎設施。我們將提供包含 ConvergedSystems、CloudSystems、StoreOnce、3PAR 全快閃和技術服務的綜合解決方案。

We also signed a multi-year agreement with one of the world's largest food producers, JBS, to help them build an IT environment that supports faster business expansion, including consolidating their data centers and moving to the cloud. And just last week, at Mobile World Congress, we announced that Swisscom, Switzerland's leading telecommunications provider, will deploy new virtual network functions using HPE open NFE solutions.

我們還與全球最大的食品生產商之一 JBS 簽署了一項多年期協議，幫助他們建立支援更快業務擴展的 IT 環境，包括整合其資料中心和遷移到雲端。就在上週，在世界行動通訊大會上，我們宣布瑞士領先的電信供應商 Swisscom 將使用 HPE 開放式 NFE 解決方案部署新的虛擬網路功能。

This customer momentum is driving financial results, and each of our hardware business units performed well in Q1. In servers we delivered 5% year-over-year revenue growth in constant currency, maintained strong margins and also continued to make R&D investments. While we won't chase share for share's sake, we continue to see significant growth opportunity ahead as the clear market leader with the most comprehensive portfolio of offerings, from mission critical and high-performance computing to our new IoT and cloud line solutions.

這種客戶勢頭正在推動財務業績，我們的每個硬體業務部門在第一季都表現良好。在伺服器方面，我們實現了以固定匯率計算的 5% 的同比增長，保持了強勁的利潤率，並繼續進行研發投資。雖然我們不會為了份額而追逐份額，但作為明顯的市場領導者，我們擁有最全面的產品組合，從關鍵任務和高效能運算到我們的新物聯網和雲端線解決方案，我們仍然看到未來巨大的成長機會。

Storage had another strong quarter with revenue up 3% year over year in constant currency, driven by continued strength in 3PAR. Converged Storage grew 17% year over year in constant currency and is now a solid 56% of storage revenue.

儲存業務在本季再創佳績，受 3PAR 持續強勁的推動，以固定匯率計算，營收年增 3%。融合儲存以固定匯率計算年增 17%，目前佔儲存收入的 56%。

We had record revenue for 3PAR, driven by triple digit constant currency growth in all flash, which grew at 3 times the market rates. With the industry-leading all flash product and the broadest reach through our channel, we expect to gain share for the ninth quarter in a row in calendar Q4.

3PAR 的收入創下了歷史新高，這得益於全快閃業務以三位數的恆定匯率增長，其增長率是市場增長率的三倍。憑藉著業界領先的全快閃產品和透過我們管道的最廣泛覆蓋，我們預計在第四季度連續第九個季度獲得市場份額。

Turning to networking, the significant actions we took last year are paying off and we are very pleased with the performance overall. Networking revenue grew 62% year over year in constant currency. Normalized for the Aruba acquisition revenue grew double digits, driven by record China revenue as well as good performance in other regions.

談到網絡，我們去年採取的重要行動正在取得成效，我們對整體表現非常滿意。以固定匯率計算，網路收入較去年同期成長62%。歸一化收購阿魯巴的收入實現了兩位數成長，這得益於創紀錄的中國收入以及其他地區的良好表現。

As we've discussed before, we are seeing strength in China as customers anticipate the completion of the deal with Tsinghua that we announced last year. We are currently working through the final regulatory approval in China and we expect the deal to close by the end of May. Aruba also grew double digits at an operational level, and we saw strong pull through of HPE's switching portfolio to complement Aruba's wireless offerings.

正如我們之前所討論的，我們看到了中國市場的強勁表現，因為客戶期待我們去年宣布的與清華大學的交易能夠完成。我們目前正在努力獲得中國監管部門的最終批准，預計交易將於五月底完成。 Aruba 在營運層面也實現了兩位數的成長，我們看到 HPE 的交換產品組合強勁成長，補充了 Aruba 的無線產品。

Technology Services revenue was down 3% in constant currency although TS support performed better. Total orders grew year over year excluding China where we are seeing some customers delaying renewals until the Tsinghua transaction closes. Unlike networking or servers, these are long-term contracts and we believe some customers are waiting to work directly with the new entity.

儘管 TS 支援表現較好，但技術服務收入以固定匯率計算下降了 3%。除中國外，訂單總額較去年同期成長，我們發現中國的一些客戶延後續約，直到清華交易完成。與網路或伺服器不同，這些是長期合同，我們相信一些客戶正在等待直接與新實體合作。

We also saw constant currency double-digit order growth in new solutions like data center care and proactive care. We expect TS performance to improve throughout the year driven by a better mix of new, faster growing support solutions.

我們也看到資料中心護理和主動護理等新解決方案的訂單量實現了兩位數的固定匯率成長。我們預計，在新的、更快成長的支援解決方案的更好組合的推動下，TS 的業績將在全年得到改善。

In cloud, following a major wave of product releases across our HPE Helion portfolio in the second half of 2015, we are seeing strong customer traction. In fact, since separation, Helion has gained over 200 customer wins, including some of the world's largest banks, service providers and industrials. This momentum reinforces our belief that our strategy of helping customers transform to a hybrid infrastructure is a winning approach for us.

在雲端運算領域，隨著 2015 年下半年 HPE Helion 產品組合的一系列重大產品發布，我們看到了強大的客戶吸引力。事實上，自分離以來，Helion 已經贏得了 200 多個客戶，其中包括一些全球最大的銀行、服務提供者和工業企業。這種勢頭增強了我們的信念：幫助客戶轉型為混合基礎設施的策略對我們來說是一種成功的方法。

Enterprise Services continues to execute well against its turnaround strategy. ES is building a more diversified customer base, stabilizing revenue, and significantly reducing its cost structure. For example, during the quarter we grew new business TCV by 4% year over year in constant currency.

企業服務繼續良好地執行其扭虧為盈策略。 ES正在建立更多樣化的客戶群，穩定收入，並大幅降低成本結構。例如，本季我們的新業務 TCV 以固定匯率計算年增了 4%。

This includes an agreement with Sabre to provide virtualization, automation and security services, hardware and software to support faster product development, and extend Sabre's position in the global travel industry. And it includes an agreement with Avon to transform key elements of the leading beauty company's global IT infrastructure by offering dedicated data center services, cross-functional support, network management and security services. This builds on the progress we've made over the past three years.

其中包括與 Sabre 達成協議，提供虛擬化、自動化和安全服務、硬體和軟體，以支援更快的產品開發，並擴大 Sabre 在全球旅遊業的地位。它還包括與雅芳達成的一項協議，透過提供專用資料中心服務、跨職能支援、網路管理和安全服務，改造這家領先美容公司全球 IT 基礎設施的關鍵要素。這是基於我們過去三年所取得的進展。

Remember that in FY13, just three customers made up approximately 65% of ES operating profit. Today, no account makes up more than 10%. We also continued to make progress on our cost structure by exiting high-cost data centers, improving low-cost location mix, and rebalancing our workforce.

請記住，在 2013 財年，光是三位客戶就貢獻了 ES 營業利潤的約 65%。如今，沒有一個帳戶的比例超過 10%。我們也透過退出高成本資料中心、改善低成本位置組合以及重新平衡勞動力，繼續在成本結構方面取得進展。

As a result, Q1 revenue grew slightly in constant currency, marking the first quarter with constant currency growth since Q3 of 2012. We also had our seventh consecutive quarter of year-over-year margin expansion. Q1 operating margin of 5.1% improved 2.1 points year over year, driven largely by delivery cost actions. Overall, I believe we are taking the right steps to achieve our long-term goal of a sustainable market competitive cost structure with a 7% to 9% operating profit margin.

因此，以固定匯率計算，第一季營收略有成長，這是自 2012 年第三季以來第一個以固定匯率計算實現成長的季度。我們的利潤率也連續第七個季度年增。第一季營業利潤率為 5.1%，年增 2.1 個百分點，主要受運輸成本行動的推動。總的來說，我相信我們正在採取正確的步驟來實現我們的長期目標，即實現可持續的市場競爭成本結構和 7% 至 9% 的營業利潤率。

In Software we continued to make progress aligning the portfolio and go to market to our four transformation areas, increasing efficiency and accelerating SaaS. This has included the divestiture of several software businesses that were not core to our strategy, including iManage, LiveVault and TippingPoint, which we expect to close later this month.

在軟體方面，我們繼續取得進展，調整產品組合並向四個轉型領域推出產品，提高效率並加速 SaaS 的發展。這包括剝離一些不屬於我們策略核心的軟體業務，包括 iManage、LiveVault 和 TippingPoint，我們預計將於本月稍後完成這些業務的剝離。

In Q1, Software returned to growth, with revenue up 1% in constant currency when adjusted for recent M&A activity. The ADM ITOM business was down slightly in constant currency as continued headwinds in license and support were nearly offset by professional services and record revenue growth in SaaS, which grew over 20% year over year. Big data was strong with revenue up double digits when normalized for currency and divestitures, driven by triple-digit growth in vertical license. Security performance was also strong across both license and SaaS.

第一季度，軟體業務恢復成長，根據近期併購活動進行調整後，以固定匯率計算，營收成長 1%。 ADM ITOM 業務按固定匯率計算略有下降，因為許可和支援方面持續的不利因素幾乎被專業服務和創紀錄的 SaaS 收入增長所抵消，SaaS 收入同比增長超過 20%。大數據表現強勁，在垂直許可證三位數成長的推動下，按貨幣和資產剝離標準化後，收入增長了兩位數。許可證和 SaaS 的安全性能也非常出色。

Financial Services continues to provide our customers with the financing flexibility they need to take on their biggest IT challenges. At the same time, the team does a great job managing this business to minimize our risk and maximize our return. Financial Services revenue grew 3% in constant currency in Q1 and financing volume also increased to 3% year over year.

金融服務持續為我們的客戶提供應對最大 IT 挑戰所需的融資靈活性。同時，團隊在管理這項業務方面做得非常出色，最大限度地降低了我們的風險，並最大限度地提高了我們的回報。第一季金融服務收入以固定匯率計算成長了 3%，融資量也較去年同期成長了 3%。

Before I hand it over to Tim to provide further insight into the financials, I want to highlight some of the exciting product announcements from the quarter. One of the most important benefits of being a smaller, more focused company is that we are able to be very targeted in our investments and to even more effectively put our resources towards the most important high potential opportunities that support our strategy.

