Dell results boosted by enterprise sales

Revenue, however, declined in Dell's Consumer division during Q4

Dell on Tuesday reported a 177 per cent year-over-year increase in net income for its fourth fiscal quarter of 2011, driven by growth in enterprise server and PC sales.

The company's profit was $US927 million for the quarter that ended on Jan. 28, increasing from $334 million in the previous year's fourth quarter.

The company reported quarterly revenue of $15.69 billion, which grew by five per cent year over year. Analysts expected $15.71 billion in revenue for the fourth quarter.

Revenue for Dell's Large Enterprise division was $4.7 billion, growing by 12 per cent from a year ago, driven by a strong demand for PC and server products. Revenue for the Small and Medium Business division grew year over year by 12 per cent to $3.7 billion.

Overall server and networking revenue for the company was $2.09 billion, growing by 16 per cent. The company's desktop and mobility revenue -- which counts laptop sales -- both grew by four per cent.

However, revenue for Dell's Consumer division was $3.3 billion, falling by eight per cent compared to the previous year's fourth quarter, which received a big boost relative to the strong launch of Microsoft's Windows 7 OS. The OS was credited with boosting PC sales.

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Tags business issuesDellfinancial results

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Agam Shah

IDG News Service
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