While Dell Technologies’ infrastructure business was celebrating its revenue numbers, its efforts were not enough to see the grey box shifter’s overall revenue for its third fiscal quarter to fall.
For its third fiscal quarter 2023, which ended October 28, Dell reported total revenue of $24.72 billion, which was down six percent compared to the $26.43 billion reported for its third fiscal quarter 2022.
The biggest impact to Dell’s fiscal third quarter 2023 came from a significant 17 percent drop in revenue for the company’s Client Solutions Group — which includes hardware desktop PCs, notebooks, 2-in-1s and thin clients, software, including end-point security, and peripherals, such as monitors, printers and projector — to $13.78 billion.
This included a 13 percent drop in commercial revenue to $10.75 billion, and a 29 percent drop in consumer revenue to $3.03 billion.
Dell’s Infrastructure Solutions Group, on the other hand, saw record third-quarter revenue of $9.63 billion, up 12 percent. That included a 14 percent rise in server and networking revenue to $5.20 billion, and an 11 percent rise in storage revenue to $4.43 billion.
Jeff Clarke, Dell’s vice chairman and co-chief operating officer is counting the figures as a win saying that Dell did exceptionally well during its third fiscal quarter.
“Our innovation engine is operating at full throttle in strategic areas like edge, multicloud and as-a-service.”
Product revenue for the quarter was reported at $18.94 billion, down 10 percent year-over-year, while services revenue rose siz percent year-over-year to $5.78 billion. Total revenue for the quarter, while down siz percent, still beat analyst expectations by $110 million,
For the quarter, Dell reported GAAP net income of $241 million, down 94 percent over the $3.89 billion the company reported for the same period last year. On a non-GAAP basis, Dell reported net income of $1.71 billion, or $2.30 per share, up from last year’s $1.31 billion or $1.66 per share. Analysts had been expecting non-GAAP earnings per share of 97 cents.