在我將其交給蒂姆以進一步了解財務狀況之前，我想重點介紹本季的一些令人興奮的產品公告。作為一家規模較小、業務更專注的公司，最重要的好處之一是，我們能夠非常有針對性地進行投資，甚至更有效地將資源投入到支持我們策略的最重要的高潛力機會上。

As we've discussed before, we prioritize organic investments to maintain a strong technology pipeline. At Discover in December we unveiled HPE Synergy, a new category of infrastructure designed to run both traditional and cloud-native applications for organizations running a hybrid infrastructure. Synergy, powered by our OneView software, represents a critical step in delivering our vision for hybrid infrastructure.

正如我們之前討論過的，我們優先考慮有機投資以維持強大的技術管道。在 12 月的 Discover 大會上，我們推出了 HPE Synergy，這是一種新型基礎設施，旨在為運行混合基礎設施的組織運行傳統應用程式和雲端原生應用程式。 Synergy 由我們的 OneView 軟體提供支持，代表著我們實現混合基礎設施願景的關鍵一步。

We also introduced our new IoT Edgeline systems and Aruba networking sensors specifically designed to help customers more efficiently collect, process and analyze IoT data. The new solutions are key elements of our strategy of delivering more connectivity and computing power at the network edge, and you can expect more IoT announcements coming up this year.

我們還推出了新的 IoT Edgeline 系統和 Aruba 網路感測器，專門用於幫助客戶更有效率地收集、處理和分析物聯網資料。新的解決方案是我們在網路邊緣提供更多連接和運算能力的策略的關鍵要素，您可以期待今年會有更多物聯網公告發布。

And in January, HP expanded its network function virtualization portfolio. We announced HPE Service Director, a new end-to-end service operation solution designed to help communications service providers manage services in NFE deployments by bridging traditional and new virtualized environments.

今年一月，惠普擴展了其網路功能虛擬化產品組合。我們宣布推出 HPE Service Director，這是一款全新的端到端服務營運解決方案，旨在透過連接傳統和新的虛擬化環境來協助通訊服務供應商管理 NFE 部署中的服務。

In addition to organic investments we are also investing in key partnerships. In January, HPE and Scality announced an enhanced partnership designed to accelerate the adoption of software-defined storage. And we announced a new partnership with Microsoft, appointing Azure as a preferred public cloud partner for HPE customers, while HPE now serves as a preferred partner in providing infrastructure and services for Microsoft's hybrid cloud offerings.

除了有機投資外，我們還對關鍵合作夥伴關係進行投資。今年 1 月，HPE 和 Scality 宣布加強合作，旨在加速軟體定義儲存的採用。我們宣布與微軟建立新的合作夥伴關係，指定 Azure 為 HPE 客戶的首選公有雲合作夥伴，而 HPE 現在是微軟混合雲產品提供基礎架構和服務的首選合作夥伴。

As a result of this commitment to innovation our products and services are being recognized as leaders in the industry. For example, we are now named a leader in 26 different Gartner Magic Quadrants, including integrated systems, modular servers, storage disk arrays, and wired and wireless infrastructure. Forrester has ranked Enterprise Services as a leader in workplace services and positioned HPE as a leader in its recent private cloud report. And IDC ranked us as a leader in application modernization services.

由於致力於創新，我們的產品和服務被公認為行業領導者。例如，我們現在被評為 26 個不同的 Gartner 魔力像限的領導者，包括整合系統、模組化伺服器、儲存磁碟陣列以及有線和無線基礎架構。 Forrester 將企業服務評為工作場所服務的領導者，並在其最近的私有雲報告中將 HPE 評為領導者。 IDC 將我們評為應用程式現代化服務領域的領導者。

Looking forward you can expect this momentum in investment and innovation to continue. Later this month we will announce a new market-changing hyper-converged offering based on our industry-leading pro lineup virtualization server. Our new solution will offer customers installation in minutes, a consumer-inspired simple, mobile-ready user experience, and automated IT operations, all at 20% lower cost than Nutanix. We believe this new system will allow us to quickly become a top player in the $5 billion high-growth, hyper-converged market.

展望未來，您可以期待這種投資和創新勢頭持續下去。本月晚些時候，我們將基於我們業界領先的專業陣容虛擬化伺服器推出一款改變市場的全新超融合產品。我們的新解決方案將為客戶提供幾分鐘內的安裝、受消費者啟發的簡單、行動就緒的使用者體驗以及自動化的 IT 操作，而且成本比 Nutanix 低 20%。我們相信，這個新系統將使我們迅速成為價值 50 億美元的高成長超融合市場的頂級參與者。

Also later this month, we will refresh our server portfolio to include a game-changing new technology called Persistent Memory, which was invented by our server group. This new technology will enable an ecosystem of new applications supporting non-volatile memory and is a key milestone on our journey to the machine.

此外，本月晚些時候，我們將更新我們的伺服器產品組合，包括一項名為「持久記憶體」的改變遊戲規則的新技術，該技術是由我們的伺服器部門發明的。這項新技術將實現支援非揮發性記憶體的新應用生態系統，是我們邁向機器之旅的重要里程碑。

So, overall I'm very pleased with our first quarter as an independent company. We are already seeing the benefits of being a smaller, more focused organization and I'm excited about what's ahead. On that note I will hand the call over to Tim.

因此，總的來說，我對我們作為一家獨立公司的第一季感到非常滿意。我們已經看到了作為一個規模更小、更專注的組織所帶來的好處，我對未來充滿期待。關於這一點，我將把電話交給蒂姆。

Thanks, Meg. Good afternoon, everyone. We have now completed our first quarter as a standalone company and overall I'm pleased with our performance. As part of the separation process, we developed a clear financial architecture for HPE where each business segment has a specific role in driving overall Company performance.

謝謝，梅格。大家下午好。我們現在已經完成了作為獨立公司的第一季度，總體而言，我對我們的表現感到滿意。作為分離過程的一部分，我們為 HPE 制定了清晰的財務架構，其中每個業務部門在推動公司整體表現方面發揮特定的作用。

Enterprise Group is our growth engine. Enterprise Services is committed to stabilizing revenue and expanding margins. Software provides high margins and strong cash flow. And Financial Services provides a consistent annuity-based revenue stream. After only one quarter it's already clear that each business is executing against this framework and, as a result, is driving solid financial performance at the HPE level.

企業集團是我們的成長引擎。企業服務致力於穩定收入和擴大利潤率。軟體提供高利潤和強勁的現金流。金融服務提供穩定的基於年金的收入來源。僅一個季度之後，我們就已經清楚地看到，每個企業都在按照這個框架執行，並因此在 HPE 層面推動了穩健的財務表現。

First-quarter revenue was $12.7 billion, down 2.5% year over year but up 3.8% in constant currency. And as Meg said, this marks our third consecutive quarter of year-over-year constant currency growth.

第一季營收為 127 億美元，年減 2.5%，但以固定匯率計算成長 3.8%。正如梅格所說，這標誌著我們連續第三個季度實現同比增長。

Clearly, currency was a significant headwind this quarter. You might recall that we saw the most significant movement in currencies during our first fiscal quarter last year, which drove a large rate translation impact this year and a total currency impact of 6 points year over year. Going forward, currency will still be a significant impact in Q2 and then moderate in the second half. And we still anticipate a currency headwind of approximately 3 points to revenue for the full year.

顯然，貨幣是本季的一大阻力。您可能還記得，我們​​在去年第一財季看到了最顯著的貨幣變動，這導致今年的匯率轉換產生了巨大影響，總貨幣影響去年增加了 6 個點。展望未來，貨幣因素仍將在第二季產生重大影響，並在下半年逐漸減弱。我們仍然預計，貨幣逆風將對全年收入造成約 3 個百分點的影響。

Looking at performance by geography, we had some challenges in the Americas which grew 1% year over year in constant currency, with increased weakness in January, particularly in US hardware, as macro uncertainty caused a slowdown in global account spending. EMEA delivered growth of 4% year over year in constant currency driven by balanced growth across EG hardware. APJ saw the best growth at 9% year over year in constant currency due to strength in servers and record China networking revenue.

從地理表現來看，我們在美洲遇到了一些挑戰，美洲地區以固定匯率計算同比增長了 1%，但 1 月份疲軟趨勢加劇，尤其是美國硬體市場，因為宏觀不確定性導致全球帳戶支出放緩。受 EG 硬體均衡成長的推動，EMEA 地區以固定匯率計算年增 4%。由於伺服器的強勁表現和創紀錄的中國網路收入，亞太及日本地區 (APJ) 按固定匯率計算年增 9%，為最佳增幅。

The gross margin was 28.4%, down 1.2 points sequentially due to normal seasonality, and up 70 basis points year over year, primarily driven by continued productivity improvements in Enterprise Services. Non-GAAP operating expenses of $2.6 billion were up 3% year over year driven by R&D as we continue to make targeted investments. Non-GAAP operating profit was 8.1%, down 1.5 points sequentially and down 40 basis points year over year.

毛利率為 28.4%，由於正常的季節性因素，比上一季下降 1.2 個百分點，比去年同期上升 70 個基點，主要得益於企業服務部門生產力的持續提高。非公認會計準則營運費用為 26 億美元，年增 3%，這得益於我們繼續進行有針對性的投資，推動了研發支出的成長。非公認會計準則營業利潤為 8.1%，比上一季下降 1.5 個百分點，比去年同期下降 40 個基點。

Non-GAAP diluted net earnings per share was $0.41, at the top of our guided range. Non-GAAP EPS primarily excludes pre-tax charges of $311 million for restructuring charges, $218 million for amortization of intangible assets, and $79 million for separation costs. We delivered GAAP diluted net earnings per share of $0.15, $0.02 above our previously provided outlook range of $0.09 to $0.13 due primarily to tax indemnification adjustments related to the separation.

非公認會計準則每股攤薄淨收益為 0.41 美元，為我們指導範圍的上限。非公認會計準則每股收益主要不包括 3.11 億美元的重組費用、2.18 億美元的無形資產攤銷費用和 7,900 萬美元的分離費用等稅前費用。我們實現的 GAAP 稀釋每股淨收益為 0.15 美元，比我們之前提供的 0.09 美元至 0.13 美元的預期範圍高出 0.02 美元，這主要歸因於與分離相關的稅收補償調整。

Free cash flow was negative $831 million, down 70% year on year on an adjusted basis that reflects the estimated HPE contribution to the combined HP Company free cash flow last year. As we discussed during the Q4 earnings call, Q1 is usually our lowest cash flow quarter, due primarily to earnings seasonality in ES and Software, as well as normal annual bonus compensation payments. You can see the seasonal pattern in our adjusted fiscal year 2015 results when our free cash flow for Q1 was a use of approximately $500 million. In addition to normal seasonality, in Q1 2016 we had higher separation payments year over year, which are now largely complete, and higher usage of working capital.

