Technology
Dell Technologies Delivers Fourth Quarter and Full Year Fiscal 2024 Financial Results
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2 years agoon
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News summary
Fourth quarter revenue of $22.3 billion and full-year revenue of $88.4 billionFull-year operating income of $5.2 billion and non-GAAP operating income of $7.7 billionFull-year cash flow from operations of $8.7 billionFull-year diluted earnings per share of $4.36 and non-GAAP diluted earnings per share of $7.13Announcing a 20% increase in annual cash dividend to $1.78 per common share
ROUND ROCK, Texas, Feb. 29, 2024 /PRNewswire/ —
Full story
Dell Technologies (NYSE: DELL) announces financial results for its fiscal 2024 fourth quarter and full year. Fourth quarter revenue was $22.3 billion, down 11% year over year. Operating income was $1.5 billion and non-GAAP operating income was $2.1 billion, up 25% and down 1% year over year, respectively. Cash flow from operations was $1.5 billion. Diluted earnings per share was $1.59, and non-GAAP diluted earnings per share was $2.20, up 89% and 22% year over year, respectively.
Revenue for the year was $88.4 billion, down 14% from fiscal year 2023. Operating income was $5.2 billion and non-GAAP operating income was $7.7 billion, down 10% and 11% year over year, respectively. Cash flow from operations for the full year was $8.7 billion. Full-year diluted earnings per share was $4.36, and non-GAAP diluted earnings per share was $7.13, up 35% and down 6% year over year, respectively.
Cash and investments were $9.0 billion, and Dell reached its core leverage target of 1.5x exiting the fiscal year. Dell is increasing its annual cash dividend by 20% to $1.78 per common share, with $0.445 per common share for the first quarterly distribution payable on May 3 to shareholders of record as of April 23.
“We generated $8.7 billion in cash flow from operations this fiscal year, returning $7 billion to shareholders since Q1 FY23,” said Yvonne McGill, chief financial officer, Dell Technologies. “We’re optimistic about FY25 and are increasing our annual dividend by 20% – a testament to our confidence in the business and ability to generate strong cash flow.”
Fourth Quarter Fiscal 2024 Financial Results
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
Change
February 2,
2024
February 3,
2023
Change
(in millions, except per share amounts and percentages; unaudited)
Net revenue
$ 22,318
$ 25,039
(11) %
$ 88,425
$ 102,301
(14) %
Operating income
$ 1,491
$ 1,189
25 %
$ 5,211
$ 5,771
(10) %
Net income
$ 1,158
$ 606
91 %
$ 3,195
$ 2,422
32 %
Earnings per share – diluted
$ 1.59
$ 0.84
89 %
$ 4.36
$ 3.24
35 %
Non-GAAP operating income
$ 2,139
$ 2,170
(1) %
$ 7,678
$ 8,637
(11) %
Non-GAAP net income
$ 1,610
$ 1,322
22 %
$ 5,245
$ 5,727
(8) %
Adjusted free cash flow
$ 1,010
$ 2,267
(55) %
$ 5,607
$ 1,533
266 %
Non-GAAP earnings per share – diluted
$ 2.20
$ 1.80
22 %
$ 7.13
$ 7.61
(6) %
Information about Dell Technologies’ use of non-GAAP financial information is provided under “Non-GAAP Financial Measures” below. All comparisons in this press release are year-over-year unless otherwise noted.
Infrastructure Solutions Group (ISG) delivered fourth quarter revenue of $9.3 billion, up 10% sequentially and down 6% year over year. Servers and networking revenue was $4.9 billion, with sequential growth driven primarily by AI-optimized servers. Storage revenue was $4.5 billion, up 16% sequentially with demand strength across the portfolio. Operating income was $1.4 billion. Full-year ISG revenue was $33.9 billion, down 12% year over year, and full-year operating income was $4.3 billion, down 15% year over year.
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
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
Change
February 2,
2024
February 3,
2023
Change
(in millions, except percentages; unaudited)
Infrastructure Solutions Group (ISG):
Net revenue:
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) %
Operating Income:
ISG operating income
$ 1,428
$ 1,543
(7) %
$ 4,286
$ 5,045
(15) %
% of ISG net revenue
15.3 %
15.6 %
12.6 %
13.2 %
% of total reportable segment operating income
66 %
70 %
55 %
57 %
Client Solutions Group (CSG):
Net revenue:
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) %
Operating Income:
CSG operating income
$ 726
$ 671
8 %
$ 3,512
$ 3,824
(8) %
% of CSG net revenue
6.2 %
5.0 %
7.2 %
6.6 %
% of total reportable segment operating income
34 %
30 %
45 %
43 %
Conference call information
As previously announced, the company will hold a conference call to discuss its performance and financial guidance on Feb. 29 at 3:30 p.m. CST. Prior to the start of the conference call, prepared remarks and a presentation containing additional financial and operating information prior to financial guidance may be downloaded from investors.delltechnologies.com. The conference call will be broadcast live over the internet and can be accessed at https://investors.delltechnologies.com/news-events/upcoming-events
For those unable to listen to the live broadcast, the final remarks and presentation with financial guidance will be available following the broadcast, and an archived version will be available at the same location for one year.
