Dell reveals higher profits for latest quarter

Dell has revealed its latest financial numbers for the quarter that ended on June 30. Revenue for the quarter came in at $15.66 billion, which is only a slight increase compared to the $15.5 billion in revenue Dell brought in at the same time period a year ago. However, net income for Dell was a huge improvement as it recorded $890 million for the quarter, well above the $545 million in net income it brought in at the same period a year ago. Dell said that a lot of its growth in the quarter was due to its enterprise business as sales of servers and storage products surged up.

So everything is good at Dell, right? Not so fast. The company also announced that it was cutting its revenue forecast for its full fiscal year. Dell now expects revenue growth of between 1 to 5 percent for the fiscal year versus its previous predictions of between 5 to 9 percent. Dell said it was cutting its forecast due to a "more uncertain demand environment". That was enough to send Dell's stock prick down in after hours trading today.

There is definitely a fear that the PC industry as a whole is slowing down and Dell is still primarily a PC company. Its efforts to break into the smartphone market haven't been successful and more recently the company has tried to enter the tablet market with the Streak. Dell recently launched a 10 inch screen version of the Streak but only put the tablet on sale in China.

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7 Comments

well its too bad that their tablets were a failure.. They had absolutely no hype around them and not much appeal.. hopefully windows 8 can help them out and get them shipping some nice tablets.. i think it has to do with people wanting to feel computers these days more then in the past.. a few years back with windows xp i really only cared about the specs but now i want something that feels right especially with laptops..

Dell's business may be slowing down because Apple's is speeding up.

- In 1997, when asked about Apple, Michael Dell said "I'd shut it down and give the money back to the shareholders." Well today, Apple is worth more than Dell.

superconductive said,
Dell's business may be slowing down because Apple's is speeding up.

- In 1997, when asked about Apple, Michael Dell said "I'd shut it down and give the money back to the shareholders." Well today, Apple is worth more than Dell.

Yep, and in 1997 if you'd predicted success anywhere near that you'd have been committed... lol

Good to see Dell doing better. Used them at work for 9+ years. They had their share of problems but mostly due to the parts they were using. Faulty mobo capacitors, and PSU issues. NEVER had a problem with any Latitude line laptop....we, a couple had faulty mobos but thats 2 over 9 years. Not bad really considering.

They got sued a few years back for their faulty mobos in they GX260, 270, and 280 models.

I don't know why Dell does so well. They make decent looking computers I suppose, and the customization is unmatched, but their reliability is deplorable. All they do is churn out junk anymore.

M_Lyons10 said,
I don't know why Dell does so well. They make decent looking computers I suppose, and the customization is unmatched, but their reliability is deplorable. All they do is churn out junk anymore.

They have their issues from time to time like anyone else. But junk? Would have to disagree on that one. Like I said...been using them for 9+ years

techbeck said,

They have their issues from time to time like anyone else. But junk? Would have to disagree on that one. Like I said...been using them for 9+ years

Up until a couple of years ago I would have agreed with you, but they've gone down hill. All of our computers were Dell and they were quite reliable. The last few we got were horrendous wastes of money. Mine had to be sent back to Dell 4 times.

And for this they charge a premium? I'd much prefer a Toshiba or Asus, which are truly reliable and in most cases cheaper...

Sorry, I really wish Dell hadn't gone to **** too. I used to really like them.

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