自由現金流為負 8.31 億美元，按調整後計算年減 70%，反映了 HPE 去年對惠普公司合併自由現金流的估計貢獻。正如我們在第四季度收益電話會議上所討論的那樣，第一季通常是我們現金流最低的季度，這主要是由於 ES 和軟體的收益季節性，以及正常的年度獎金補償支付。您可以在我們調整後的 2015 財年業績中看到季節性模式，其中我們第一季的自由現金流約為 5 億美元。除了正常的季節性因素外，2016 年第一季我們的離職補償金年比有所增加（目前已基本支付完畢），營運資金使用率也有所提高。

Let me explain what's happening with working capital. The cash conversion cycle was 31 days, up 8 days sequentially. This was above our targeted levels of mid 20 days, primarily due to payables that were impacted by intra-quarter purchasing linearity and strategic buys that provide an economic benefit to the Company.

讓我解釋一下營運資金的情況。現金週轉週期為31天，較上一季增加8天。這高於我們設定的 20 天中期目標水平，主要是因為應付款項受到季度內採購線性和為公司帶來經濟利益的策略採購的影響。

These items are largely timing related and we continue to more aggressively manage our working capital and expect the cash conversion cycle to improve throughout the year and return to our targeted levels. With all that in mind, we remain committed to our free cash flow outlook of $2 billion to $2.2 billion for the full year.

這些項目主要與時間有關，我們將繼續更積極地管理我們的營運資金，並預計現金轉換週期將在全年改善並恢復到我們的目標水準。考慮到所有這些，我們仍然致力於全年 20 億至 22 億美元的自由現金流預期。

Turning to capital allocation, in the first quarter we paid approximately $1.2 billion for share repurchases, including $1.1 billion through an accelerated share repurchase program and an additional $132 million on the open market as part of our ongoing share repurchase program. We also distributed $96 million as part of our normal dividend. To date we have already returned over 60% of our free cash flow outlook to shareholders, and now we are raising our commitment and expect to return at least 100% of our free cash flow outlook to shareholders in fiscal year 2016.

談到資本配置，第一季我們支付了約 12 億美元用於股票回購，其中包括透過加速股票回購計畫支付的 11 億美元，以及作為我們正在進行的股票回購計畫的一部分在公開市場上支付的另外 1.32 億美元。我們還派發了 9600 萬美元作為正常股息的一部分。到目前為止，我們已經向股東返還了超過60%的自由現金流預期，現在我們正在提高承諾，預計在2016財年向股東返還至少100%的自由現金流預期。

Separately, as Meg noted, we expect the Tsinghua transaction to close near the end of May. When the deal closes we expect to receive cash of just over $2 billion that is net of some initial tax on the sale. We are planning to use the vast majority of this cash to opportunistically repurchase shares. The timing of the repurchases may not be linear and will be dependent on several factors including market conditions and availability of US cash.

另外，正如梅格所指出的，我們預計清華交易將在五月底完成。交易完成後，我們預計將收到略高於 20 億美元的現金，並扣除部分初始銷售稅。我們計劃利用這筆現金的絕大部分機會回購股票。回購的時間可能不是線性的，而是取決於市場條件和美國現金的可用性等幾個因素。

Now, turning to the business results, the Enterprise Group delivered healthy growth and stable profitability, in line with our financial architecture. As Meg discussed, we are investing in innovation across EG to deliver best-in-class solutions in growing markets, while maintaining cost discipline and solid profitability.

現在，談到業務成果，企業集團實現了健康成長和穩定獲利，符合我們的財務架構。正如梅格所討論的，我們正在 EG 上投資創新，以便在不斷增長的市場中提供一流的解決方案，同時保持成本紀律和穩定的盈利能力。

Revenue grew 1% year over year as reported, or 7% in constant currency, with strength across all hardware groups. Profitability was down 1.8 points to 13.4% primarily due to FX and to a lesser extent product mix.

據報道，營收年增 1%，以固定匯率計算成長 7%，所有硬體部門均表現強勁。獲利能力下降 1.8 個百分點至 13.4%，這主要是由於外匯以及產品組合（程度較小）的影響。

Servers revenue was down 1% year over year as reported but grew 5% in constant currency. Growth was driven by strong Tier 1 and by core sales in both EMEA and APJ. This was somewhat offset by pressure in the Americas towards the end of the quarter. Our R&D investments continue to pay off with our industry-leading offerings and high-performance compute that now exceeds a $1 billion run rate and strong double-digit growth in mission-critical x86 servers.

據報道，伺服器營收年減 1%，但以固定匯率計算成長 5%。成長主要得益於強勁的一級市場銷售以及歐洲、中東和非洲地區 (EMEA) 和亞太及日本地區 (APJ) 的核心銷售。但本季末美洲地區的壓力在一定程度上抵消了這一影響。我們的研發投資繼續透過我們領先業界的產品和高效能運算獲得回報，目前運行率已超過 10 億美元，關鍵任務 x86 伺服器也實現了強勁的兩位數成長。

Looking forward, we continue to see opportunities for profitable revenue growth and share expansion in the server market. We have the most comprehensive and compelling server portfolio with solutions for every work load. And we are aggressively taking advantage of the uncertainty in the markets surrounding our competitors.

展望未來，我們將繼續看到伺服器市場獲利收入成長和份額擴大的機會。我們擁有最全面、最引人注目的伺服器產品組合，為每種工作負載提供解決方案。我們正在積極利用競爭對手周遭市場的不確定性。

Storage revenue declined 3% year on year as reported but grew 3% in constant currency. The unified 3PAR architecture, combined with our excellent channel partnerships, continues to drive revenue growth and share gains while our competitors are distracted and contracting.

據報道，儲存收入年減 3%，但以固定匯率計算成長 3%。統一的 3PAR 架構與我們優秀的通路合作夥伴關係相結合，繼續推動收入成長和份額成長，而我們的競爭對手則分心並萎縮。

3PAR all flash grew triple digits again, driving 3PAR revenue growth of 21% year over year in constant currency, significantly outperforming the market. 3PAR plus XP plus EVA was up 15% year over year in constant currency. We estimate that we've gained solid market share in the fourth calendar quarter and expect storage to continue to be a growth driver in constant currency throughout the remainder of the year.

3PAR全快閃記憶體再次實現三位數成長，推動3PAR營收以固定匯率計算年增21%，大幅跑贏大盤。以固定匯率計算，3PAR 加 XP 加 EVA 年增 15%。我們估計，我們在第四季度獲得了穩固的市場份額，並預計儲存將在今年剩餘時間內繼續成為成長動力（以固定匯率計算）。

Networking revenue grew 54% year over year as reported, or 62% in constant currency, and expanded operating margins, driven by the acquisition of Aruba and strong execution across all regions. When adjusted for Aruba, networking revenue was still up double digits in constant currency.

據報道，網路營收年增 54%，以固定匯率計算成長 62%，且由於收購 Aruba 和所有地區的強勁執行，營業利潤率有所擴大。經阿魯巴調整後，以固定匯率計算，網路收入仍成長了兩位數。

The Aruba acquisition continues to prove to be a key strategic move for HPE and has transformed our networking business. Consistent with our acquisition strategy, Aruba continues to drive growth in wireless and has also been integral in returning switching to double-digit growth year over year.

事實證明，收購 Aruba 是 HPE 的一項關鍵策略舉措，並徹底改變了我們的網路業務。與我們的收購策略一致，Aruba 繼續推動無線領域的成長，並在實現逐年兩位數成長的過程中發揮了重要作用。

ES revenue declined 9% year over year as reported or 3% in constant currency. However, approximately 1 point of the decline was due to the discontinuation of HPI-related service contracts that were supported by TS last year. Encouragingly, TS support, which has significantly higher margins than consulting, continued to stabilize, and revenue was only down 2% year over year in constant currency, including the HPI impact. Orders were down slightly in constant currency but up excluding China where signings have been delayed ahead of the Tsinghua deal close date.

據報道，ES 收入年減 9%，以固定匯率計算下降 3%。不過，約有1個百分點的下降是由於TS去年支持的HPI相關服務合約的終止。令人鼓舞的是，利潤率遠高於諮詢業務的 TS 支援業務持續保持穩定，包括 HPI 的影響在內，以固定匯率計算，營收年比僅下降 2%。以固定匯率計算，訂單量略有下降，但不包括中國，因為在清華交易截止日期之前簽約已被推遲，因此訂單量有所上升。

Enterprise Services executed well against its plan to stabilize the top line and expand margins. Revenue declined 6% year over year but grew slightly in constant currency. Applications and business services, which you'll recall is the higher margin business within ES, continued to improve with the second consecutive quarter of year-over-year revenue growth in constant currency, driven by strong apps performance and stabilization in business process services. Strategic Enterprise Services revenue was up double digits year on year, with strong growth in Helion-managed cloud.

企業服務部在穩定營業收入和擴大利潤率的計劃上表現良好。營收年減 6%，但以固定匯率計算略有成長。應用程式和商業服務（您可能還記得）是 ES 中利潤率較高的業務，該業務繼續改善，在強勁的應用程式效能和業務流程服務的推動下，連續第二個季度實現按固定匯率計算的同比增長。策略企業服務收入年增兩位數，其中 Helion 管理雲端業務成長強勁。

Overall, TCV was up nearly 30% year over year in constant currency, driven by strong renewals, as well as growth in new logos and add-ons. ES operating profit improved 2.1 points year over year to 5.1% as the team continued to execute productivity improvements and delivery and sales, and improved new deal profitability. We also had a benefit from a one-time divestiture of a non-core business.

