Net income grew by 12% to $983m
PC maker Dell has reported revenue of $15.4bn in the third quarter of 2011, flat compared with the same quarter previous year.
The company posted a net income of $983m for the third quarter, up 12% from $875m in the previous year’s same quarter.
The company’s generally accepted accounting principles (GAAP) operating income was $1.1bn, up 12% compared with the previous year’s same quarter; while non-GAAP operating income was $1.3bn, up 10% over same quarter 2010.
The company’s enterprise solutions and services revenue was $4.7bn in the quarter, representing 31% of Dell’s revenue. Server and networking revenue increased 13% year over year, driven by continued momentum in server virtualisation.
Dell-branded storage revenue grew 23% year over year, driven by demand for EqualLogic and Compellent technology.
The company is trending to the lower end of the range of its revenue outlook of 1 to 5% full fiscal-year growth due to the uncertain macroeconomic environment and complexity in working through the industry-wide hard drive issue.
Cash flow from operations for the quarter was $851m and $5.2bn for the past four quarters, the company said.
Dell chairman and CEO Michael Dell said their results this quarter and over the past year reflect a new Dell, one focused on providing our customers productivity-enhancing solutions either developed organically or acquired.
"We’re now investing in research and development activities at almost a billion-dollar annual run rate and our earnings per share is up 86 percent over the last 12 months," Dell said.
Dell chief financial officer Brian Gladden said they delivered strong third-quarter results, maintaining their focus on operating income and improving their mix of higher-value enterprise solutions.
"Consistent with our strategy and the investments we have made, we continued to see excellent momentum in our enterprise business, with double-digit revenue growth in services, servers and networking, and in key growth countries, despite some macroeconomic uncertainty," Gladden said.