Environmental, Social and Governance (ESG)
Our Environmental, Social and Governance (ESG) efforts focus on driving positive impact for people and our planet while delivering long-term value for our stakeholders. ESG resources can be accessed at https://www.dell.com/en-us/dt/corporate/social-impact/reporting/esg-governance.htm
About Dell Technologies
Dell Technologies (NYSE:DELL) helps organizations and individuals build their digital future and transform how they work, live and play. The company provides customers with the industry’s broadest and most innovative technology and services portfolio for the data era.
Copyright © 2024 Dell Inc. or its subsidiaries. All Rights Reserved. Dell Technologies, Dell, EMC and Dell EMC are trademarks of Dell Inc. or its subsidiaries. Other trademarks may be trademarks of their respective owners.
Non-GAAP Financial Measures:
This press release presents information about non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP net income, non-GAAP net income attributable to Dell Technologies Inc., non-GAAP earnings per share attributable to Dell Technologies Inc. – diluted, free cash flow, and adjusted free cash flow which are non-GAAP financial measures provided as a supplement to the results provided in accordance with generally accepted accounting principles in the United States of America (“GAAP”). A reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure is provided in the attached tables for each of the fiscal periods indicated.
Special Note on Forward-Looking Statements:
Statements in this press release that relate to future results and events are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and Section 27A of the Securities Act of 1933 and are based on Dell Technologies’ current expectations. In some cases, you can identify these statements by such forward-looking words as “anticipate,” “believe,” “confidence,” “could,” “estimate,” “expect,” “guidance,” “intend,” “may,” “objective,” “outlook,” “plan,” “project,” “possible,” “potential,” “should,” “will” and “would,” or similar words or expressions that refer to future events or outcomes.
Dell Technologies’ results or events in future periods could differ materially from those expressed or implied by these forward-looking statements because of risks, uncertainties, and other factors that include, but are not limited to, the following: adverse global economic conditions and instability in financial markets; competitive pressures; Dell Technologies’ reliance on third-party suppliers for products and components, including reliance on single-source or limited-source suppliers; Dell Technologies’ ability to achieve favorable pricing from its vendors; Dell Technologies’ execution of its strategy; Dell Technologies’ ability to manage solutions and products and services transitions in an effective manner; Dell Technologies’ ability to deliver high-quality products, software, and services; cyber attacks or other data security incidents; Dell Technologies’ ability to successfully execute on strategic initiatives including acquisitions, divestitures or cost savings measures; Dell Technologies’ foreign operations and ability to generate substantial non-U.S. net revenue; Dell Technologies’ product, services, customer, and geographic sales mix, and seasonal sales trends; the performance of Dell Technologies’ sales channel partners; access to the capital markets by Dell Technologies or its customers; material impairment of the value of goodwill or intangible assets; adverse economic conditions and the effect of additional regulation on Dell Technologies’ financial services activities; counterparty default risks; the loss by Dell Technologies of any contracts for ISG services and solutions and its ability to perform such contracts at their estimated costs; loss by Dell Technologies of government contracts; Dell Technologies’ ability to develop and protect its proprietary intellectual property or obtain licenses to intellectual property developed by others on commercially reasonable and competitive terms; disruptions in Dell Technologies’ infrastructure; Dell Technologies’ ability to hedge effectively its exposure to fluctuations in foreign currency exchange rates and interest rates; expiration of tax holidays or favorable tax rate structures, or unfavorable outcomes in tax audits and other tax compliance matters; impairment of portfolio investments; unfavorable results of legal proceedings; expectations relating to environmental, social and governance (ESG) considerations; compliance requirements of changing environmental and safety laws, human rights laws, or other laws; the effect of armed hostilities, terrorism, natural disasters, or public health issues; the effect of global climate change and legal, regulatory, or market measures to address climate change; Dell Technologies’ dependence on the services of Michael Dell and key employees; Dell Technologies’ level of indebtedness; and business and financial factors and legal restrictions affecting continuation of Dell Technologies’ quarterly cash dividend policy and dividend rate.
This list of risks, uncertainties, and other factors is not complete. Dell Technologies discusses some of these matters more fully, as well as certain risk factors that could affect Dell Technologies’ business, financial condition, results of operations, and prospects, in its reports filed with the SEC, including Dell Technologies’ annual report on Form 10-K for the fiscal year ended February 3, 2023, quarterly reports on Form 10-Q, and current reports on Form 8-K. These filings are available for review through the SEC’s website at www.sec.gov. Any or all forward-looking statements Dell Technologies makes may turn out to be wrong and can be affected by inaccurate assumptions Dell Technologies might make or by known or unknown risks, uncertainties, and other factors, including those identified in this press release. Accordingly, you should not place undue reliance on the forward-looking statements made in this press release, which speak only as of its date. Dell Technologies does not undertake to update, and expressly disclaims any duty to update, its forward-looking statements, whether as a result of circumstances or events that arise after the date they are made, new information, or otherwise.
DELL TECHNOLOGIES INC.