總體而言，受強勁續約以及新標誌和附加元件成長的推動，TCV 按固定匯率計算年增近 30%。由於團隊持續執行生產力改善和交付與銷售，並提高新交易獲利能力，ES 營業利潤年增 2.1 個百分點至 5.1%。我們也從一次性剝離非核心業務中獲益。

We continue to make progress against the cost takeout plan we laid out at our Analyst meeting. We now have approximately 45% of our workforce in low-cost locations and are well on our way to our longer-term goal of 60%. Given the progress we have made on bookings and cost improvements, along with our normal quarterly seasonality, we remain confident in our full-year operating profit outlook of 6% to 7% and revenue of down 2% to flat year over year in constant currency.

我們繼續按照分析師會議上製定的成本削減計劃取得進展。目前，我們約有 45% 的員工位於低成本地區，並且順利實現 60% 的長期目標。鑑於我們在預訂和成本改進方面取得的進展，以及我們正常的季度季節性，我們仍然對全年營業利潤前景充滿信心，按固定匯率計算，營業收入將同比下降 2% 至持平。

Software executed well in the quarter, improving revenue and delivering strong profitability, while continuing to become more tightly integrated with the rest of the HPE portfolio and go-to-market approach. Revenue declined 10% year over year as reported, or 6% in constant currency, but was up 1% when adjusted for acquisitions and divestitures in constant currency. We saw strong performance in big data and also some growth in security offset by declines in IT management.

本季軟體表現良好，提高了收入並實現了強勁的盈利能力，同時繼續與 HPE 的其他產品組合和行銷方式更加緊密地整合。報告顯示，營收年減 10%，以固定匯率計算下降 6%，但根據收購和資產剝離調整後，以固定匯率計算成長 1%。我們看到大數據領域表現強勁，安全領域也有一些成長，但被 IT 管理領域的下滑所抵銷。

SaaS had a very good quarter growing double digits in constant currency when adjusted for divestitures, driven by ADM ITOM and security. Operating profit was 17.4%, down 60 basis points year over year, due primarily to currency and higher mix of professional services. The team continues to focus on disciplined cost controls but is still making strategic R&D investments in growth areas that align well with the broader HPE portfolio.

在 ADM ITOM 和安全的推動下，SaaS 本季表現非常出色，在調整資產剝離後，以固定匯率計算實現了兩位數成長。營業利潤為 17.4%，年減 60 個基點，主要原因是貨幣和專業服務組合增加。該團隊繼續專注於嚴格的成本控制，但仍在與更廣泛的 HPE 產品組合相符的成長領域進行策略性研發投資。

In Financial Services, revenue declined 3% year over year but grew 3% in constant currency as we began to see more impact from the volume growth we delivered last year. Financing volume in the quarter declined 4% year over year but was up 3% in constant currency. Operating profit improved 1.7 points year over year to 12.9% as we were able to adjust bad debt reserves to reflect the improved loss rates and our high-quality portfolio. Return on equity was up 1 point year over year to 18.1%.

在金融服務方面，營收年減 3%，但以固定匯率計算成長 3%，因為我們開始看到去年實現的交易量成長帶來的更多影響。本季融資額年減 4%，但以固定匯率計算成長 3%。由於我們能夠調整壞帳準備金以反映損失率的改善和我們高品質的投資組合，營業利潤年增 1.7 個百分點至 12.9%。股本回報率年增1個百分點至18.1%。

Now turning to our outlook, we will not formally update our fiscal year 2016 outlook for the impact of Tsinghua transaction until after it closes, but I wanted to give you some information about how to think about the potential impact. We now anticipate the deal to close near the end of May and expect the transaction will impact fiscal year 2016 EPS operationally by approximately $0.05. This includes some stranded costs from corporate administrative functions that we will mitigate in the near term.

現在談談我們的展望，在清華交易結束後，我們不會正式更新 2016 財年對清華交易影響的展望，但我想向大家提供一些關於如何看待潛在影響的信息。我們現在預計該交易將在五月底完成，並預計該交易將對 2016 財年的每股收益產生約 0.05 美元的影響。其中包括一些來自公司行政職能的擱淺成本，我們將在短期內減輕這些成本。

After the transaction closes, we will update our fiscal year 2016 free cash flow and EPS outlook, including any expected benefit from share repurchases made with sale proceeds. Also, we do have an EPS benefit from our share repurchases completed in Q1 and still feel confident in the underlying operating performance of the business, but it's too early in the year to change our full-year outlook given the softness in January and near-term market uncertainty.

交易完成後，我們將更新 2016 財年的自由現金流量和每股盈餘展望，包括利用銷售收益進行的股票回購預期收益。此外，我們確實從第一季完成的股票回購中獲得了每股收益，並且仍然對業務的基本營運表現充滿信心，但考慮到 1 月的疲軟和近期市場的不確定性，現在改變我們的全年前景還為時過早。

With that in mind, we expect non-GAAP diluted net earnings per share to be $0.39 to $0.43 in Q2 2016, and continue to expect full year fiscal 2016 non-GAAP diluted net earnings per share of $1.85 to $1.95. We expect GAAP diluted net earnings per share to be $0.13 to $0.17 in Q2 2016, and continue to expect full-year fiscal 2016 GAAP diluted net earnings per share of $0.75 to $0.85.

考慮到這一點，我們預計 2016 年第二季度非 GAAP 稀釋每股淨收益為 0.39 美元至 0.43 美元，並繼續預計 2016 財年全年非 GAAP 稀釋每股淨收益為 1.85 美元至 1.95 美元。我們預計 2016 年第二季 GAAP 稀釋每股淨收益為 0.13 美元至 0.17 美元，並繼續預計 2016 財年全年 GAAP 稀釋每股淨收益為 0.75 美元至 0.85 美元。

Now, let's open it up for questions.

現在，讓我們開始提問。

(Operator Instructions)

（操作員指示）

Our first question will come from Sherri Scribner of Deutsche Bank.

我們的第一個問題來自德意志銀行的謝裡‧斯克里布納 (Sherri Scribner)。

Hi. Thank you. Good job on the operating margins. I was hoping you could you give us some detail about how you're thinking about margin, particularly in the Enterprise Group, as we move through fiscal 2016, and some of the other operating margins. I know you've commented on Enterprise Services but wanted to get your sense about the Enterprise Group in particular with the new products coming out.

你好。謝謝。營業利益率表現良好。我希望您能向我們詳細介紹一下您對利潤率的看法，特別是在 2016 財年的企業集團利潤率以及其他一些營運利潤率。我知道您對企業服務發表了評論，但我想了解您對企業集團的看法，特別是對即將推出的新產品的看法。

Sure, Sherri. We did see some margin deterioration year over year. If you'll look at the margins for EG in total they were at 13.4%. Most of that was driven by FX, so keep in mind in the first quarter last year the euro, as an example, was at $1.24, and the average accounting rate in the first quarter this year was $1.08. So, we still saw significant pressure from an FX perspective when you look at the first quarter.

當然，謝麗。我們確實看到利潤率逐年下降。如果你看一下 EG 的總利潤率，它們是 13.4%。其中大部分是由外匯推動的，所以請記住，以去年第一季為例，歐元兌美元匯率為 1.24 美元，而今年第一季的平均會計匯率為 1.08 美元。因此，從第一季來看，我們仍然看到外匯的巨大壓力。

Going out for the rest of the year we would expect the margins to stabilize and maybe get a little bit of a lift, particularly as we continue to grow the storage business, as well as the networking business. As you know, those businesses have a healthier margin profile, so as we continue to grow those, we should see some lift there.

展望今年剩餘時間，我們預計利潤率將會穩定下來，甚至可能略有上升，尤其是隨著我們繼續發展儲存業務和網路業務。如您所知，這些業務的利潤率狀況更為健康，因此隨著我們繼續發展這些業務，我們應該會看到一些提升。

And then the only other major comment I'd make is on the ES business. Again, we saw some great performance there in the first quarter, margins at 5.1%, up 210 basis points year over year. The efforts that the team continues to execute upon as they're transforming that business, and the seasonality in that business, we would expect those margins to improve over the course of the year and settle, on average, in the range of 6% to 7%, as we talked about at the Analyst meeting in September.

然後我要提出的唯一其他重要評論是關於 ES 業務。我們再次看到第一季的出色表現，利潤率為 5.1%，年增 210 個基點。隨著團隊在業務轉型過程中不斷努力，以及業務的季節性，我們預計利潤率將在一年內有所提高，平均穩定在 6% 至 7% 的範圍內，正如我們在 9 月的分析師會議上所討論的那樣。

Okay, perfect. And then just thinking about your free cash flow guidance, now you're planning to spend 100% of your free cash flow returning that to shareholders, does that change your acquisition strategy? What are you thinking about acquisitions this year? Thank you.

好的，完美。然後想想您的自由現金流指導，現在您計劃將 100% 的自由現金流返還給股東，這會改變您的收購策略嗎？您對今年的收購有何考慮？謝謝。

We continue to execute a returns-based capital allocation strategy. Given where the stock price has been trading, this is one of the best return on investments that we can actually make. And as I said when we were on our road show for the new Hewlett Packard Enterprise, our first choice from an innovation perspective is organic innovation. Look at the success of the 3PAR all flash storage array -- internally homegrown, growing 3 times the rate of the market, and gives that benefit of a common architecture from top to bottom. The benefit of doing organic innovation is you don't end up with a Frankenstein of architectures.

我們繼續執行基於報酬的資本配置策略。考慮到股票價格的交易情況，這是我們實際上可以做出的最佳投資回報之一。正如我在新惠普企業路演時所說的那樣，從創新角度來看，我們的首選是有機創新。看看 3PAR 全快閃儲存陣列的成功——內部自主研發，成長速度是市場速度的 3 倍，並且從上到下都具有通用架構的優勢。進行有機創新的好處是，你最終不會得到一個建築科學怪人。

The second choice would be acquisitions that look like 3PAR, 3Com and Aruba. These have been very successful acquisitions for us. They are additional complementary technology that goes through our excellent distribution system. But, again, where the stock is trading right now, we think that this makes a lot of sense to buy back shares, which is why we've decided to go to 100% of the free cash flow.

第二種選擇是收購 3PAR、3Com 和 Aruba 等公司。對我們來說，這些都是非常成功的收購。它們是透過我們優秀的分銷系統進行的額外補充技術。但是，就目前的股票交易情況而言，我們認為回購股票非常有意義，這也是我們決定使用 100% 自由現金流的原因。

Thank you.

謝謝。

The next question will come from Kulbinder Garcha of Credit Suisse.

