Dell Technologies has announced its Q1 FY2024 financial results, revealing a 20% decrease in revenue but generating operating income of $1.1 billion and non-GAAP operating income of $1.6 billion. The company introduced several new innovations including cloud platforms with Microsoft, Red Hat, and VMware, an edge software platform named Dell NativeEdge, Project Helix, and Project Fort Zero, which will make Dell the first company to deliver end-to-end Zero Trust. Despite the decrease in revenue, Dell Technologies remains committed to creating value for stakeholders and investing in innovation that will fuel growth.
- Dell Technologies announced its Q1 financial results for fiscal 2024 with a 20% decrease in revenue.
- Despite the decrease, the company generated operating income of $1.1 billion and introduced several new innovations, including cloud platforms, edge software, and cybersecurity solutions.
- Dell Technologies remains committed to creating value for stakeholders and investing in innovation that will fuel growth.
Dell Technologies has announced its financial results for the first quarter of fiscal 2024. Despite a 20% decrease in revenue, the company generated operating income of $1.1 billion and non-GAAP operating income of $1.6 billion. Diluted earnings per share was $0.79, and non-GAAP diluted earnings per share was $1.31. Cash flow from operations was $1.8 billion.
Chuck Whitten, co-chief operating officer, Dell Technologies, said “We executed well against a challenging economic backdrop. We announced a record number of innovations, making good on our promise to extend Dell APEX as-a-Service capabilities across our full portfolio and simplifying multicloud and edge computing for our customers.”
Infrastructure Solutions Group delivered first quarter revenue of $7.6 billion, down 18%. Storage revenue was $3.8 billion, and servers and networking revenue was $3.8 billion. Client Solutions Group delivered first quarter revenue of $12 billion, down 23%.
Multicloud
Dell Technologies introduced new cloud platforms with Microsoft, Red Hat, and VMware that bring cloud operating models on premises. Dell also announced storage for public cloud with AWS and Microsoft that brings enterprise block and file storage capabilities to public cloud.
Artificial Intelligence
Dell Technologies announced Project Helix, making Dell the first to collaborate with NVIDIA on full-stack solutions that help customers quickly and securely deploy generative AI on-premises at scale using their own proprietary data.
As a Service
Dell Technologies added compute and PCaaS and managed device services for client to Dell APEX, making the breadth of Dell’s portfolio available as a service or subscription.
Edge
Dell Technologies introduced Dell NativeEdge, an edge software platform that helps customers manage, simplify, and secure their entire edge estate with a single solution.
Cybersecurity
Dell Technologies announced Project Fort Zero, which will make Dell the first company to deliver end-to-end Zero Trust with a fully integrated Advanced Zero Trust private cloud solution to be validated by the U.S. Department of Defense.
Final Thoughts
“We continue to create value for stakeholders, with strong first quarter cash flow from operations of $1.8 billion,” said Tom Sweet, chief financial officer, Dell Technologies. “We’ve returned $5 billion to shareholders over the last six quarters, well ahead of our free cash flow return target, and we continue to invest in innovation that will fuel our growth.”
Despite a 20% decrease in revenue, Dell Technologies has managed to generate operating income of $1.1 billion and non-GAAP operating income of $1.6 billion. This is a testament to the company’s commitment to creating value for their stakeholders and investing in innovation that will fuel their growth. With new projects like Project Helix, Project Fort Zero, and Dell NativeEdge, Dell Technologies is continuously pushing the boundaries of what’s possible and making it easier for their customers to manage, simplify, and secure their computing needs. As the world becomes increasingly digital, companies like Dell Technologies will play a crucial role in shaping the future of technology.
FAQ
Q: What were Dell Technologies’ financial results for the first quarter of fiscal 2024?
A: Dell Technologies announced a 20% decrease in revenue, but generated operating income of $1.1 billion and non-GAAP operating income of $1.6 billion. Diluted earnings per share was $0.79, and non-GAAP diluted earnings per share was $1.31. Cash flow from operations was $1.8 billion.
Q: What did Chuck Whitten, co-chief operating officer, say about Dell Technologies’ performance?
A: Chuck Whitten said “We executed well against a challenging economic backdrop. We announced a record number of innovations, making good on our promise to extend Dell APEX as-a-Service capabilities across our full portfolio and simplifying multicloud and edge computing for our customers.”
Q: What were the revenues of Dell Technologies’ Infrastructure Solutions Group and Client Solutions Group for the first quarter?
A: Infrastructure Solutions Group delivered first quarter revenue of $7.6 billion, down 18%. Storage revenue was $3.8 billion, and servers and networking revenue was $3.8 billion. Client Solutions Group delivered first quarter revenue of $12 billion, down 23%.
Q: What new cloud platforms did Dell Technologies introduce?
A: Dell Technologies introduced new cloud platforms with Microsoft, Red Hat, and VMware that bring cloud operating models on premises. Dell also announced storage for public cloud with AWS and Microsoft that brings enterprise block and file storage capabilities to public cloud.
Q: What is Project Helix?
A: Project Helix is an initiative announced by Dell Technologies that makes Dell the first to collaborate with NVIDIA on full-stack solutions that help customers quickly and securely deploy generative AI on-premises at scale using their own proprietary data.
Q: What is Dell NativeEdge?
A: Dell NativeEdge is an edge software platform introduced by Dell Technologies that helps customers manage, simplify, and secure their entire edge estate with a single solution.
Q: What is Project Fort Zero?
A: Project Fort Zero is an initiative announced by Dell Technologies that will make Dell the first company to deliver end-to-end Zero Trust with a fully integrated Advanced Zero Trust private cloud solution to be validated by the U.S. Department of Defense.
Q: What is Dell APEX?
A: Dell APEX is a service or subscription that makes the breadth of Dell’s portfolio available as a service. Dell Technologies added compute and PCaaS and managed device services for client to Dell APEX.
Q: How is Dell Technologies creating value for stakeholders?
A: According to Tom Sweet, chief financial officer, Dell Technologies, the company continues to create value for stakeholders with strong first quarter cash flow from operations of $1.8 billion. The company has returned $5 billion to shareholders over the last six quarters, well ahead of their free cash flow return target. Additionally, Dell Technologies is investing in innovation that will fuel their growth.
