Dell Earned 33 Cents a Share

$14.2 billion in revenue. The company said it won’t provide any quarterly guidance. Here’s the press release:

ROUND ROCK, Texas–(BUSINESS WIRE)–May 18, 2006–Dell’s expansion of business outside the United States and its sales of servers, storage and enhanced services drove revenue of $14.2 billion and earnings of 33 cents per share in the fiscal first-quarter 2007.
Enhanced services revenue grew 28 percent year-over-year in the first quarter. Storage revenues increased 12 percent year-over-year. Shipments of Dell products were led by a 36 percent year-over-year increase in mobility units. Revenue outside the United States grew 12 percent and was 44 percent of Dell’s overall revenue.
Dell had operating income of $949 million, or 6.7 percent of revenue, in the quarter, which reflected investments in customer experience as well as pricing decisions the company believes will drive future growth. Cash flow from operations was $1.0 billion for the quarter and Dell ended the quarter with $11.1 billion in cash and investments. During the quarter, Dell spent $1.7 billion to repurchase 58 million shares of common stock.

Also in the press release is this:

Dell will also introduce new AMD Opteron processors in our multi-processor servers by the end of the year offering a great new technology to our customers at the high-end of our server line.

The stock is up about 4% after-hours. AMD is up 12%, here’s their response.

Posted by on May 18th, 2006 at 4:03 pm


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