Dell's 3Q Net Rose 25% on Strong Sales, Better Pricing
November 11, 2004
ROUND ROCK, Texas -- Dell Inc. (DELL) posted record results in its fiscal third quarter, registering a 25% jump earnings and an 18% increase in sales, as it shipped eight million computers and servers world-wide.
For the quarter ended Oct. 29, the world's largest personal-computer maker reported net income of $846 million, or 33 cents a share, compared with $677 million, or 26 cents a share, a year earlier.
Revenue jumped to $12.5 billion from $10.62 billion.
Results were in line with Dell's August projection for third-quarter profit of 33 cents a share on revenue of about $12.5 billion.
Dell said it shipped an industry-record eight million servers, notebooks and desktops during the quarter, up 22%. Notebooks led the way with a 35% advance. Total shipments to Europe, the Middle East and Africa jumped 31%, followed by a 25% increase for Asia-Pacific and Japan.
Chief Executive Kevin Rollins projected fiscal fourth-quarter earnings of 36 cents a share on revenue of about $13.5 billion, with product shipments rising 20%.
For its third quarter, the company said it had five million shipments in the U.S., which Dell called an industry record. Market share rose nearly two percentage points to 33%.
World-wide revenue from software and peripheral products jumped 37%, and Dell said it is on track to sell more than five million printers in fiscal 2005 and have more than $1 billion in imaging and printing revenue.
During the quarter, Dell repurchased 38 million shares of its common stock, putting the fiscal-year-to-date total at 97 million. The buybacks have reduced the company's weighted average shares outstanding by nearly 3%.
-Kevin Kingsbury; Dow Jones Newswires; 609-520-4367
(END) Dow Jones Newswires
11-11-04 1635ET |
