DELL TECHNOLOGIES INC.

Reconciliation of Selected Non-GAAP Financial Measures

For the Three Months Ended May 1, 2020

(in millions, except per share amounts; unaudited)

GAAP

Amortization of
intangibles

Impact of
purchase
accounting

Transaction-
related
expenses

Stock-based
compensation
expense

Other
corporate
expenses

Fair value
adjustments
on equity
investments

Aggregate
adjustment
for income
taxes

Non-
GAAP

Net income

$

182

855

63

(44)

370

95

(94)

(284)

$

1,143

Less: Net income attributable to non-controlling interests (a)

39

60

3

7

54

—

(1)

(35)

127

Net income attributable to Dell Technologies Inc. - basic

143

795

60

(51)

316

95

(93)

(249)

1,016

Incremental dilution from VMware, Inc. attributable to Dell Technologies Inc. (b)

(2)

(4)

Net income attributable to Dell Technologies Inc. - diluted

$

141

$

1,012

Earnings per share - basic

$

0.19

$

1.37

Earnings per share - diluted

$

0.19

$

1.34

Weighted-average shares outstanding - basic

740

740

Weighted-average shares outstanding - diluted

755

755

(a)

Net income attributable to non-controlling interests is calculated by multiplying the minority interest percentage of VMware, Inc. and SecureWorks Corp. by their non-GAAP net income adjustments for the period presented.

(b)

Incremental dilution from VMware, Inc. attributable to Dell Technologies Inc. represents the impact of VMware, Inc.'s dilutive securities on the diluted earnings per share of Dell Technologies Inc. and is calculated by multiplying the difference between VMware, Inc.'s basic and diluted earnings per share by the number of shares of VMware, Inc. common stock held by Dell Technologies Inc.