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Supplementary Financial Information | 6 Months Ended
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Apr. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Supplementary Financial Information | Supplementary Financial Information Accounts Receivable The allowance for credit losses related to accounts receivable and changes were as follows:
| Six months ended April 30, 2021
| In millions
Balance at beginning of period | $ | 122 |
Current-period allowance for credit losses | 23 |
Deductions, net of recoveries | (12) |
Balance at end of period | $ | 133 |
HP has third-party arrangements, consisting of revolving short-term financing, which provide liquidity to certain partners to facilitate their working capital requirements. These financing arrangements, which in certain circumstances may contain partial recourse, result in a transfer of HP’s receivables and risk to the third-party. As these transfers qualify as true sales under the applicable accounting guidance, the receivables are de-recognized from the Consolidated Condensed Balance Sheets upon transfer, and HP receives a payment for the receivables from the third-party within a mutually agreed upon time period. For arrangements involving an element of recourse, the recourse obligation is measured using market data from similar transactions and reported as a current liability in the Consolidated Condensed Balance Sheets. The recourse obligations as of April 30, 2021 and October 31, 2020 were not material. The costs associated with the sale of trade receivables for the three and six months ended April 30, 2021 and 2020 were not material. The following is a summary of the activity under these arrangements:
| Three months ended April 30 |  | Six months ended April 30
| 2021 |  | 2020 |  | 2021 |  | 2020
| In millions
Balance at beginning of period(1) | $ | 207 |  |  | $ | 88 |  |  | $ | 188 |  |  | $ | 235 |
Trade receivables sold | 2,947 |  |  | 2,323 |  |  | 6,489 |  |  | 5,181 |
Cash receipts | (2,940) |  |  | (2,286) |  |  | (6,472) |  |  | (5,291) |
Foreign currency and other | (2) |  |  | (1) |  |  | 7 |  |  | (1) |
Balance at end of period(1) | $ | 212 |  |  | $ | 124 |  |  | $ | 212 |  |  | $ | 124 |
(1) Amounts outstanding from third parties reported in Accounts receivable in the Consolidated Condensed Balance Sheets. Inventory
| As of
| April 30, 2021 |  | October 31, 2020
| In millions
Finished goods | $ | 3,697 |  |  | $ | 3,662 |
Purchased parts and fabricated assemblies(1) | 3,805 |  |  | 2,301 |
| $ | 7,502 |  |  | $ | 5,963 |
(1) Increase is attributable to strategic buys in Personal Systems. Other Current Assets
| As of
| April 30, 2021 |  | October 31, 2020
| In millions
Supplier and other receivables | $ | 1,960 |  |  | $ | 2,092 |
Prepaid and other current assets | 1,289 |  |  | 1,104 |
Value-added taxes receivable | 914 |  |  | 970 |
Available-for-sale investments | 12 |  |  | 274 |
| $ | 4,175 |  |  | $ | 4,440 |
Property, Plant and Equipment, net
| As of
| April 30, 2021 |  | October 31, 2020
| In millions
Land, buildings and leasehold improvements | $ | 2,125 |  |  | $ | 2,066 |
Machinery and equipment, including equipment held for lease | 5,316 |  |  | 5,275 |
| 7,441 |  |  | 7,341 |
Accumulated depreciation | (4,903) |  |  | (4,714) |
| $ | 2,538 |  |  | $ | 2,627 |
Other Non-Current Assets
| As of
| April 30, 2021 |  | October 31, 2020
| In millions
Deferred tax assets | $ | 2,467 |  |  | $ | 2,515 |
Right-of-use assets from operating leases, net | 1,074 |  |  | 1,107 |
Deposits and prepaid | 705 |  |  | 337 |
Intangible assets | 572 |  |  | 540 |
Other | 578 |  |  | 527 |
| $ | 5,396 |  |  | $ | 5,026 |
Other Current Liabilities
| As of
| April 30, 2021 |  | October 31, 2020
| In millions
Sales and marketing programs | $ | 3,342 |  |  | $ | 3,185 |
Employee compensation and benefit | 1,385 |  |  | 1,194 |
Deferred revenue | 1,265 |  |  | 1,208 |
Other accrued taxes | 1,066 |  |  | 1,051 |
Warranty | 774 |  |  | 746 |
Operating lease liabilities | 308 |  |  | 275 |
Tax liability | 255 |  |  | 223 |
Other | 3,184 |  |  | 2,960 |
| $ | 11,579 |  |  | $ | 10,842 |
Other Non-Current Liabilities
| As of
| April 30, 2021 |  | October 31, 2020
| In millions
Pension, post-retirement, and post-employment liabilities | $ | 1,413 |  |  | $ | 1,576 |
Deferred revenue | 1,053 |  |  | 1,072 |
Operating lease liabilities | 867 |  |  | 904 |
Tax liability | 714 |  |  | 746 |
Deferred tax liability | 35 |  |  | 25 |
Other | 881 |  |  | 823 |
| $ | 4,963 |  |  | $ | 5,146 |
Interest and other, net
| Three months ended April 30 |  | Six months ended April 30
| 2021 |  | 2020 |  | 2021 |  | 2020
| In millions
Interest expense on borrowings | $ | (64) |  |  | $ | (64) |  |  | $ | (128) |  |  | $ | (122) |
Other, net | 38 |  |  | 64 |  |  | 77 |  |  | 135 |
| $ | (26) |  |  | $ | — |  |  | $ | (51) |  |  | $ | 13 |
Net revenue by region
| Three months ended April 30 |  | Six months ended April 30
| 2021 |  | 2020 |  | 2021 |  | 2020
| In millions
Americas | $ | 6,846 |  |  | $ | 5,205 |  |  | $ | 13,740 |  |  | $ | 11,164 |
Europe, Middle East and Africa | 5,766 |  |  | 4,654 |  |  | 11,263 |  |  | 9,886 |
Asia-Pacific and Japan | 3,265 |  |  | 2,610 |  |  | 6,520 |  |  | 6,037 |
Total net revenue | $ | 15,877 |  |  | $ | 12,469 |  |  | $ | 31,523 |  |  | $ | 27,087 |
Value of Remaining Performance Obligations As of April 30, 2021, the estimated value of transaction price allocated to remaining performance obligations was $3.9 billion. HP expects to recognize approximately $1.8 billion of the unearned amount in next 12 months and $2.1 billion thereafter. HP has elected the practical expedients and accordingly does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations if: •the contract has an original expected duration of one year or less; or •the revenue from the performance obligation is recognized over time on an as-invoiced basis when the amount corresponds directly with the value to the customer; or •the portion of the transaction price that is variable in nature is allocated entirely to a wholly unsatisfied performance obligation. The remaining performance obligations are subject to change and may be affected by various factors, such as termination of contracts, contract modifications and adjustment for currency. Contract Liabilities As of April 30, 2021 and October 31, 2020, HP’s contract liabilities balances were $2.3 billion and $2.2 billion, respectively, included in Other current liabilities and Other non-current liabilities in the Consolidated Condensed Balance Sheets. The increase in the contract liabilities balance for the six months ended April 30, 2021 was primarily driven by sales of fixed-price support and maintenance services, partially offset by $0.7 billion of revenue recognized that was included in the contract liabilities balance as of October 31, 2020.

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- Definition The entire disclosure for supplemental balance sheet disclosures, including descriptions and amounts for assets, liabilities, and equity. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -URI http://asc.fasb.org/topic&trid=2122208 + Details
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