Dell has released information on its financial results for the first quarter of fiscal year 2025.
The revenue of the mentioned company for the specified period was fixed at $22.24 billion. This indicator showed an increase of 6% year-on-year. It is worth noting that the consensus forecast of LSEG analysts provided that Dell’s revenue for the mentioned period would reach $21.64 billion.
The company expects its sales for the second quarter of fiscal year 2025 to range from $23.5 billion to $24.5 billion. Analysts surveyed by FactSet expected the corresponding figure to be $23.35 billion.
Net income of Dell for the first quarter of fiscal year 2025 was fixed at $955 million. This indicator increased by 65% year-on-year.
In the unit of the company, which specializes in the sale of data centers and is called Infrastructure Solutions Group, revenue for the mentioned period amounted to $ 9.2 billion. This indicator increased by 22% year-on-year.
The revenue of the Dell unit, which specializes in servers, reached $5.5 billion in the first quarter of fiscal year 2025. This indicator increased by 42% year-on-year. At the same time, the operating profits of the mentioned unit have not changed. Toni Sacconaghi of Bernstein underlined in a note to investors that this indicator provokes concerns that artificial intelligence servers are being sold with margins close to zero.
It is worth noting that Dell is the leading supplier of the mentioned servers. There is currently a high level of consumer demand for these products, as companies are actively investing in infrastructure for predictions and generative artificial intelligence.
As we have reported earlier, Dell Characterizes Servers as Main Growth Engine in AI Era.
