NEW YORK: Dell Technologies beat Wall Street estimates for quarterly revenue on Thursday as demand for its notebooks and software products was fuelled by a pandemic-led remote working environment.
Coronavirus restrictions over the past year have led to people working and studying from home, which in turn boosted sales of Dell's cloud services and at-home hardwares.
Global shipments of PCs, the industry's collective term for laptops and desktops, grew 55.2 per cent during the first quarter, according to preliminary data from research firm International Data Corporation.
Dell said revenue from its client solutions group, which includes desktops, notebooks and tablets, rose 20 per cent to US$13.31 billion in the reported quarter.
The PC maker also said it had paid down US$2.5 billion in debt this year and revised its debt paydown target for fiscal year 2022 to at least US$16.0 billion, upon the completion of its spin-off of cloud computing software maker VMware.
During the quarter, Dell had announced the spin-off of its Boomi cloud business and the divestment of its major stake in VMware in order to lower its debt load.
Dell's revenue rose 12 per cent to US$24.49 billion in the first quarter, beating estimates of US$23.40 billion, according to Refinitiv IBES data.
The company's shares have risen about 36 per cent this year.