Consolidated Statements of Income and Related Financial Highlights
(in millions, except percentages; unaudited)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
Change
February 2,
2024
February 3,
2023
Change
Net revenue:
Products
$ 16,149
$ 19,038
(15) %
$ 64,353
$ 79,250
(19) %
Services
6,169
6,001
3 %
24,072
23,051
4 %
Total net revenue
22,318
25,039
(11) %
88,425
102,301
(14) %
Cost of net revenue:
Products
13,393
15,748
(15) %
53,316
66,029
(19) %
Services
3,609
3,535
2 %
14,240
13,586
5 %
Total cost of net revenue
17,002
19,283
(12) %
67,556
79,615
(15) %
Gross margin
5,316
5,756
(8) %
20,869
22,686
(8) %
Operating expenses:
Selling, general, and administrative
3,109
3,772
(18) %
12,857
14,136
(9) %
Research and development
716
795
(10) %
2,801
2,779
1 %
Total operating expenses
3,825
4,567
(16) %
15,658
16,915
(7) %
Operating income
1,491
1,189
25 %
5,211
5,771
(10) %
Interest and other, net
(203)
(266)
24 %
(1,324)
(2,546)
48 %
Income before income taxes
1,288
923
40 %
3,887
3,225
21 %
Income tax expense
130
317
(59) %
692
803
(14) %
Net income
1,158
606
91 %
3,195
2,422
32 %
Less: Net loss attributable to non-controlling interests
(2)
(8)
75 %
(16)
(20)
20 %
Net income attributable to Dell Technologies Inc.
$ 1,160
$ 614
89 %
$ 3,211
$ 2,442
31 %
Percentage of Total Net Revenue:
Gross margin
23.8 %
23.0 %
23.6 %
22.2 %
Selling, general, and administrative
13.9 %
15.1 %
14.5 %
13.9 %
Research and development
3.2 %
3.2 %
3.2 %
2.7 %
Operating expenses
17.1 %
18.3 %
17.7 %
16.6 %
Operating income
6.7 %
4.7 %
5.9 %
5.6 %
Income before income taxes
5.8 %
3.7 %
4.4 %
3.2 %
Net income
5.2 %
2.4 %
3.6 %
2.4 %
Income tax rate
10.1 %
34.3 %
17.8 %
24.9 %
Amounts are based on underlying data and may not visually foot due to rounding.
DELL TECHNOLOGIES INC.
Consolidated Statements of Financial Position
(in millions; unaudited)
February 2, 2024
February 3, 2023
ASSETS
Current assets:
Cash and cash equivalents
$ 7,366
$ 8,607
Accounts receivable, net of allowance of $71 and $78
9,343
12,482
Due from related party, net
—
378
Short-term financing receivables, net of allowance of $79 and $142
4,643
5,281
Inventories
3,622
4,776
Other current assets
10,957
10,827
Current assets held for sale
16
—
Total current assets
35,947
42,351
Property, plant, and equipment, net
6,432
6,209
Long-term investments
1,316
1,518
Long-term financing receivables, net of allowance of $91 and $59
5,877
5,638
Goodwill
19,700
19,676
Intangible assets, net
5,701
6,468
Due from related party, net
—
440
Other non-current assets
7,116
7,311
Total assets
$ 82,089
$ 89,611
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Short-term debt
$ 6,982
$ 6,573
Accounts payable
19,389
18,598
Due to related party
—
2,067
Accrued and other
6,805
8,874
Short-term deferred revenue
15,318
15,542
Total current liabilities
48,494
51,654
Long-term debt
19,012
23,015
Long-term deferred revenue
13,827
14,744
Other non-current liabilities
3,065
3,223
Total liabilities
84,398
92,636
Stockholders’ equity (deficit):
Total Dell Technologies Inc. stockholders’ equity (deficit)
(2,404)
(3,122)
Non-controlling interests
95
97
Total stockholders’ equity (deficit)
(2,309)
(3,025)
Total liabilities and stockholders’ equity
$ 82,089
$ 89,611
DELL TECHNOLOGIES INC.
Consolidated Statements of Cash Flows
(in millions; unaudited)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
February 2,
2024
February 3,
2023
Cash flows from operating activities:
Net income
$ 1,158
$ 606
$ 3,195
$ 2,422
Adjustments to reconcile net income to net cash provided by
operating activities:
375
2,108
5,481
1,143
Change in cash from operating activities
1,533
2,714
8,676
3,565
Cash flows from investing activities:
Purchases of investments
(29)
(7)
(172)
(108)
Maturities and sales of investments
76
17
226
116
Capital expenditures and capitalized software development
costs
(727)
(759)
(2,756)
(3,003)
Acquisition of businesses and assets, net
1
(70)
(126)
(70)
Other
10
23
45
41
Change in cash from investing activities
(669)
(796)
(2,783)
(3,024)
Cash flows from financing activities:
Proceeds from the issuance of common stock
2
—
10
5
Repurchases of common stock
(878)
(165)
(2,080)
(2,883)
Repurchases of common stock for employee tax withholdings
(18)
(18)
(372)
(398)
Payments of dividends and dividend equivalents
(261)
(236)
(1,072)
(964)
Proceeds from debt
871
3,700
7,775
12,479
Repayments of debt
(1,480)
(1,746)
(11,246)
(9,825)
Debt-related costs and other, net
(55)
(22)
(109)
(39)
Change in cash from financing activities
(1,819)
1,513
(7,094)
(1,625)
Effect of exchange rate changes on cash, cash
equivalents, and restricted cash
14
239
(186)
(104)
Change in cash, cash equivalents, and restricted cash
(941)
3,670
(1,387)
(1,188)
Cash, cash equivalents, and restricted cash at beginning of the
period
8,448
5,224
8,894
10,082
Cash, cash equivalents, and restricted cash at end of the
period
$ 7,507
$ 8,894
$ 7,507
$ 8,894
DELL TECHNOLOGIES INC.