下一個問題來自瑞士信貸的 Kulbinder Garcha。

Thanks. I just have a couple of clarifications, actually. Maybe for Meg, first of all, and Tim touched upon this. You talked about how you're seeing constant currency revenue growth for several quarters, all businesses are growing since the end of 2010. Are we now at the point whereby this business might sustainably, in constant currency and revenue terms, just grow? I'm not asking for a number of percentage growth rate but do you think you have that visibility? Because the reason why I ask is, Tim also mentioned visibility in January, and obviously we can see what the markets have been doing in the macro. So, I'm curious as to how we see sustainable growth of the business.

謝謝。實際上，我只是想澄清幾點。也許對梅格來說，首先，提姆也談到了這一點。您談到您看到幾個季度的固定匯率收入都在成長，自 2010 年底以來所有業務都在成長。我們現在是否已經到了這項業務能夠以固定匯率和收入持續成長的階段？我並不是詢問百分比成長率，但您認為您有這樣的可見性嗎？因為我之所以問這個問題，是因為提姆也提到了 1 月的可見性，顯然我們可以看到市場在宏觀上的表現。所以，我很好奇我們如何看待業務的永續成長。

And then also, just for Tim, on the Enterprise Services margin guidance and the growth guidance for this year, given the contract value growth, given the mix shift you're seeing in the business, the cost changes you're putting through very well, why isn't that guidance we've seen with Enterprise Services now very conservative? Is there some caution you're reflecting in that guidance in the balance of the year on the Enterprise Services side specifically? Many thanks.

然後，對於蒂姆來說，關於今年的企業服務利潤率指引和成長指引，考慮到合約價值的成長，考慮到您在業務中看到的組合轉變，以及您正在進行的成本變化，為什麼我們現在看到的企業服務指引不是非常保守？您是否在年度餘額指南中特別在企業服務方面體現出一些謹慎態度？非常感謝。

On the overall growth rate of the Company, remember we said at the beginning of this year that we would grow Hewlett Packard Enterprise in revenues in constant currency. And we are on track to do that, as you can see from Q1. Again, from an as reported basis the compares get better in the second half of the year because we've worked through those big currency fluctuations in Q1 of last year.

關於公司的整體成長率，請記住，我們在今年年初就說過，我們將以固定匯率計算實現惠普企業的營收成長。正如您從第一季看到的，我們正在按計劃實現這一目標。再次，從報告來看，下半年的情況會更好，因為我們已經解決了去年第一季的大幅貨幣波動問題。

I think your question is can we see accelerated growth. I think we just are a little concerned about the macroeconomic environment. We saw a slowdown in the US in the last three weeks of January. Linearity appears to be back on track but it's early in the game. So, I think we're just being a bit cautious here.

我認為你的問題是我們是否能看到加速成長。我認為我們只是有點擔心宏觀經濟環境。一月份的最後三週，我們看到美國經濟放緩。線性似乎已經回到正軌，但還處於初期階段。所以，我認為我們在這裡只是有點謹慎。

We like our product portfolio, we like our go-to-market changes, we like our innovation engine. There's a lot of things that we're feeling very good about but the macroeconomic environment still has pockets of weakness. Russia continues to be a big challenge, the Ukraine, parts of Latin America. China right now for us is doing well but that can change at any minute.

我們喜歡我們的產品組合，我們喜歡我們的市場變化，我們喜歡我們的創新引擎。我們對很多事情感覺很好，但宏觀經濟環境仍然存在一些疲軟。俄羅斯、烏克蘭和拉丁美洲部分地區仍是一個巨大的挑戰。對我們來說，中國目前發展良好，但這種情況隨時可能改變。

So, we feel great about the stated goal of growth in constant currencies. And let's see how the macroeconomic and the political environment changes over time.

因此，我們對以固定匯率計算的成長這一既定目標感到非常滿意。讓我們看看宏觀經濟和政治環境如何隨時間變化。

Sure. And then on the ES point, again we feel great about the progress we've made in the first quarter. We have the delivery centers in motion. We continue to move folks from high-cost countries to low-cost countries. So, the team has done a tremendous job in transforming the business.

當然。然後在 ES 點上，我們再次對第一季的進展感到非常高興。我們的配送中心已投入營運。我們繼續將人們從高成本國家轉移到低成本國家。因此，該團隊在業務轉型方面做出了巨大的貢獻。

Now, to your question, as we continue to progress in the year, we're going to continue to see pricing pressure in that business. It's very competitive. We're going to continue to invest in the business, particularly in that go-to-market motion. And also given the fact that it's really just the first quarter, so we have nine more months to go. There is some market uncertainty out there so we just felt it prudent to stick with the 6% to 7%.

現在，回答您的問題，隨著我們今年的不斷進步，我們將繼續看到該業務的定價壓力。競爭非常激烈。我們將繼續投資於該業務，特別是在行銷方面。而且考慮到這實際上只是第一季度，所以我們還有九個月的時間。由於市場存在一些不確定性，因此我們認為堅持 6% 至 7% 的利率是明智之舉。

Thank you.

謝謝。

The next question comes from Toni Sacconaghi of Bernstein.

下一個問題來自伯恩斯坦的托尼·薩科納吉。

Yes, thank you. I'm wondering if you can update us on the status of expected restructuring and separation charges. I think as of last call you had talked about $1.7 billion in cash impact this year, and that you expected it to be front-end loaded. It ended up being less than one quarter of the year's total. So, I'm wondering if, A, you can give us an update on how many people came out in the quarter, what that expectation is for the year. And are we incorrect in what I just played back in terms of understanding that this didn't appear to be more front-end loaded, in fact it felt less than linear and why that might be?

是的，謝謝。我想知道您是否可以向我們介紹預期重組和分離費用的狀況。我認為，截至上次通話時，您已經談到了今年 17 億美元的現金影響，您預計這將是前端加載的。最終，這數字還不到全年總量的四分之一。所以，我想知道，A，您是否可以向我們介紹本季有多少人出來，以及對今年的預期是多少。我們剛才回放的內容是否理解有誤，這似乎並沒有更多的前端加載，事實上它感覺不夠線性，這可能是什麼原因造成的？

Sure, Toni. A couple of things that I'd say about the restructuring. We are on track so as we called out at the Analyst meeting we'll be about $1.2 billion in cash. So we are on track for that this year. And then as far as how many folks that we've taken out so far, we'll be 3,000 in the first quarter. We don't really guide on what we're going to take out for the entire year. But the only thing I'd say is we are on track and that $1.2 billion in cash for this year still remains there.

當然，托尼。關於重組我想說幾件事。我們一切進展順利，正如我們在分析師會議上所說的那樣，我們將擁有約 12 億美元的現金。因此，我們今年的目標正在順利實現。至於到目前為止我們已經解雇了多少人，第一季將有 3,000 人。我們實際上並沒有指導我們全年要花多少錢。但我只想說，我們的計劃正在按計劃進行，今年的 12 億美元現金仍然還在。

And separation? That was $600 million, I believe, and you did $79 million in the quarter. Where do you stand on that?

還有分離嗎？我相信那是 6 億美元，而本季你的收入為 7,900 萬美元。你對此持什麼立場？

No, we did $300 million. You're right, it's $600 million in separation for the year, and we did $300 million in the first quarter.

不，我們賺了3億美元。你說得對，今年的分離支出是 6 億美元，而第一季我們的分離支出是 3 億美元。

Okay. But the cash impact was only $79 million or was it grouped in another group?

好的。但現金影響只有 7,900 萬美元，還是歸入了另一組？

No, the cash impact was a $300 million payment.

不，現金影響是 3 億美元的支付。

Finally, you mentioned a benefit from a divestiture in ES. Was that a margin benefit? And is that part of the reason for not being more optimistic about margins over the course of the year? Or was that either immaterial or a revenue impact?

最後，您提到了 ES 資產剝離的好處。這是利潤利益嗎？這是否也是對今年利潤率不太樂觀的原因之一？或者這無關緊要或對收入有影響？

No that did have an impact from a margin perspective. I'd say it was not really material. It does have some impact on the margin, to your point, but overall we feel very good about the health of the ES margins.

不，從利潤率的角度來看，這確實有影響。我想說這並不是什麼實質的事情。正如您所說，它確實對利潤率產生了一些影響，但總體而言，我們對 ES 利潤率的健康狀況感到非常滿意。

Thank you.

謝謝。

The next question will come from Katy Huberty of Morgan Stanley.

下一個問題來自摩根士丹利的凱蒂休伯蒂 (Katy Huberty)。

Thanks, good afternoon. Just quickly two questions. One, bad debt reserves, you mentioned, was a benefit to Financial Services margins in the quarter. Was that a one-time benefit or does that flow through to future quarters?

謝謝，下午好。我只想快速問兩個問題。首先，您提到的壞帳準備金對本季金融服務利潤率有利。這是一次性福利還是會延續到未來的幾季？

And then, secondly, the sale to Tsinghua is taking longer than expected. Can you just talk about what milestones are left to get that deal completed, and just some context around why it's been delayed? Thank you.

其次，向清華出售的時間比預期的要長。您能否談談完成這筆交易還剩下哪些里程碑，以及交易被推遲的原因？謝謝。

Sure. I'll hit the bad debt reserve and then I'll let Meg talk about Tsinghua. The bad debt reserve was a one-time benefit. I think it was about 150 basis points of the improvement. And it's primarily driven by the fact that we adjusted reserves. We're still very conservative but if you look at our loss reserves as a percentage of expected or historical losses, it's still about 2 times, which is very conservative in the financial services business.

當然。我會打壞帳準備金，然後讓梅格談談清華的事。壞帳準備金是一次性收益。我認為改善幅度約為 150 個基點。這主要是因為我們調整了儲備。我們仍然非常保守，但如果將我們的損失準備金視為預期或歷史損失的百分比，它仍然約為 2 倍，這在金融服務業務中是非常保守的。

Yes, Katy, let me talk a little bit about Tsinghua. O you recall, we originally thought this would close roughly at the end of February and now we are confident that the deal is going to close near the end of May. And we're working through some final Chinese regulatory approvals. So, all the US approvals have been received, CFIUS, et cetera. Only the China securities regulatory committee remains. They call that the CSRC in China, which is a bit like our SEC.

