(Boursier.com) — Dell Technologies dropped 4% after trading on Wall Street last night. For the closed quarter, the American IT group posted adjusted earnings per share of $1.88 compared to a consensus of $1.47. A year earlier, earnings per share stood at $2.30. Revenues totaled $22.25 billion, down 10% year-on-year, compared to $22.9 billion consensus. Thus, Dell largely beat the profit consensus but disappointed in terms of revenue, with the business PC segment remaining at half mast. Dell’s ‘client solutions’ group, comprising corporate and consumer PC sales, posted sales down 11%.
For the quarter ending in January, Dell expects revenues of around $22 billion, compared to a consensus of $23.9 billion. A “low single-digit” sales decline is still expected in the PC unit, compared to the previous quarter. On the server side, sales for the past quarter were however solid, at 4.7 billion against 4.4 billion consensus, up 9% sequentially with customer interest in generative AI. Dell finally expects revenue growth for the new fiscal year starting in February, with a resumption of IT spending, particularly in the United States.
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