Computer maker Dell has posted slumps in its fourth-quarter and full-year revenues, which amounted to US$14.3bn and US$56.9bn, respectively. Dell’s fourth-quarter revenue decreased 11pc from the previous year, and its full-year revenue fell 8pc.
Dell’s fiscal year 2012 included an extra week, which was incorporated into the company’s Q4 results.
Revenue from enterprise solutions and services, however, grew 6pc in the quarter to US$5.2bn and was US$19.4bn, or 34pc of Dell revenue for the fiscal year, a 4pc gain over fiscal year 2012.
The company’s operating income for the fourth quarter amounted to US$698m, or 4.9pc of revenue.
Gross margins for the quarter benefitted by about US$250m, primarily resulting from vendor settlements, Dell said.
For the fiscal year, operating income hit US$3bn.
Earnings per share (EPS) for Q4 totalled US$0.30, down 30pc from the year-ago quarter. Full-year EPS fell 28pc year-over-year to US$1.35.
Dell’s fourth-quarter cash flow from operations reached US$1.4bn, and the company ended the quarter with US$15.3bn in cash and investments.
Full-year cash flow from operations totalled US$3.3bn.
“We continued to execute our long-term strategy in Q4, and realised a 6pc increase in our enterprise solutions and services business,” said Brian Gladden, Dell CFO. “We also continued to generate strong cash flow from operations of US$1.4bn in the quarter.
“Our strong balance sheet and cash position enabled the company to invest almost US$5bn in new capabilities and intellectual property this fiscal year, including great assets like Quest, SonicWall, Wyse and AppAssure,” Gladden added.