Segment Information
(in millions, except percentages; unaudited; continued on next page)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
Change
February 2,
2024
February 3,
2023
Change
Infrastructure Solutions Group (ISG):
Net revenue:
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) %
Operating Income:
ISG operating income
$ 1,428
$ 1,543
(7) %
$ 4,286
$ 5,045
(15) %
% of ISG net revenue
15.3 %
15.6 %
12.6 %
13.2 %
% of total reportable segment operating income
66 %
70 %
55 %
57 %
Client Solutions Group (CSG):
Net revenue:
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) %
Operating Income:
CSG operating income
$ 726
$ 671
8 %
$ 3,512
$ 3,824
(8) %
% of CSG net revenue
6.2 %
5.0 %
7.2 %
6.6 %
% of total reportable segment operating income
34 %
30 %
45 %
43 %
Amounts are based on underlying data and may not visually foot due to rounding.
DELL TECHNOLOGIES INC.
Segment Information
(in millions, except percentages; unaudited; continued)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
February 2,
2024
February 3,
2023
Reconciliation to consolidated net revenue:
Reportable segment net revenue
$ 21,047
$ 23,266
$ 82,801
$ 96,569
Other businesses (a)
1,269
1,770
5,614
5,721
Unallocated transactions (b)
2
3
10
11
Total consolidated net revenue
$ 22,318
$ 25,039
$ 88,425
$ 102,301
Reconciliation to consolidated operating income:
Reportable segment operating income
$ 2,154
$ 2,214
$ 7,798
$ 8,869
Other businesses (a)
(17)
(48)
(129)
(240)
Unallocated transactions (b)
2
4
9
8
Impact of purchase accounting (c)
(4)
(11)
(14)
(44)
Amortization of intangibles
(206)
(238)
(819)
(970)
Transaction-related expenses (d)
(3)
(6)
(12)
(22)
Stock-based compensation expense (e)
(203)
(228)
(878)
(931)
Other corporate expenses (f)
(232)
(498)
(744)
(899)
Total consolidated operating income
$ 1,491
$ 1,189
$ 5,211
$ 5,771
_________________
(a)
Other businesses consists of: 1) Dell’s resale of standalone VMware, Inc. products and services, “VMware Resale,” 2) Secureworks, and 3) Virtustream, and do not meet the requirements for a reportable segment, either individually or collectively.
(b)
Unallocated transactions includes other corporate items that are not allocated to Dell Technologies’ reportable segments.
(c)
Impact of purchase accounting includes non-cash purchase accounting adjustments that are primarily related to the EMC merger transaction.
(d)
Transaction-related expenses includes acquisition, integration, and divestiture related costs. From time to time, this category also may include transaction-related income related to divestitures of businesses or asset sales.
(e)
Stock-based compensation expense consists of equity awards granted based on the estimated fair value of those awards at grant date.
(f)
Other corporate expenses includes severance, impairment charges, incentive charges related to equity investments, payroll taxes associated with stock-based compensation, facilities action, and other costs.
SUPPLEMENTAL SELECTED NON-GAAP FINANCIAL MEASURES
These tables present information about the Company’s non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP net income, non-GAAP net income attributable to Dell Technologies Inc., non-GAAP earnings per share attributable to Dell Technologies Inc. – diluted, free cash flow and adjusted free cash flow, which are non-GAAP financial measures provided as a supplement to the results provided in accordance with generally accepted accounting principles in the United States of America (“GAAP”). A detailed discussion of Dell Technologies’ reasons for including these non-GAAP financial measures, the limitations associated with these measures, the items excluded from these measures, and our reason for excluding those items are presented in “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Non-GAAP Financial Measures” in our periodic reports filed with the SEC. Dell Technologies encourages investors to review the non-GAAP discussion in these reports in conjunction with the presentation of non-GAAP financial measures.
DELL TECHNOLOGIES INC.
Selected Financial Measures
(in millions, except per share amounts and percentages; unaudited)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
%
Change
February 2,
2024
February 3,
2023
Change
Net revenue (a)
$ 22,318
$ 25,039
(11) %
$ 88,425
$ 102,301
(14) %
Non-GAAP gross margin
$ 5,468
$ 5,971
(8) %
$ 21,444
$ 23,427
(8) %
% of non-GAAP net revenue
24.5 %
23.8 %
24.3 %
22.9 %
Non-GAAP operating expenses
$ 3,329
$ 3,801
(12) %
$ 13,766
$ 14,790
(7) %
% of non-GAAP net revenue
14.9 %
15.1 %
15.6 %
14.5 %
Non-GAAP operating income
$ 2,139
$ 2,170
(1) %
$ 7,678
$ 8,637
(11) %
% of non-GAAP net revenue
9.6 %
8.7 %
8.7 %
8.4 %
Non-GAAP net income
$ 1,610
$ 1,322
22 %
$ 5,245
$ 5,727
(8) %
% of non-GAAP net revenue
7.2 %
5.3 %
5.9 %
5.6 %
Non-GAAP earnings per share – diluted
$ 2.20
$ 1.80
22 %
$ 7.13
$ 7.61
(6) %
____________________
(a)
Effective in the first quarter of Fiscal 2023, non-GAAP net revenue no longer differs from net revenue, the most comparable GAAP financial measure.
