Feeds

Dell quarterly revenues down 8% on poor desktop performance

Market share crashing in fastest-growing zones

Secure remote control for conventional and virtual desktops

Wall Street analysts were expecting a drop off in Dell's business and they won’t be disappointed, with the company reporting revenues down 8 per cent for the second quarter of the year.

Dell blamed the drop on poor performance in its PC and mobile divisions, saying that its consumer PC lines were down 22 per cent on the year and the small and medium sized business group down 1 per cent. The company faired best in the US, with overall revenues down 6 per cent, compared to 7 per cent in Europe, 12 per cent in Asia and Japan and 15 per cent in the fast-growing BRIC (Brazil, Russia, India, and China) nations.

The enterprise solutions and services division is doing very well, however, with revenues up six per cent. The group now makes up more than 50 per cent of company margin and more than a third of its revenue. Servers and networks saw revenues rise 14 per cent and storage was up 6 per cent.

"Our performance in the second quarter provided another proof-point that our long-term strategy is right," said Brian Gladden, Dell CFO, in a statement. "We continued our progress in shifting the mix of our business to higher-margin enterprise solutions, led by solid growth in our server, networking, services, and Dell IP storage businesses."

The company expects the rate of contraction to slow in its next quarter, predicting revenues would fall around 2-5 per cent in the third quarter of the year.

"We're transforming our business, not for a quarter or a fiscal year, but to deliver differentiated customer value for the long term," said Michael Dell, chairman and CEO. "We're clear on our strategy and we’re building a leading portfolio of solutions to help our customers achieve their goals." ®

Boost IT visibility and business value

More from The Register

next story
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Premier League wants to PURGE ALL FOOTIE GIFs from social media
Not paying Murdoch? You're gonna get a right LEGALLING - thanks to automated software
Online tat bazaar eBay coughs to YET ANOTHER outage
Web-based flea market struck dumb by size and scale of fail
Amazon takes swipe at PayPal, Square with card reader for mobes
Etailer plans to undercut rivals with low transaction fee offer
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
XBOX One will learn to play media from USB and DLNA sources
Hang on? Aren't those file formats you hardly ever see outside torrents?
Class war! Wikipedia's workers revolt again
Bourgeois paper-shufflers have 'suspended democracy', sniff unpaid proles
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.