Dell reports 17% revenue growth for FY 2022, despite Q4 losses


Dell Technologies reported total revenues for the fourth quarter of its 2022 fiscal year at $27.9 billion, a 16% rise over the $24.15 billion posted a year ago. 

Despite this, the company suffered a $29 million net loss, which translates to a loss per share of $0.04. This is a far cry from the $695 million, or $0.90 per share, in earnings the company achieved during the year-ago quarter. The driving factor behind the decline was an increase in interest expenses and other operating costs, which spiked to $1.65 billion, after having been just $475 million in the previous fourth quarter. 

For the year, Dell’s revenues reached $101.2 billion, a 17% rise and a new record for the company, driven by growth across all business units and record-setting PC shipments during the height of the pandemic

Earnings here were $4.94 billion, or $6.26 per share, a 31% increase over the $3.74 billion, or $4.88 per share posted for FY 2021. 

Jeff Clarke, vice chairman and co-chief operating officer, Dell Technologies, called FY 2022 “the best year in Dell Technologies history.” Aside from the aforementioned, record-setting revenue, he also touted the manufacturer’s “strategic progress across multi-cloud, edge, as-a-Service, and telecom.” 

Also: Dell Technologies wants to be known as the ‘cloud ecosystem champion’

Meanwhile, Tom Sweet, CFO of Dell Technologies, provided an update on the company’s return from its VMware spinoff, which apparently generated $10.3 billion in cash flow and the achievement of an investment grade rating. 

On the back of these results, Dell’s board of directors created a new dividend policy under which Dell “intends to pay quarterly cash dividends on its common stock, with an initial dividend rate of $1.32 per share per year for fiscal 2023, or approximately $1 billion in aggregate.”

The first of these new disbursements will be payable on April 29 to stockholders of record as of April 20.

Additional segment details are available within Dell Technologies’ FY 2022 results


Source link