Dell, Inc. (NASDAQ: DELL) came out with a solid quarter today after the close, and shares are seeing some after-hours love. The company showed $0.38 EPS on $16.08 Billion in revenues. First Call had already slightly lifted its numbers, but estimates were $0.34 EPS on $15.68 Billion in revenues.
The company said it still continues realigning its business and still expects a headcount reduction with a $3 Billion savings target by 2011. It has cut 7,000 jobs over the last year, and about 3,700 of those were in the first quarter.
Dell did issue $1.5 billion in private placement and medium-term and long-term notes for general corporate purposes. The company spent over $1 billion to repurchase some 52 million shares of stock and the company noted that plans to spend at least $1 billion on additional share buybacks in the second quarter as well. The company ended the quarter with $9.8 billion in cash and equivalents and its weighted average shares were 2.04 billion.
Leading the charge were the following gains:
- Product shipments rose 22%, with servers growing 3-times the industry rate at 21%.
- Storage revenue rose some 15% and enhanced services revenue was up 13%.
- Notebook unit growth rose a whopping 43%, up about 1.2-times the industry growth rate.
Shares of Dell are up $1.50 in after hours trading at $23.31, and that is after a regular close of up 0.55% at $21.81.
Jon C. Ogg
May 29, 2008
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
