Hewlett Packard Enterprise just delivered the kind of earnings report that makes analysts spill their coffee. The company posted fiscal Q2 2026 revenue of $10.68 billion, a 40% increase year-over-year that blew past the consensus estimate of $9.79 billion by nearly a billion dollars. Shares responded accordingly, surging approximately 28% on June 2, with premarket trading seeing peaks as high as 36-38%.
The adjusted earnings per share came in at $0.79, compared to the $0.53 that analysts had penciled in.
AI demand is rewriting HPE’s entire growth trajectory
CEO Antonio Neri pointed to robust growth in AI-related orders, with the company’s AI backlog having doubled in recent quarters. Traditional server orders also saw triple-digit growth as companies modernize their computing environments to support AI workloads.
The results were strong enough to force HPE to rip up its own playbook. The company raised its full-year revenue growth outlook for FY2026 to a range of 29-33%, up from previous guidance of 17-22%. HPE said it has achieved its 2028 financial targets two years ahead of schedule.