Amounts are based on underlying data and may not visually foot due to rounding.
DELL TECHNOLOGIES INC.
Reconciliation of Selected Non-GAAP Financial Measures
(in millions, except percentages; unaudited; continued on next page)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
%
Change
February 2,
2024
February 3,
2023
%
Change
Gross margin
$ 5,316
$ 5,756
(8) %
$ 20,869
$ 22,686
(8) %
Non-GAAP adjustments:
Amortization of intangibles
84
99
331
414
Impact of purchase accounting
—
—
—
2
Stock-based compensation expense
37
40
149
152
Other corporate expenses
31
76
95
173
Non-GAAP gross margin
$ 5,468
$ 5,971
(8) %
$ 21,444
$ 23,427
(8) %
Operating expenses
$ 3,825
$ 4,567
(16) %
$ 15,658
$ 16,915
(7) %
Non-GAAP adjustments:
Amortization of intangibles
(122)
(139)
(488)
(556)
Impact of purchase accounting
(4)
(11)
(14)
(42)
Transaction-related expenses
(3)
(6)
(12)
(22)
Stock-based compensation expense
(166)
(188)
(729)
(779)
Other corporate expenses
(201)
(422)
(649)
(726)
Non-GAAP operating expenses
$ 3,329
$ 3,801
(12) %
$ 13,766
$ 14,790
(7) %
Operating income
$ 1,491
$ 1,189
25 %
$ 5,211
$ 5,771
(10) %
Non-GAAP adjustments:
Amortization of intangibles
206
238
819
970
Impact of purchase accounting
4
11
14
44
Transaction-related expenses
3
6
12
22
Stock-based compensation expense
203
228
878
931
Other corporate expenses
232
498
744
899
Non-GAAP operating income
$ 2,139
$ 2,170
(1) %
$ 7,678
$ 8,637
(11) %
Net income
$ 1,158
$ 606
91 %
$ 3,195
$ 2,422
32 %
Non-GAAP adjustments:
Amortization of intangibles
206
238
819
970
Impact of purchase accounting
4
11
14
44
Transaction-related (income) expenses
(5)
(14)
49
(16)
Stock-based compensation expense
203
228
878
931
Other corporate expenses
232
392
744
1,812
Fair value adjustments on equity investments
(83)
9
(47)
206
Aggregate adjustment for income taxes
(105)
(148)
(407)
(642)
Non-GAAP net income
$ 1,610
$ 1,322
22 %
$ 5,245
$ 5,727
(8) %
DELL TECHNOLOGIES INC.
Reconciliation of Selected Non-GAAP Financial Measures
(unaudited; continued)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
%
Change
February 2,
2024
February 3,
2023
%
Change
Earnings per share attributable to Dell
Technologies, Inc. – diluted
$ 1.59
$ 0.84
89 %
$ 4.36
$ 3.24
35 %
Non-GAAP adjustments:
Amortization of intangibles
0.28
0.32
1.11
1.29
Impact of purchase accounting
0.01
0.01
0.02
0.06
Transaction-related (income) expenses
(0.01)
(0.02)
0.07
(0.02)
Stock-based compensation expense
0.28
0.31
1.19
1.24
Other corporate expenses
0.32
0.53
1.01
2.41
Fair value adjustments on equity
investments
(0.11)
0.01
(0.06)
0.27
Aggregate adjustment for income taxes
(0.15)
(0.19)
(0.55)
(0.86)
Total non-GAAP adjustments attributable
to non-controlling interests
(0.01)
(0.01)
(0.02)
(0.02)
Non-GAAP earnings per share
attributable to Dell Technologies, Inc. –
diluted
$ 2.20
$ 1.80
22 %
$ 7.13
$ 7.61
(6) %
DELL TECHNOLOGIES INC.
Reconciliation of Selected Non-GAAP Financial Measures
(in millions, except percentages; unaudited; continued)
Three Months Ended
Fiscal Year Ended
February 2,
2024
February 3,
2023
%
Change
February 2,
2024
February 3,
2023
%
Change
Cash flow from operations
$ 1,533
$ 2,714
(44) %
$ 8,676
$ 3,565
143 %
Non-GAAP adjustments:
Capital expenditures and capitalized
software development costs, net (a)
(727)
(749)
(2,753)
(2,993)
Free cash flow
$ 806
$ 1,965
(59) %
$ 5,923
$ 572
935 %
Free cash flow
$ 806
$ 1,965
(59) %
$ 5,923
$ 572
935 %
Non-GAAP adjustments:
DFS financing receivables (b)
136
175
(309)
461
DFS operating leases (c)
68
127
(7)
500
Adjusted free cash flow
$ 1,010
$ 2,267
(55) %
$ 5,607
$ 1,533
266 %
____________________
(a)
Capital expenditures and capitalized software development costs is net of proceeds from sales of facilities, land, and other assets.
(b)
DFS financing receivables represents the operating cash flow impact from the change in financing receivables.
(c)
DFS operating leases represents the change in net carrying value of equipment for DFS operating leases.
View original content to download multimedia:https://www.prnewswire.com/news-releases/dell-technologies-delivers-fourth-quarter-and-full-year-fiscal-2024-financial-results-302076436.html
SOURCE Dell Technologies
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Penn Medicine, Children’s Hospital of Philadelphia team awarded Breakthrough Prize for developing gene therapy for inherited blindness
Published
33 minutes agoon
April 18, 2026By
LOS ANGELES, April 18, 2026 /PRNewswire/ — Their discovery started with a group of blind dogs living at a vet school. Now, the work has been awarded the prestigious Breakthrough Prize at the “Oscars of Science.”
