Companies /Technology

Dell Technologies Inc - Class C

NYSE: DELL Computer Hardware
$456.01
▼ $0.23 (−0.05%) today
Markets closed · 9:30pm ET

Q1 2026 Earnings

Reported May 29, 2025, 4:07pm ET · SEC source
$1.55
Miss −8.38%
EPS · est. $1.69
$23.4B
Beat +0.80%
Revenue · est. $23.2B
+5.7%
Beating market
DELL vs S&P since report
4 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−6%−3%0May 29May 30report 4:07pm ETearnings−0.2%−6.3%
−6%−3%0May 29May 30earnings−0.2%−6.3%
DELL −6.3%S&P 500 −0.2%
−6%−3%0May 29May 30report 4:07pm ETearnings−0.2%−6.3%
−6%−3%0May 29May 30earnings−0.2%−6.3%
DELL −6.3%NASDAQ −0.2%
−8%−4%0May 28Jun 6report 4:07pm ETearnings+1.6%−3.0%
−8%−4%0May 28Jun 6earnings+1.6%−3.0%
DELL −3.0%S&P 500 +1.6%
−8%−4%0May 28Jun 6report 4:07pm ETearnings+2.1%−3.0%
−8%−4%0May 28Jun 6earnings+2.1%−3.0%
DELL −3.0%NASDAQ +2.1%
−2.08%
Day of report
−2.87%
Next session
+2.23%
One week
+10.97%
30 days

S&P 500 over the same 30 days: +5.27%.

Did DELL Beat Earnings? Q1 2026 Results

Dell Technologies posted a mixed fiscal Q1 2026, with revenue clearing the bar while earnings fell short of Wall Street's expectations. The company reported revenue of $23.38 billion, up 5.1% year over year and edging past the $23.19 billion consensus by 0.80%, but non-GAAP diluted EPS of $1.55 missed the $1.69 estimate by 8.38%, underscoring the margin pressure that comes with selling high-volume, lower-margin AI server hardware. The standout driver was an extraordinary surge in AI infrastructure demand, with Dell generating $12.10 billion in AI orders during the quarter alone and exiting with a $14.40 billion AI backlog, helping servers and networking revenue reach a first-quarter record of $6.32 billion, up 16% year over year. Analysts tracking the broader server market have noted intensifying competition from rivals, yet Dell's order momentum suggests durable positioning. Looking ahead, Dell guided Q2 revenue of $28.50 to $29.50 billion and full-year revenue of $101.00 to $105.00 billion, with full-year non-GAAP EPS of $9.40, reflecting confidence in sustained AI-driven demand.

Key Takeaways
  • Record first-quarter servers and networking revenue of $6.3 billion driven by unprecedented AI-optimized server demand
  • $12.1 billion in AI orders in Q1, surpassing all FY25 AI shipments
  • AI backlog of $14.4 billion
  • Commercial client revenue growth of 9% year over year
  • Record first-quarter cash flow from operations of $2.8 billion
  • Operating expense reduction of 3% year over year
  • SG&A expenses declined 5% year over year

Forward Guidance & Outlook

For Q2 FY26, Dell expects revenue of $28.5 billion to $29.5 billion (up 16% YoY at midpoint of $29.0 billion), GAAP diluted EPS of $1.85 at midpoint (up 50% YoY), and non-GAAP diluted EPS of $2.25 at midpoint (up 15% YoY). For full-year FY26, revenue is expected between $101.0 billion and $105.0 billion (up 8% YoY at midpoint of $103.0 billion), GAAP diluted EPS of $7.99 at midpoint (up 25% YoY), and non-GAAP diluted EPS of $9.40 at midpoint (up 15% YoY).

DELL YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$7.0B$14.0B$21.0B$22.2B$23.4BRevenue$4.9B$4.9BGross Profit$965.0M$1.2BOperating Income$997.0M$965.0MNet Income
$0$7.0B$14.0B$21.0BRevenueGross ProfitOperating IncomeNet Income

DELL Revenue by Segment

Infrastructure Solutions Group$10.3B+12.0%
Products$17.6B+9.0%
AI-Optimized Servers
Client Solutions Group$12.5B+5.0%
Commercial Client$11.0B+9.0%
Servers and Networking$6.3B+16.0%
Traditional Servers and Networking
Services$5.8B−6.0%

Figures from SEC filings and company reports. Not investment advice.