Dell Technologies Inc.’s stock dipped 2% in extended trading Thursday after the PC maker reported lower-than-expected quarterly revenue because of weak PC demand.
The computer maker
DELL,
posted fiscal-third-quarter net income of $1 billion, or $1.36 a share, compared with net income of $241 million, or 33 cents a share, in the same quarter a year ago. Adjusted earnings were $1.88 a share.
Revenue tumbled to $22.25 billion from $24.7 billion a year ago.
Analysts surveyed by FactSet had expected on average net earnings of $1.46 a share on revenue of $23 billion.
Dell said it expects a rebound in revenue growth in 2024 “given the tailwinds to our business.”
“Our servers and networking business was up 9% sequentially fueled by customer interest in generative AI,” Dell Chief Operating Officer Jeff Clarke said in a statement. “And heading into FY25, we expect revenue growth given the tailwinds to our business.”
Shares of Dell have surged 89% this year, while the broader S&P 500 index
SPX,
has improved 19%.