Today, Jean Bennett, MD, PHD, and Albert Maguire, MD, both emeritus professors of Ophthalmology in the Perelman School of Medicine at the University of Pennsylvania, and Katherine High, MD, an emeritus professor of Pediatrics and the founding director of the Raymond G. Perelman Center for Cellular and Molecular Therapeutics at Children’s Hospital of Philadelphia (CHOP), received the Breakthrough Prize in Life Sciences for their work in developing the first FDA-approved gene therapy for an inherited condition, which dramatically improves sight in people with a form of blindness called Leber Congenital Amaurosis (LCA).
Their work blazed a trail for the more than 140 gene therapy trials for retinal conditions, including macular degeneration and diabetic retinopathy, diseases that collectively impact about 30 million people in the US. Eighty more trials are currently underway.
“Even 20 years ago, treating people with gene therapy was seen by some as an impossibility,” said Jonathan Epstein, MD, dean of the Perelman School of Medicine and executive vice president of the University of Pennsylvania for the Health System. “But this group of incredible physician-scientists persisted and created something that is providing sight to people who would have been completely blind as early as kindergarten. Their belief in the power of life-changing science has led to breathtaking results and richly deserved global recognition.”
The Breakthrough Prizes are called the “Oscars of Science” for their high-profile celebration of research and support from celebrities spanning numerous areas of pop culture. Created in 2012 by Sergey Brin, Priscilla Chan and Mark Zuckerberg, Yuri and Julia Milner, and Anne Wojcicki, the prizes are given out in five categories including Life Sciences, Fundamental Physics, and Math, each with an accompanying $3 million award.
This year’s accolade now means that nine Penn-affiliated researchers have received the Breakthrough Prize, tied for the most with Harvard University. The prior Penn Medicine award winners are Carl June, PhD (2024), Drew Weissman, MD, PhD, and Katalin Karikó, PhD (2022), and Virginia M.Y. Lee, PhD (2019). Additionally, Penn faculty members Charles Kane, PhD, and Eugene Mele, PhD, won the prize for Physics in 2019. Mathew Madhavacheril, PhD, an assistant professor of Physics and Astronomy in Penn’s School of Arts & Sciences, also received recognition at this year’s Breakthrough Prize ceremony when he was honored with the New Horizons in Physics award, given to researchers early in their careers.
“Science is rarely a straight path, and those who make the most profound discoveries are resilient and persistent, overcoming obstacles along the way,” said J. Larry Jameson, MD, PhD, president of the University of Pennsylvania. “That is exactly what I see in this year’s awardees, and it has been true of all our remarkable faculty who have been recognized for scientific breakthroughs. Whether they are discovering what lies beneath Alzheimer’s Disease, curing cancer by engineering a patients’ own immune cells, or reversing blindness—they have persisted with imagination and rigor. Their steadfastness has pushed the boundaries of what medicine can achieve.”
“Developing cell and gene therapies has long been a top priority for our organization,” said Madeline Bell, CHOP’s CEO. “This breakthrough is the result of decades of investment and collaboration, and reflects our commitment to translating scientific discoveries into therapies that will transform patients’ lives. It has paved the way for many more cell and gene therapy innovations and has given hope to families around the world.”
“They can see!”
Bennett and Maguire met and married during medical school in the 1980s. It was then that they both became intrigued by the concept of genetic therapy, the practice of replacing a mutated or faulty gene with a functional copy, and started dreaming of treating inherited forms of blindness with the technique, which at that time remained the stuff of science fiction.
It was “like thinking you wanted to go to the moon in 1950,” Maguire said many years later.
Both Bennett and Maguire joined Penn’s Scheie Eye Institute in the 1990s and began working on their ideas with lab mice. They learned that the University of Pennsylvania School of Veterinary Medicine housed a group of blind dogs who had a condition similar to the human disease: Leber congenital amaurosis (LCA). People born with a mutation on the RPE65 gene have poor vision starting at birth and often progress rapidly to complete blindness, usually by their 20s, but sometimes in early childhood.
The pair developed a therapy that used a virus as a transport, carrying a piece of DNA into cells that would then correct the faulty, blindness-causing proteins formed by the bad gene. The idea: Once the proteins were set right, some sight might return. First, they tested the therapy by injecting it into a single eye in each of three dogs.
It wasn’t long until they knew whether it worked. Bennett recalls receiving an excited phone call from a technician at the lab, who exclaimed, “They can see!”
Sure enough, the dogs were twirling around, using their treated eyes to see. Before treatment, the dogs had bumped and tripped through an obstacle course set up to test their sight. After the full treatment, the course was an easy task for the dogs.
A knock on the door
In parallel with Bennett and Maguire’s dreams of gene therapy, High was also working to bring the field forward. Like Bennett and Maguire, she had achieved long-term reversal of a serious genetic disease in a dog model: In her case, for hemophilia, a life-threatening bleeding disorder. High had advanced these studies from success in dogs to initial clinical trials in humans, delivering the donated gene into skeletal muscle and the liver.
