Infrastructure Solutions Group (ISG) delivered record third-quarter revenue of $11.4 billion, up 34% year over year. Servers and networking revenue was $7.4 billion, up 58%, with demand growth across AI and traditional servers. Storage revenue was $4.0 billion, up 4%. Operating income was $1.5 billion.
"AI is a robust opportunity for us with no signs of slowing down," said Jeff Clarke, vice chairman and chief operating officer, Dell Technologies. "Interest in our portfolio is at an all-time high, driving record AI server orders demand of $3.6 billion in Q3 and a pipeline that grew more than 50%, with growth across all customer types."
Client Solutions Group (CSG) delivered third quarter revenue of $12.1 billion, down 1% year over year. Commercial client revenue was up 3% at $10.1 billion, and Consumer revenue was $2.0 billion, down 18%. Operating income was $694 million.
Operating Segments Results
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| Three Months Ended |
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| Nine Months Ended |
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| November 1, 2024 |
| November 3, 2023 |
| Change |
| November 1, 2024 |
| November 3, 2023 |
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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 | $ 7,364 |
| $ 4,656 |
| 58 % |
| $ 20,502 |
| $ 12,767 |
| 61 % |
Storage | 4,004 |
| 3,843 |
| 4 % |
| 11,739 |
| 11,786 |
| — % |
Total ISG net revenue | $ 11,368 |
| $ 8,499 |
| 34 % |
| $ 32,241 |
| $ 24,553 |
| 31 % |
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Operating Income: |
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ISG operating income | $ 1,508 |
| $ 1,069 |
| 41 % |
| $ 3,528 |
| $ 2,858 |
| 23 % |
| % of ISG net revenue | 13.3 % |
| 12.6 % |
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| 10.9 % |
| 11.6 % |
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| % of total reportable segment operating income | 68 % |
| 54 % |
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| 62 % |
| 51 % |
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| Client Solutions Group (CSG): |
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| Net revenue: |
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| Commercial | $ 10,138 |
| $ 9,835 |
| 3 % |
| $ 30,848 |
| $ 30,251 |
| 2 % |
| Consumer | 1,993 |
| 2,441 |
| (18) % |
| 5,664 |
| 6,950 |
| (19) % |
| Total CSG net revenue | $ 12,131 |
| $ 12,276 |
| (1) % |
| $ 36,512 |
| $ 37,201 |
| (2) % |
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| Operating Income: |
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| CSG operating income | $ 694 |
| $ 925 |
| (25) % |
| $ 2,193 |
| $ 2,786 |
| (21) % |
| % of CSG net revenue | 5.7 % |
| 7.5 % |
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| 6.0 % |
| 7.5 % |
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| % of total reportable segment operating income | 32 % |
| 46 % |
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| 38 % |
| 49 % |
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