Dell Technologies has reported revenue of $26.1 billion (+16 percent) for its fiscal 2023 first quarter thanks to growth of 16 percent in Dell Infrastructure Solutions (ISG) business and 17 percent in Dell Client Solutions (CSG) business.
Dell Technologies ended the quarter with remaining performance obligations of $42 billion, up 14 percent and deferred revenue of $27.4 billion. Dell Technologies said recurring revenue for the first quarter was approximately $5.3 billion, up 15 percent.
Dell Technologies’ Infrastructure Solutions revenue was $9.3 billion, up 16 percent. Storage revenue was $4.2 billion, up 9 percent. Servers and networking revenue was $5 billion, up 22 percent. Operating income was $1.1 billion or 11.7 percent of Infrastructure Solutions Group revenue.
Dell Technologies said more than 500 storage software advancements across Dell PowerStore, PowerMax and PowerFlex to help customers deliver faster insights, achieve better multi-cloud data control and increase cyber resiliency.
APEX Cyber Recovery Services, the first in a series of APEX full stack solutions, offering customers a cloud experience and simplifying recovery from cyberattacks.
A collaboration with Snowflake will connect on-premises data from Dell’s enterprise storage portfolio with the Snowflake Data Cloud.
Dell Telecom Multi-Cloud Foundation helps communications service providers (CSPs) build and deploy open, cloud-native networks faster with lower cost and complexity.
Dell Validated Design for Retail Edge helps retailers simplify edge infrastructure and launch new applications for better customer experiences.
Dell Technologies said Client Solutions revenue was $15.6 billion, up 17 percent, driven by strength in commercial PCs. Dell Commercial PC revenue was $12 billion, up 22 percent. Dell Consumer PC revenue was $3.6 billion, up 3 percent. Operating income was $1.1 billion, or approximately 7.2 percent of Client Solutions Group revenue.
Dell expects revenue to be in the range of $26.1 billion to $27.1 billion in the current quarter and forecast adjusted profit per share of between $1.55 and $1.70.
“We expect backlog to remain elevated through at least Q2 due to current demand and industry-wide supply chain challenges,” said Jeff Clarke, co-chief operating officer at Dell, in a post-earnings call.