是的，凱蒂，讓我來談談清華吧。哦，你還記得嗎，我們原本認為這將在大約二月底完成，現在我們有信心這筆交易將在五月底完成。我們正在努力獲得中國監管部門的一些最終批准。因此，所有美國批准均已收到，包括 CFIUS 等。只剩下中國證監會了。在中國，他們稱之為中國證監會，有點像我們的證券交易委員會。

There's been a couple of things going on there. One is they have a new head of the CSRC. Two, there is a big backlog of deals, and they're working through that backlog. But we feel confident. We expect that deal to close at the end of May. As you can imagine, we've been in contact with all of the appropriate regulatory people and obviously our partners at Tsinghua. So, that's the way we think about it right now.

那裡發生了幾件事。一是中國證監會換了一位新負責人。二是積壓了大量交易，他們正在處理這些交易。但我們充滿信心。我們預計交易將於五月底完成。你可以想像，我們已經與所有相關的監管人員以及清華的合作夥伴進行了聯繫。這就是我們現在的想法。

There's also, as you know, a fair amount of volatility in the markets in China and I think that, frankly, is slowing things down a little bit in China. And, by the way, the H3C revenue over there is doing great. We had a record revenue for our China networking business and I take that as a positive sign. It means that the Chinese government is still leaning into H3C, and that product and that business is being very well received in the China market.

正如你所知，中國市場也存在相當大的波動，坦白說，我認為，這正在減緩中國經濟的發展。順便說一句，H3C 在那裡的收入表現非常好。我們的中國網路業務收入創下了歷史新高，我認為這是一個正面的訊號。這意味著中國政府仍然傾向於H3C，而且該產品和業務在中國市場很受歡迎。

And our next question will come from Tim Long of BMO Capital Markets.

我們的下一個問題來自 BMO 資本市場的 Tim Long。

Thank you. Just two, if I could. First quickly, Meg mentioned a few times the January weakness. Is this just macro, any parts of your business or verticals that it hit more meaningfully?

謝謝。如果可以的話，就兩個。首先，梅格多次提到了一月的疲軟。這只是宏觀層面的問題嗎？它對您的業務或垂直行業的任何部分都產生了更有意義的影響嗎？

And then on to the networking business, I think you mentioned Aruba helping the switching business get back to double-digit growth. Could you just talk a little bit about is that AC driven? Or what is it that's helping those two businesses do such a good job of cross-selling? Thank you.

然後談到網路業務，我想您提到過 Aruba 幫助交換業務恢復兩位數成長。您能否簡單談談它是交流驅動的嗎？或者是什麼幫助這兩家企業在交叉銷售方面做得如此出色？謝謝。

The January weakness, we saw the last three weeks in January slow significantly in the United States. Actually, not that dissimilar from what I believe Cisco referred to on their call. And I don't have a good explanation of that except for one or two things. One is, remember, the opening week in the market in 2016 was really tough, right? And I think companies are quite now extra sensitive to volatility in the market. They're quite quick to be cautious and pull back purchases.

一月份的疲軟，我們看到一月份最後三週美國經濟明顯放緩。實際上，我認為這與思科在電話中提到的並沒有什麼不同。除了一兩件事之外，我對此沒有很好的解釋。一是，記得嗎，2016 年市集開幕週真的很艱難，對吧？我認為公司現在對市場波動特別敏感。他們很快就變得謹慎並撤回了購買。

From a vertical perspective, obviously the weakest vertical was oil and natural gas. We saw that across the board. And a lot of our oil and natural gas customers are in the United States so that was a challenge and will probably continue.

從垂直角度來看，顯然最弱的垂直領域是石油和天然氣。我們全面地看到了這一點。我們的許多石油和天然氣客戶都在美國，所以這是一個挑戰，而且可能會持續下去。

What I will say is, while I'm cautious about it, it looks like February has returned to the linearity that we would have expected. Oil and natural gas continues to be a bit weak but there's been some strength in other parts. So, I'm not quite sure what happened in those last three weeks but that would be my guess.

我想說的是，雖然我對此持謹慎態度，但看起來二月已經恢復到了我們預期的線性狀態。石油和天然氣持續略顯疲軟，但其他領域則有所走強。所以，我不太清楚過去三週發生了什麼，但這只是我的猜測。

Turning to Aruba and why it has helped our networking switch business, it's because the customers now believe we're completely committed to the networking business. We are all-in on networking. And while we had HP networking before, I think people thought -- well, maybe they're not 100% committed, maybe a bit below scale. With the acquisition of Aruba they've gained a great deal of confidence in our product road map and in our commitment to the business. So, Aruba, I think, has cast a really nice glow over the rest of our HP networking business.

談到 Aruba 以及它為何幫助我們的網路交換器業務，這是因為客戶現在相信我們完全致力於網路業務。我們全力投入網路建置。雖然我們之前就有 HP 網絡，但我認為人們認為 - 好吧，也許他們沒有 100％ 投入，可能規模有點不夠。透過收購 Aruba，他們對我們的產品路線圖和對業務的承諾獲得了極大的信心。因此，我認為 Aruba 為我們 HP 的其他網路業務帶來了顯著的效益。

Okay, thank you very much.

好的，非常感謝。

Our next question is coming from Maynard Um of Wells Fargo.

下一個問題來自富國銀行的梅納德‧烏姆 (Maynard Um)。

Hi, thank you. I was just wondering if you could just help us a little more in terms of granularity around quarterly free cash flow and the charges. In particular, do you think that in the next quarter that your free cash flow will end up being positive and then continue to grow off of that? And then, secondly, just on Enterprise Services, are there any metrics you can provide or plan to give us at some point to give us some comfort on revenue stabilization, whether it's book to bill or some other metrics? Thanks.

你好，謝謝。我只是想知道您是否可以在季度自由現金流和費用方面為我們提供更多幫助。具體來說，您是否認為下個季度您的自由現金流最終會變成正數，然後繼續成長？其次，僅就企業服務而言，您是否可以提供或計劃在某個時候提供一些指標，以使我們對收入穩定感到安心，無論是訂單出貨比還是其他指標？謝謝。

Sure. On the quarterly free cash flow, we're not going to guide on a quarterly basis. But if you think about it, obviously first quarter for us is seasonally low, and that's primarily driven by earnings seasonality, which is driven by the profiles in ES and Software, as well as the timing of that bonus payment which happens in the first quarter of every year. It's a one-time payment. We saw that same seasonality last year.

當然。關於季度自由現金流，我們不會按季度進行指導。但如果你仔細想想，你會發現顯然我們的第一季度是季節性低迷期，這主要是受盈利季節性的影響，盈利季節性又受 ES 和軟體方面的概況的影響，以及每年第一季度的獎金支付時間的影響。這是一次性付款。去年我們也看到了同樣的季節性。

Now, going forward, what I would say is we're going to get improvements every quarter in primarily four areas. One, earnings improvement. Obviously we are back-end loaded from an earnings perspective, particularly in the second half. So, as those earnings improve obviously our free cash flow will improve.

現在，展望未來，我想說的是，我們每季都會在四個主要領域取得進步。一、盈利改善。顯然，從獲利角度來看，我們的後端負荷很大，特別是在下半年。因此，隨著這些收益的提高，我們的自由現金流顯然也會提高。

The bonus payment's behind us now so that is no longer a drag as you go forward. The cash conversion cycle, we were disappointed with the 31 days, but when you look at the fundamentals of our terms and mix, we're confident that that will get back to the mid 20-day range, so that will drive a significant amount of improvement.

獎金發放現在已經結束，因此這對你前進來說不再是一個拖累。現金轉換週期，我們對 31 天感到失望，但當你查看我們的條款和組合的基本面時，我們相信它將回到 20 天的中間範圍，因此這將推動顯著的改善。

And then, lastly, the separation. To Toni's question, we had $600 million of separation charges planned for the year. We paid out $300 million of that in the first quarter, so that becomes less of a drag.

最後，就是分離。對於托尼的問題，我們今年計劃支付 6 億美元的離職費用。我們在第一季支付了 3 億美元，因此這不再是太大的負擔。

As we progress through every quarter, similar to last year, you will see improvement. I think if you look at the seasonality of last year, that would probably give you a pretty good reflection of how it may play out this year.

隨著我們每個季度的進展，與去年類似，您會看到進步。我認為，如果你看去年的季節性，你會很好地了解今年的季節性。

Let me talk a little bit about ES and your question about confidence in the revenue trajectory, which, remember, we said is negative 2% to flat in constant currency. I think there's a couple things going on here. One is, this is the first quarter of constant currency revenue growth. Not huge amounts, 0.1%, but relative from whence we've come in that business it gives us a lot of confidence. It's the first quarter of constant revenue growth since Q3 of FY12.

讓我稍微談談 ES 以及您關於收入軌跡信心的問題，請記住，我們說過按固定匯率計算收入軌蹟的信心為負 2% 至持平。我認為這裡發生了幾件事。一是，這是以固定匯率計算收入成長的第一個季度。雖然金額不大，只有 0.1%，但相對於我們從事該行業的經驗，這給了我們很大的信心。這是自2012財年第三季以來，第一個營收持續成長的季度。

And ABS, which happens to have a higher level of profitability than ITO, posted its second consecutive quarter of year-over-year constant currency growth. SES -- as I mentioned, that's our cloud, big data, security practices -- grew over 30% year over year in Q1. And we saw some benefits from strong strategic Enterprise Services signings in FY15.

而獲利水準恰好高於 ITO 的 ABS 則連續第二季實現了同比增長（以固定匯率計算）。 SES——正如我所提到的，這是我們的雲端、大數據、安全實踐——在第一季同比增長了 30% 以上。我們從 2015 財年簽署的強有力的策略企業服務協議中看到了一些好處。

I think we have also worked through the vast majority of the key account revenue run-off that we've talked about for the last couple of years. These were three or four very big ES customers that have now really run-off and have become quite predictable.

我認為，我們也已經解決了過去幾年中討論過的絕大多數主要客戶收入流失問題。這三、四個是 ES 的大客戶，現在它們已經真正退出市場，並且變得相當可預測。

And then I've got to give the finance team and the operations team in ES credit. We are much better now at forecasting revenue than we have been. It's a very granular account by account forecast profit, forecast of revenue by type of practice, and that gives us a lot of confidence. As we sit here today and we look out at the landscape and we see a book-to-bill ratio of roughly 1, we feel good about that negative 2% to flat.