The work was promising, but the human immune response to the gene delivery vessel—which was derived from a virus in the same way Bennett and Maguire’s therapy was—prevented sustained benefits from the therapeutic gene. At the same time, companies and investors, discouraged by high profile negative events, began to turn away from gene therapy. Progress stalled.
But with support from CHOP, High founded the Raymond G. Perelman Center for Cellular and Molecular Therapeutics (CCMT) in 2004. She recruited experts in all aspects of clinical gene therapy, including specialized knowledge in the manufacturing and release of gene therapy vectors, which are the particles that deliver a healthy copy of a defective gene to patients.
After vector production was set up at CHOP, High went to Bennett’s office and knocked on the door with a proposition to start a clinical trial in humans. In 2007, Maguire, who was then a surgeon in Pediatric Ophthalmology at CHOP, administered an injection of the experimental therapy at CHOP into a clinical trial participant – a 26-year-old woman—for the first time. Her twin, with the same condition, received the treatment shortly after.
When the team assessed the treatment of the 37 eligible participants from the original clinical trials, 72 percent reported the maximum possible improvement in a test of low-light conditions, which simulates night vision. Amid these, many reported improved peripheral and central vision, too. One patient, who could only detect changes in light, was suddenly able to navigate walking through Philadelphia at night, unaided, and could make out the clock on City Hall. Another patient was able to see a star for the first time in her life just six days after the procedure.
In 2017, the therapy—by then manufactured by Spark Therapeutics, a spinout from CHOP, and called Luxturna—received approval by the U.S. Food and Drug Administration. It became the first FDA approval of a genetic therapy for an inherited disease. Today, hundreds of people around the world have successfully received the treatment.
A celebration of decades of work
Today’s celebration in Los Angeles marks a celebratory milestone in roughly 40 years of work led by Bennett, Maguire, and High that has inspired others in the now vibrant field of gene therapy. In fact, a treatment stemming from High’s original work with hemophilia received FDA approval in 2024.
“We always just did what we thought you were supposed to do if you were a doctor: Find treatments for diseases,” said Maguire. “Both my father and Jean’s worked in science, and it seemed normal to try to push the envelope.”
“I think the only surprise for us was that things worked out so well,” Bennett said. “For every success, there are usually so many failures. That’s just the nature of science. But our team hit on something that has helped so many people and helped progress the field, and we’re really grateful for our part in that.”
High described the journey between the start of her collaboration with Bennett and Maguire in 2005 and the FDA approval in 2017 as “an arduous one.”
“At times, it seemed that the number of obstacles we needed to overcome to reach regulatory approval was never-ending,” High said. “Working without the benefit of the guidelines and precedents we now have today, we sought to solve each day’s problems so that the program would have a tomorrow. It was a bold and uncertain investment of time, effort, and resources. Few were willing to take on the risks, but it ultimately paid off, and it helped build the foundation of modern gene therapy.”
About Penn Medicine:
Penn Medicine is one of the world’s leading academic medical centers, dedicated to the related missions of medical education, biomedical research, excellence in patient care, and community service.
The organization consists of the University of Pennsylvania Health System and Penn’s Raymond and Ruth Perelman School of Medicine, founded in 1765 as the nation’s first medical school.
The Perelman School of Medicine is consistently among the nation’s top recipients of funding from the National Institutes of Health, with more than $588 million awarded in the 2024 fiscal year. Home to a proud history of “firsts,” Penn Medicine teams have pioneered discoveries that have shaped modern medicine, including CAR T cell therapy for cancer and the Nobel Prize-winning mRNA technology used in COVID-19 vaccines.
The University of Pennsylvania Health System cares for patients in facilities and their homes stretching from the Susquehanna River in Pennsylvania to the New Jersey shore. UPHS facilities include the Hospital of the University of Pennsylvania, Penn Presbyterian Medical Center, Chester County Hospital, Doylestown Health, Lancaster General Health, Princeton Health, and Pennsylvania Hospital—the nation’s first hospital, chartered in 1751. Additional facilities and enterprises include Penn Medicine at Home, GSPP Rehabilitation, Lancaster Behavioral Health Hospital, and Princeton House Behavioral Health, among others.
Penn Medicine is a $13.7 billion enterprise powered by more than 50,000 talented faculty and staff.
About Children’s Hospital of Philadelphia:
A non-profit, charitable organization, Children’s Hospital of Philadelphia was founded in 1855 as the nation’s first pediatric hospital. Through its long-standing commitment to providing exceptional patient care, training new generations of pediatric healthcare professionals, and pioneering major research initiatives, the hospital has fostered many discoveries that have benefited children worldwide. Its pediatric research program is among the largest in the country. The institution has a well-established history of providing advanced pediatric care close to home through its CHOP Care Network, which includes more than 50 primary care practices, specialty care and surgical centers, urgent care centers, and community hospital alliances throughout Pennsylvania and New Jersey. CHOP also operates the Middleman Family Pavilion and its dedicated pediatric emergency department in King of Prussia, the Behavioral Health and Crisis Center (including a 24/7 Crisis Response Center) and the Center for Advanced Behavioral Healthcare, a mental health outpatient facility. Its unique family-centered care and public service programs have brought Children’s Hospital of Philadelphia recognition as a leading advocate for children and adolescents. For more information, visit www.chop.edu.
