Client Solutions Group (CSG) delivered fourth quarter revenue of $11.7 billion, down 5% sequentially and 12% year over year. Commercial client revenue was $9.6 billion, and Consumer revenue was $2.2 billion. Operating income was $726 million. Full-year CSG revenue was $48.9 billion, down 16% year over year, and full-year operating income was $3.5 billion, down 8% year over year.
"Our strong AI-optimized server momentum continues, with orders increasing nearly 40% sequentially and backlog nearly doubling, exiting our fiscal year at $2.9 billion," said Jeff Clarke, vice chairman and chief operating officer, Dell Technologies. "We've just started to touch the AI opportunities ahead of us, and we believe Dell is uniquely positioned with our broad portfolio to help customers build GenAI solutions that meet performance, cost and security requirements."
Dell continues to expand its portfolio to help customers meet their performance, cost and security requirements across clouds, on premises and at the edge:
- Expanded the Dell Generative AI Solutions portfolio with support for the AMD Instinct™ MI300X accelerator in Dell PowerEdge XE9680 servers and the new Dell Validated Design for Generative AI with AMD ROCm™ powered AI frameworks.
- Introduced new enterprise data storage advancements and planned validation with the NVIDIA DGX SuperPOD AI infrastructure, helping customers quickly access data for AI workloads with Dell PowerScale systems.
- Announced Dell will have the broadest portfolio of commercial AI laptops and mobile workstations, which feature built-in AI acceleration with the addition of the neural processing unit (NPU). New XPS systems also feature the NPU, helping to improve performance, productivity and collaboration.
- Forged partnership with Nokia to serve as its preferred infrastructure partner for Nokia AirFrame customers, transitioning them to Dell PowerEdge servers with Dell global services and support. Dell will also offer Nokia's Digital Automation Cloud solution with Dell NativeEdge to provide a comprehensive, scalable solution for enterprises.
Operating Segments Results
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| Three Months Ended |
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| Fiscal Year Ended |
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| February 2,
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| February 3,
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| Change |
| February 2,
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| February 3,
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| (in millions, except percentages; unaudited) | ||||||||||
Infrastructure Solutions Group (ISG): |
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Net revenue: |
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Servers and networking | $ 4,857 |
| $ 4,940 |
| (2) % |
| $ 17,624 |
| $ 20,398 |
| (14) % |
Storage | 4,475 |
| 4,965 |
| (10) % |
| 16,261 |
| 17,958 |
| (9) % |
Total ISG net revenue | $ 9,332 |
| $ 9,905 |
| (6) % |
| $ 33,885 |
| $ 38,356 |
| (12) % |
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| Operating Income: |
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| ISG operating income | $ 1,428 |
| $ 1,543 |
| (7) % |
| $ 4,286 |
| $ 5,045 |
| (15) % |
| % of ISG net revenue | 15.3 % |
| 15.6 % |
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| 12.6 % |
| 13.2 % |
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| % of total reportable segment operating income | 66 % |
| 70 % |
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| 55 % |
| 57 % |
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| Client Solutions Group (CSG): |
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| Net revenue: |
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| Commercial | $ 9,563 |
| $ 10,697 |
| (11) % |
| $ 39,814 |
| $ 45,556 |
| (13) % |
| Consumer | 2,152 |
| 2,664 |
| (19) % |
| 9,102 |
| 12,657 |
| (28) % |
| Total CSG net revenue | $ 11,715 |
| $ 13,361 |
| (12) % |
| $ 48,916 |
| $ 58,213 |
| (16) % |
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| Operating Income: |
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| CSG operating income | $ 726 |
| $ 671 |
| 8 % |
| $ 3,512 |
| $ 3,824 |
| (8) % |
| % of CSG net revenue | 6.2 % |
| 5.0 % |
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| 7.2 % |
| 6.6 % |
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| % of total reportable segment operating income | 34 % |
| 30 % |
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| 45 % |
| 43 % |
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