然後我必須對 ES 的財務團隊和營運團隊表示感謝。我們現在預測收入的能力比以前好多了。這是一個按帳戶預測利潤、按實踐類型預測收入的非常細緻的帳戶，這給了我們很大的信心。今天我們坐在這裡，放眼整個形勢，發現訂單出貨比大約為 1，我們對從負 2% 到持平的比率感到滿意。

Your next question comes from Steve Milunovich of UBS.

您的下一個問題來自瑞銀的史蒂夫·米盧諾維奇。

Thank you. Two things. First of all, if you could comment on the EMC Dell deal. I'm sure you're going to say that it's an opportunity to gain share but do you have any proof points of that at this early date?

謝謝。兩件事。首先，您能否對 EMC Dell 交易發表評論。我確信您會說這是一個獲得市場份額的機會，但是您目前有任何證據證明這一點嗎？

And then, second, you're going to be spending about $4 billion on stock repurchase here over time. And it's at a time when IBM's had its biggest year of M&A, Dell and EMC are getting together, and there's probably more consolidation. Cisco is making a play for the data center. And you're very hardware-centric so it seems like you should be making some acquisitions here. Are you comfortable with the strategic position that leaves you in?

其次，隨著時間的推移，你將花費約 40 億美元用於股票回購。今年正值 IBM 併購活動最活躍的一年，戴爾和 EMC 也開始聯手，未來可能會有更多的整合。思科正在進軍資料中心領域。而且你們非常注重硬件，所以看起來你們應該在這裡進行一些收購。您對目前所處的戰略地位滿意嗎？

Yes. Let me talk a little bit about Dell EMC. It is interesting to note how different HP and Dell -- we have taken very different strategies in this environment. There's no question. My view of this is predicated upon the speed that this market is changing.

是的。讓我簡單談談 Dell EMC。有趣的是，惠普和戴爾在這種環境下採取了截然不同的策略。毫無疑問。我對此的看法是基於這個市場變化的速度。

So, we decided to get smaller while they got bigger. We decided to lean into new technology while they are doubling down on old technology in a cost takeout play. They levered up, while we delevered. And we're super focused on being fast and nimble for our customers. Both strategies may work. I happen to like our hand better than the Dell EMC hand.

因此，我們決定在他們變大的同時，將規模縮小。我們決定依靠新技術，而他們則在成本削減中加倍使用舊技術。他們增加了槓桿，而我們降低了槓桿。我們非常注重為客戶提供快速、靈活的服務。兩種策略都可能有效。我剛好更喜歡我們的牌，而不是 Dell EMC 的牌。

So, how are we taking advantage of the disruption in the marketplace? We learned a lot about how to do this in the context of the IBM sale of their server business to Lenovo. We have a very focused channel play -- actually it's called Smart Choice -- and we have a big opportunity to go take Dell and EMC business, much as we took a lot of the Lenovo business that would have gone to Lenovo.

那麼，我們該如何利用市場混亂的局面呢？在 IBM 將其伺服器業務出售給聯想的背景下，我們學到了很多關於如何做到這一點的知識。我們有一個非常專注的通路策略——實際上它被稱為「智慧選擇」——我們有很大機會搶佔戴爾和 EMC 的業務，就像我們搶佔了許多原本會歸聯想所有的業務一樣。

We're seeing good results in the marketplace. We're rolling out our full sales efforts. You're going to start to see even more advertising in digital as we capitalize on another one to two years of uncertainty as this deal closes and they work through the integration.

我們在市場上看到了良好的業績。我們正全力進行銷售工作。隨著這筆交易的完成和整合工作的完成，我們將利用未來一到兩年的不確定性，你將開始看到更多的數位廣告。

The other thing is, as you think about it, we continue to invest in innovation. You have to think about Dell EMC, in many ways, as owned by private equity. You can do your own calculation on what you think the debt interest payments are going to be. For perspective, the entire EMC R&D budget is $2.7 billion.

另一件事是，正如您所想，我們將繼續投資於創新。從很多方面來說，你必須將 Dell EMC 視為私募股權公司。您可以自行計算債務利息支出是多少。從這個角度來看，整個 EMC 研發預算為 27 億美元。

So we feel good about our hand. Two completely different strategies but I like where we are.

所以我們對我們的手感到滿意。兩種完全不同的策略，但我喜歡我們現在的策略。

In regards to M&A, as I said, our first priority is organic innovation, and you're starting to see that innovation engine really kick into gear. We started this, Steve, you'll remember, four years ago. As we cut costs over the last four years almost every single quarter year over year we spent more money on innovation and it's paying off.

關於併購，正如我所說，我們的首要任務是有機創新，而且您開始看到創新引擎真正啟動。史蒂夫，你會記得，我們​​四年前就開始做這件事了。過去四年來，我們幾乎每季都逐年削減成本，在創新方面投入了更多資金，並且取得了成效。

That doesn't say we won't do acquisitions, but I would reiterate it's returns-based and it is focused on companies like 3PAR, like 3Com, like Aruba, that are complementary technology, that fit into our overall four transformation areas as we go forward. So, I think we've got the right strategy here, we're thoughtful about it, but if the right acquisition comes along and we feel like the price is appropriate, we'll go ahead and do it.

這並不是說我們不會進行收購，但我要重申，收購是基於回報的，並且專注於 3PAR、3Com、Aruba 等互補技術公司，這些公司符合我們未來的整體四大轉型領域。所以，我認為我們的策略是正確的，我們對此深思熟慮，但如果出現合適的收購，並且我們覺得價格合適，我們就會繼續這樣做。

For what it's worth I think the stock is too cheap, too. Thanks.

不管怎樣，我認為這檔股票太便宜了。謝謝。

We appreciate that, which is why we're backing up the truck.

我們對此表示感謝，這就是我們支持卡車的原因。

Next we have Simona Jankowski of Goldman Sachs.

接下來我們有請高盛的西蒙娜‧揚科夫斯基 (Simona Jankowski)。

Hi. Thank you very much. Just actually following up on that comment of backing up the truck, is the new target of returning 100% or more of free cash flow this year inclusive of the proceeds from the Tsinghua sale or would that be on top? And then I have a question, as well.

你好。非常感謝。實際上，只是想跟進支持卡車的評論，新的目標是今年返還 100％或更多的自由現金流，包括清華出售的收益，還是這是最重要的？然後我也有一個問題。

No, the Tsinghua proceeds after the transaction would be on top of that.

不是，交易後的清華收益會在此之上。

And that would be targeted for this year, as well, in terms of buyback or is that market dependent?

就回購而言，這也是今年的目標嗎？還是取決於市場？

That's really market dependent. It's hard to tell. I don't mean to be evasive but it really depends on market conditions, it depends on the availability of US cash. There are multiple variables in the overall equation. But we are committed to returning a vast majority of that to share repurchases.

這確實取決於市場。這很難說。我並不是想迴避這個問題，但這確實取決於市場狀況，取決於美國現金的可用性。整個方程中有多個變數。但我們承諾將其中絕大部分透過股票回購返還。

Okay. And then, Meg, on the hyper-converged product you mentioned, is that an organic product? And how meaningful do you expect it to be for revenues this year?

好的。然後，梅格，您提到的超融合產品，是一種有機產品嗎？您預計這對今年的收入有多大意義？

Yes, it is an organic product developed in house, in record time, and we're quite excited about this. The hyper-converged market is big. It's growing fast. It's also getting pretty crowded. You've seen a lot of announcements over the last couple of months. But we very much like this product from a side-by-side comparison and features and functionality to our competitors, feel really good about it. And I think it means that we can be a leader in this quite large and fast-growing part of the market.

是的，這是我們內部開發的有機產品，開發速度創下了紀錄，我們對此感到非常興奮。超融合市場很大。它正在快速成長。它也變得相當擁擠。過去幾個月你已經看到了很多公告。但我們非常喜歡這款產品，從與競爭對手的並排比較和特性和功能來看，我們對它的感覺非常好。我認為這意味著我們可以成為這個相當龐大且快速成長的市場的領導者。

Thank you.

謝謝。

The next question will come from Wamsi Mohan of Bank of America Merrill Lynch.

下一個問題來自美銀美林的 Wamsi Mohan。

Yes, thank you. Tim, in your working cap comments you noted headwinds from intra-quarter linearity and some opportunistic purchases. What regions? Was it primarily just the US that drove that linearity difference or were there other regions that drove that difference? And what components were you procuring opportunistically? And I have a follow-up.

是的，謝謝。提姆，在你的工作帽評論中，你注意到了季度內線性和一些機會性購買帶來的阻力。哪些地區？主要是因為美國導致了這種線性差異，還是其他地區也導致了這種差異？您投機性地採購了哪些零件？我還有一個後續問題。

It was primarily the US but we did see some pressures across the globe. And, again, if you think about timing challenges and free cash flow and cash conversion cycle, it's both sales and purchasing linearity. This time around it was the purchasing linearity and then we also made some strategic buys.

主要是美國，但我們確實看到全球都存在一些壓力。而且，如果您再次考慮時間挑戰和自由現金流和現金轉換週期，它既是銷售也是採購的線性。這次是線性採購，然後我們也進行了一些策略性採購。

Okay, thanks. And, Meg, just to follow-up on the last question around hyper-converged, where do you think those dollars in hyper-converged take away from over the next several years? And do you view it as cannibalistic to any of your converged offerings? Thanks.

好的，謝謝。梅格，關於超融合的最後一個問題，您認為未來幾年超融合領域的資金將從何處流出？您是否認為它會對您的任何融合產品造成損害？謝謝。

There certainly is some cannibalism there, probably the converged infrastructure play. But I would say that this is part of a migration to the next-generation data center. What we're seeing from customers of all size, if your company is older than 5 or 10 years, you are trying to figure out how you're going to take your existing infrastructure to the next generation of IT. This is part of the sale of -- okay, you can get more out of your existing IT if you transform to a hybrid infrastructure, and this is one of the core hardware components and software-defined components that allows you to get the most out of this next-generation of IT.

其中肯定存在一些互相蠶食的情況，可能是融合基礎設施的發揮。但我想說這是遷移到下一代資料中心的一部分。我們從各種規模的客戶那裡看到，如果您的公司成立超過 5 年或 10 年，您就會試圖弄清楚如何將現有的基礎架構帶入下一代 IT。這是銷售的一部分——好的，如果您轉換為混合基礎設施，您可以從現有 IT 中獲得更多收益，這是核心硬體組件和軟體定義組件之一，可讓您充分利用下一代 IT。

Listen, our business is cannibalistic, right? New products come in to replace old products. But we think we can get an increased share of that data center spend, which we see actually growing. And overall the margins on CS are accretive to servers and to the EG group in general.

