Dell hails record Q1 results as 'do anything from anywhere' economy booms

Vendor says results reflect increased digital transformation across the world

Dell saw its revenues rise 12 per cent year-on-year in Q1 driven by growth across "infrastructure solutions, client solutions and VMware business units", the company said.

Revenue for the quarter came in at $24.5bn, its highest ever for a Q1, while non-GAAP operating income rose 26 per cent to $2.7bn which was also a first quarter record.

Chief operating officer Jeff Clarke said the results represented "a substantial acceleration in digital transformation across the globe".

"These results are driven by the do anything from anywhere economy where technology enables connectivity and outcomes for all of us," he said on the results call.

"Instead of going to work, school, entertainment or shopping, it all comes to us through our PCs. That need for connectivity was demonstrated in the record demand last year and has continued into this year.

"We are pleased with the quarter and we are even more excited about the opportunities ahead and the long-term value proposition for Dell Technologies and our stakeholders."

Dell has seen plenty of change recently having sold off its stake in both software manufacturer VMware and cloud platform Boomi, while moving towards as-a-service with the introduction of its APEX platform.

But it has maintained a strong partnership with VMware, including Michael Dell keeping his stake in the company, as the software firm recorded a nine per cent increase in Q1 revenue to $3bn.

Revenue in Dell's infrastructure solutions grew five per cent to $7.9bn, while the client solutions group delivered record first quarter revenue of $13.3bn which is a 20 per cent rise.

Total non-GAAP net income for the quarter rose 59 per cent to $1.8bn as non-GAAP diluted earnings per share grew 59 per cent to $2.13.

Clarke added that the company was "executing its strategy" when it came to dealing with the shortage of semiconductors seen across the world.

"As we have mentioned, the pandemic accelerated the adoption of digital technology in every industry and when coupled with an improving global economy with greater demand for everything, there is an overall shortage of semiconductors," he said.

"As we think about future areas of growth, we will leverage our leading capabilities, our relationship with VMware and the broader partner ecosystem to capitalise on new large addressable markets and emerging technology spaces, multibillion-dollar markets today that are projected to grow exponentially by 2025."