The company’s shares rose 8%.
According to Bloomberg, the American corporation Dell Technologies at the end of the last fiscal quarter failed to avoid negative revenue dynamics even in the currently in-demand server segment, but since analysts expected the worst, a less pronounced decline in indicators was the reason why the company’s stock quotes increased by 8%.
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Dell’s quarterly revenue decreased by 13% to $22.9 billion, while analysts on average expected a decline to $20.8 billion. Demand for the brand’s products, as explained by the company’s operating director Jeff Clarke, was recovering faster than expected, especially with June and July. In the current quarter, the company expects to earn $23 billion versus $21.7 billion expected by investors. It expects to complete the entire fiscal year with revenue of $89.5 to $91.5 billion, which is also higher than market forecasts. By the way, even in this case, annual revenue will decrease by 12%, but analysts expect a 15% decrease.
In the PC business, Dell’s revenue in the last quarter fell 16% to $12.9 billion, but even in this case exceeded analysts’ expectations. Infrastructure solutions brought the company $8.5 billion against the $7.3 billion expected by the market. Server and telecommunications revenue decreased by 3% to $4.27 billion, also performing better than expected. Dell looks confidently at the trend of the AI boom, saying that the company has orders for the supply of specialized server systems totaling at least $2 billion. Interest in these technologies will fuel demand for all categories of Dell products, according to company management.