聽著，我們的生意是同類相食的，對吧？新產品的出現是為了取代舊產品。但我們認為，我們可以增加資料中心支出的份額，而且我們看到這一份額實際上正在成長。總體而言，CS 的利潤對於伺服器和整個 EG 群組來說都是有增值的。

The next question comes from Jim Suva of Citigroup.

下一個問題來自花旗集團的吉姆·蘇瓦。

Thank you very much. My question is regarding the services segment. Recently, both the federal government as well as the military has talked about some big contracts coming up for renewal, as well as potentially breaking them up into smaller pieces. We're just wondering, is there any risk there for HP about any of these contracts coming up, specifically midyear or second half to where then we'll enter another realm of some large contracts running off?

非常感謝。我的問題是關於服務領域的。最近，聯邦政府和軍方都討論了即將續約的一些大合同，以及可能將其拆分成更小的部分。我們只是想知道，對於惠普來說，這些即將簽訂的合約是否存在風險，特別是在年中或下半年，屆時我們將進入一些大型合約到期的另一個階段？

No. Actually, we think that it's an opportunity for us because some of the contracts, at least the ones I'm aware of, are actually owned by many of our competitors. Those competitors -- I know one in particular that's going to break from one into three, and we have a really very good opportunity to get one out of those three that's right in our sweet spot.

不。實際上，我們認為這對我們來說是一個機會，因為其中一些合同，至少我所知道的合同，實際上是由我們的許多競爭對手擁有的。那些競爭對手——我知道有一個特別的競爭對手將從第一位變成三位，而我們有一個非常好的機會從這三位中選出一位最適合我們的位置。

As has been widely reported, the US Navy and Marines contract comes up. I can't remember if it's in 2017 or 2018. I think it's the end of 2017, beginning of 2018 we have to start rebidding that. But we know how to do that. We've done it for years. So, actually I think we're on the right side of most of these federal contracts that are breaking up.

正如廣泛報導的那樣，美國海軍和海軍陸戰隊的合約即將出台。我不記得是在 2017 年還是 2018 年。我認為是在 2017 年底、2018 年初，我們必須開始重新競標。但我們知道如何做到這一點。我們已經這樣做了很多年。所以，實際上我認為我們在大多數即將終止的聯邦合約上都是正確的。

Thank you very much.

非常感謝。

The next question will come from Shannon Cross of Cross Research.

下一個問題來自 Cross Research 的 Shannon Cross。

Thank you very much. I'll just stick with one question. Meg, can you talk a bit about what you're seeing on the cloud? I know you've signed the deal with Microsoft, and you've talked a lot about a hybrid cloud, but maybe you can talk a bit about what you're hearing from customers in terms of their thoughts about moving to an Azure or AWS solution versus maybe using more of a hybrid one. And then also how you're thinking about server impact this year and going forward from cloud, given last year was so strong and you still have benefit, I think, this year from Gen 9. Thanks.

非常感謝。我只想問一個問題。梅格，您能談談您在雲端上看到的東西嗎？我知道您已經與微軟簽署了協議，並且您已經談論了很多有關混合雲的事情，但也許您可以談談您從客戶那裡聽到的關於他們對遷移到 Azure 或 AWS 解決方案的想法，還是更多地使用混合解決方案。另外，考慮到去年的表現非常強勁，您如何看待今年伺服器的影響以及雲端運算的未來，我認為今年您仍然可以從第 9 代中受益。謝謝。

What we're hearing from customers is there's almost universal acceptance that their environments will be hybrid. And there's almost universal acceptance that it has to start with an analysis of the apps. How many apps does a customer want to have? Is there opportunities to reduce the number of apps and consolidate? And then what instantiation do you want that app to be on?

我們從客戶那裡聽到的是，他們幾乎普遍接受他們的環境將是混合的。幾乎所有人都同意，這必須從對應用程式的分析開始。客戶想要擁有多少個應用程式？是否有機會減少應用程式的數量並進行整合？那麼您希望該應用程式處於什麼實例上？

Some apps are going to stay locked down in a customer's data center untouched by anyone's hands other than their own employees. But some apps will go to a private cloud on-prem, a virtual private cloud, a managed private cloud, and then obviously to the public cloud. And we're seeing workloads move because even going from a traditional data center to the private cloud can be a 20% to 30% savings to a customer for that workload, which is meaningful.

一些應用程式將被鎖定在客戶的資料中心，除了自己的員工之外，任何人都無法觸及。但有些應用程式會轉到內部私有雲、虛擬私有雲、託管私有雲，然後顯然會轉到公有雲。我們看到工作負載正在轉移，因為即使從傳統資料中心轉移到私有雲，也可以為客戶節省 20% 到 30% 的工作負載，這是很有意義的。

As you know, we are the leader in private cloud. It is the first step that many customers take. And then they think -- okay, what would I like, what of my apps would I like to have in a virtual private cloud and a managed private cloud. I think there is an inexorable march from data center-only apps to private cloud, VPC, MPC and ultimately to the public cloud.

如你所知，我們是私有雲領域的領導者。這是許多客戶採取的第一步。然後他們會想——好吧，我想要什麼，我想在虛擬私有雲和託管私有雲中擁有什麼應用程式。我認為從僅限資料中心的應用程式到私有雲、VPC、MPC，最終到公有雲，這是一個不可避免的進程。

One of the other things we're doing here is developing our multi-cloud management layer, or one pane of glass, our orchestration and automation of your multi-cloud environment. How do you deploy workloads to these different clouds quickly and efficiently.

我們在這裡做的另一件事是開發我們的多雲管理層，或者說一個玻璃窗格，我們的多雲環境的編排和自動化。如何快速有效地將工作負載部署到這些不同的雲端。

So, I think we've got the right strategy here. I think it was smart to get out of our spending on public cloud. I think that game has moved to Azure and AWS and maybe someday Google. And we're really pleased with our Azure partnership. So, that's working well.

所以，我認為我們的策略是正確的。我認為停止在公有雲上的支出是明智之舉。我認為該遊戲已經轉移到 Azure 和 AWS，也許有一天會轉移到 Google。我們對與 Azure 的合作感到非常滿意。所以，效果很好。

The other thing I would say is, recall that we have built our cloud operation on Helion open stack. Our Version 2.0 of what we call HOS -- Helion Open Stack 2.0 -- is a significant improvement from 1.1 where we had some installer challenges. We're getting a lot of good feedback around HOS 2.0 as well as our carrier grade open stack which is, of course, of interest to the telcos. We had a very good Mobile World Congress show. I was there for three days. Our open NFE solution, we have 60 POCs across the globe and a couple of very big customer wins.

我想說的另一件事是，回想一下，我們已經在 Helion 開放堆疊上建置了我們的雲端操作。我們稱為 HOS 的 2.0 版本（Helion Open Stack 2.0）與 1.1 版本相比有了顯著的改進，在 1.1 版本中我們遇到了一些安裝程式的挑戰。我們收到了很多有關 HOS 2.0 以及我們的運營商級開放堆疊的良好反饋，這當然引起了電信公司的興趣。我們舉辦了一場非常精彩的世界行動通訊大會。我在那裡待了三天。我們的開放式 NFE 解決方案在全球擁有 60 個 POC，並且贏得了一些非常大的客戶。

So, I feel like we're on the right strategy. The world's changing at breakneck speed. But we feel good about our strategy and I feel good actually about having chosen open stack. Two or three years ago I was getting a little concerned because I wasn't sure how fast open stack was going to mature, but it seems like it's finally hitting the knee of the curve and the adult supervision that a number of big companies have provided is actually helping.

所以，我覺得我們的策略是對的。世界正以驚人的速度變化。但我們對我們的策略感到滿意，事實上我對選擇開放堆疊感到滿意。兩三年前，我有點擔心，因為我不確定開放堆疊會以多快的速度成熟，但看起來它終於到達了曲線的拐點，許多大公司提供的成人監督確實有所幫助。

Great. And server thoughts?

偉大的。還有伺服器的想法嗎？

We actually see growth in high-performance compute, growth in tier 1, tier 2, tier 3, tier 4 service provider, and in some parts of the world core server growth. But we've got to make sure that we have the best server road map and the best opportunity for customers to run existing applications or cloud-native apps. Hence, HPE Synergy which allows a developer to basically compose the infrastructure they need for their app. HPE Synergy isn't exactly cloud, by any stretch of the imagination, but it is, in fact, the next generation of infrastructure for the software-defined data center.

我們實際上看到了高效能運算的成長，一級、二級、三級、四級服務供應商的成長，以及世界某些地區核心伺服器的成長。但我們必須確保我們擁有最好的伺服器路線圖，並為客戶提供運行現有應用程式或雲端原生應用程式的最佳機會。因此，HPE Synergy 允許開發人員為其應用程式建立所需的基礎架構。無論如何，HPE Synergy 並不完全是雲，但事實上，它是軟體定義資料中心的下一代基礎設施。

I would also say that we are gaining share in that market. There's no question about it. We did a great job, I think, in grabbing share from Lenovo, as I said earlier, when those servers moved from IBM. And we are all over this Dell EMC opportunity.

我還想說，我們在該市場的份額正在增加。毫無疑問。正如我之前所說，當這些伺服器從 IBM 轉移過來時，我們在從聯想手中搶奪市場份額方面做得很好。我們非常看重 Dell EMC 的這個機會。

In a flat to declining market, which probably core servers are, at least over the next five years; we have to gain share. But there are real pockets of growth in the market, as well. And HPC, by the way, high performance compute, we're like the last man standing there. We're investing in HPC and it's a core competency for the Company.

核心伺服器市場至少在未來五年內可能處於平穩甚至衰退狀態；我們必須獲得份額。但市場中也存在著真正的成長空間。順便說一下，對於 HPC，即高效能運算，我們就像是站在那裡的最後一個人。我們正在投資 HPC，它是公司的核心競爭力。

Great. Thank you, everyone, for joining today. And, operator, I think we can conclude the call.

偉大的。謝謝大家今天的參與。接線員，我想我們可以結束通話了。

Ladies and gentlemen, this concludes our call for today. Thank you.

女士們、先生們，我們今天的通話到此結束。謝謝。