Dell Inc., the world's third-largest supplier of personal computers, reports third-quarter sales missed That Analysts' Estimates AMID languid Consumer Spending.
Sales in the quarter rose 19 Percent to $ 15.4 billion, Round Rock, Texas-based Dell Said in a statement today. That missed the average $ 15.7 billion of Projections compiled by Bloomberg. Still, profit WAS Excluding Certain items 45 cents a share, Exceeding the 32-cent average estimate.
Dell PC-maker and Its Rivals Are Facing Slowing Growth in shipments as Consumers, Concerned about recovery, put off computer Purchases. Chief Executive Officer Michael Dell has Work to Lessen the company's dependence on PC sales. He's Spending more on research and Development and using acquisitions to build up the server, data storage, networking gear and technology services divisions.
Sales of Dell's smartphones and tablet computers Streak Have been "disappointing," Said Shaw Wu, an analyst at Kaufman Bros. in San Francisco.
"They've Been arguably out of position" in laptop sales Because They Do not sell-through retail outlets as much or fast-growing in Emerging Markets, Said Wu, Who rates Dell shares "hold" and Does not own any.
Late trading shares of Dell WAS halted prior to the results. The stock climber 32 cents to $ 13.67 at 4 p.m. New York time on the Nasdaq Stock Market. The shares lost 4.8 Percent Have this year.
Prices for computer components like hard drives and memory decline, helping to shore up Profitability, Chief Financial Officer Brian Gladden Said in an interview after the results.
Global PC shipments rose 11 Percent in the third quarter, down from 22 Percent in the second quarter. Dell trails Hewlett-Packard Co. and Acer Inc. in global PC shipments.
Consumer Business
Dell gets about 80 PERCENT of STI corporate and Government revenue from sales s, which fared Better Than ITS consumer business. The company dog enterprise use cash from sales to fund new products and distribution channels for consumer STI less popular machines, Said Richard Shim, an analyst at Framingham, Massachusetts-based research firm IDC.
"If they're going to invest in the consumer business, this is the time to do it," Shim said. "They're Trying to clean up the brand story."
In the corporate market, There is still Opportunity for PC makers to capitalize on upgrades to new PCs running Microsoft Corp. 's Windows 7 operating system, in an interview Gladden Said this month.
Net income in the third quarter More Than Doubled to $ 822 million, or 42 cents a share, from $ 337 million, or 17 cents, a year earlier.
Dell Said That Ron Garriques yesterday, Who runs the division That Focus on mobile devices, will leave the company in January.
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