Dell has reported stronger-than-expected results for its latest earnings, with revenue growth soaring past estimates.
The company reported record revenue of US$43.84 billion (A$61.08 billion), up 88% year over year, mostly driven by a growing demand for artificial intelligence.
Markets were expecting $35.74 billion in revenue.
Additionally, record non-GAAP diluted earnings per share (EPS) came in at $4.86, above the $2.96 expected and up 214% over the same period.
Revenue for AI-Optimized servers specifically was posted at US$16.1 billion, up 757% year over year.
In the wake of these strong results, Dell has updated its 2027 outlook to $60 billion, an increase of $10 billion.
“I don’t think applying historical markets or historical views about the market and how it is going to act are appropriate today,” said Dell Vice Chairman and Chief Operating Officer Jeff Clarke said on the earnings call.
“We’re finding new uses…What is the value of adding intelligence into every workflow, every decision, every product, every customer interaction. I would assert the value is pretty darn high!”
Dell Technologies (NYSE: DELL) stock traded 32.8% higher on Friday, closing at a record high of $420.91. The company's market capitalisation stands at $274.61 billion.
