Dell revenue grows 15% boosted by VMware business

Dell Technologies reported 15 percent increase in quarterly revenue, as businesses were forced to upgrade their systems running on older Microsoft Windows technology and on strong performance by software maker VMware.
Dell Technologies and IoT
Dell reported an 11 percent increase in revenue from its Client Solutions Group, which includes products such as desktop PCs, notebooks and tablets, and branded peripherals, for the third quarter ended Nov. 2.

The gain was largely due to businesses looking to replace their older machines following Microsoft Corp’s decision to stop all support for its Windows 7 operating system early in 2020, Reuters reported.

“The market has reached a state of stabilization so far this year, primarily driven by strong commercial demand driven by Windows 10 upgrades, being linked to end of Windows 7 support,” said Ishan Dutt, an analyst with research firm Canalys.

Dell held 17 percent of the global PC market share year-to-date, behind HP Inc’s 23 percent and Lenovo Group’s 21 percent share, according to data from Canalys.

HP Inc on Thursday reported an 11 percent rise in revenue in its personal systems business.

For fiscal year ending 2019, Dell expects total adjusted revenue in the range of $90.5 billion and $92 billion. The company had reported adjusted revenue of $79.9 billion for the fiscal year ended Feb.2, 2018.

Total revenue rose 15 percent to $22.48 billion in the quarter, while net loss attributable widened to $876 million.

Software maker VMware reported 13.5 percent increase in Q3 revenue to $2.20 billion, as the company benefited from strong demand for its software used by customers to boost cloud computing efficiency.

VMWare’s net income fell to $334 million in the three months ended Nov. 2, from $395 million a year earlier.

Related News

Latest News

Latest News