Dell shares sold off in after-hours trading after the company reported lower than expected top and bottom-line results this afternoon.
The company said it earned $0.43 per share on sales of $14.42 billion, below the $0.46 and $14.91 billion Wall Street forecast.
Mobile, personal computing, software, and storage all registered lower sales as the company continued to refocus around the service business.
“We’re committed to continuing our strategy to re-shape Dell’s business as an end-to-end IT provider,” said Dell CEO Michael Dell. “We saw continued progress in our first quarter with the innovative IT solutions we’re providing – notably our latest Dell servers, storage, networking and services that deliver customers enhanced productivity.”
Three of the company’s four main segments saw revenue decline year-on-year, with large enterprises, the public sector and consumers spending between 3 and 12 per cent less with the company.
However Dell posted 4 per cent growth in sales to small and medium businesses.
Regionally, Dell saw strength in emerging markets, with sales to Brazil, Russia, India, and China up 4 per cent — mainly on a 9 per cent jump in China. Americas revenue fell 7 per cent while Europe, the Middle East and Africa recorded a 1 per cent decline.
Shares fell more than 7 per cent after the announcement.
Below, key sales breakdowns from Dell:
Photo: Dell Inc.
Computer maker Dell Inc. will report quarterly results after the closing bell today with analysts expecting earnings per share of $0.46.
Wall Street forecasts the firm saw top line results of $14.9 billion during the period.