Media Contacts:
CHOP PR Contact:
Ashley Moore
Moorea1@chop.edu
267-426-6071
Penn Medicine PR Contact:
Frank Otto
Frank.Otto@pennmedicine.upenn.edu
267-693-2999
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SOURCE Children’s Hospital of Philadelphia
Technology
Haloid Solutions Expands Access to Radio Equipment by Offering Flexible Financing and Leasing Solutions Named HaloidFLEX
Published
4 hours agoon
April 18, 2026By
NEW YORK, April 18, 2026 /PRNewswire/ — As part of Haloid Solutions’ long-term commitment to helping businesses and municipalities acquire critical communications equipment despite budgetary constraints, Haloid now offers specialized financing and leasing programs through its HaloidFLEX program.
Designed to ensure that companies and governments have the equipment they need without costly capital expenditures outlays, HaloidFLEX offers financing for equipment purchased directly from manufacturers or local radio dealers. HaloidFLEX financing offers zero percent and low-interest options as well as predictable monthly payments for qualified buyers. HaloidFLEX clients can even opt to incorporate extended support services and protections into their financing to prepare for accidents, theft, or equipment losses. This gives companies peace of mind with one low monthly payment.
For organizations that don’t want or need to own equipment long-term, the HaloidFLEX leasing program offers similar benefits with potential tax advantages. Companies can lease brand new equipment and upgrade or return it at lease-end as needed. For companies seeking flexible options – or those that are interested in upgrading to the latest technology as it becomes available – leasing makes perfect sense.
One of the added benefits of each program is that HaloidFLEX allows clients to bundle services and protections that would normally be billed separately. Accidental damage, theft, and loss protections can be put in place, so that there’s never a lapse in communication if a radio fails. Extended warranties are also available upon request, so companies can customize their financing and protection to fit their budget and safeguard their equipment simultaneously.
According to a Haloid Solutions spokesperson, “Bundling expenses simply makes sense. It reduces the need for multiple policies and flexes with organizations to ensure critical communication equipment is available when needed while guaranteeing that the company’s investment is protected for the life of the equipment.”
HaloidFLEX financing and leasing programs are available to qualified businesses and municipalities nationwide. To learn more or request a customized quote, visit HaloidSolutions.com.
About Haloid Solutions
Haloid Solutions is the go-to resource for U.S. businesses and municipalities in search of financing and leasing for two-way radios, walkie talkies, communications equipment, accessories, and services. Focused on reliability, affordability, and performance, Haloid strives to equip professionals in all communication-based industries with the resources they need most.
For more information about Haloid Solutions, or details about the HaloidFLEX financing or leasing programs, please visit https://haloidsolutions.com/collections/lmr-radio-financing-and-leasing-and-subscription-low-cost-payment-options-for-2-way-radio-equipment or contact us on our website.
View original content to download multimedia:https://www.prnewswire.com/news-releases/haloid-solutions-expands-access-to-radio-equipment-by-offering-flexible-financing-and-leasing-solutions-named-haloidflex-302746527.html
SOURCE HALOID SOLUTIONS
Technology
CAS Holdings Appoints Patrick McDermott as Chief Executive Officer
Published
5 hours agoon
April 18, 2026By
Leadership Transition Positions CAS Holdings for Continued Growth and Customer-Focused Innovation
FRANKLIN, Mass., April 18, 2026 /PRNewswire/ — CAS Holdings, a leader in industrial automation distribution, engineering, and integration, is pleased to announce that Patrick McDermott has been named Chief Executive Officer.
McDermott previously served as President and Chief Revenue Officer, where he played a key role in driving growth across the organization, strengthening customer relationships, and leading teams with a clear focus on execution and results.
In his new role as CEO, McDermott will lead CAS Holdings into its next phase of growth, building on the company’s strong foundation and continued commitment to delivering value to customers, partners, and employees.
“I’m honored to step into the role of CEO at CAS Holdings,” said McDermott. “Over the past year, I’ve had the opportunity to work alongside an incredible team, support our customers, and help drive the growth of our organization. I’m excited to build on that momentum as we move into our next chapter.”
CAS Holdings, through its divisions including iAutomation and RND Automation, delivers a full spectrum of industrial automation solutions – from product distribution and technical support to custom machine building and system integration. Serving OEM machine builders and end-users, the company brings deep expertise in motion control, robotics, and vision, along with value-added capabilities such as kitting, sub-assembly, panel building, and turnkey automation systems, acting as an extension of its customers’ engineering and production teams.
McDermott’s leadership will focus on advancing CAS Holdings’ strategic initiatives, strengthening its market position, and continuing to deliver innovative automation solutions that support customers across a wide range of industries.
“We have a strong foundation, a talented team, and a clear direction. I’m looking forward to what we’ll accomplish together,” McDermott said. “Our focus remains on supporting our customers with responsive, local expertise, strong supplier partnerships, and the engineering and production capabilities they rely on to keep their operations running and growing.”
About Complete Automation Solutions Holdings
Complete Automation Solutions Holdings (CAS Holdings) is dedicated to empowering industrial automation companies, including those in the packaging industry, to achieve optimal efficiency and success. With a diverse portfolio encompassing industrial distribution, panel building and assembly, system integration, and robotics, CAS Holdings provides comprehensive packaging machines and solutions tailored to meet industry needs. The company prioritizes strong partnerships, expert engineering, and innovative solutions, ensuring sustainable practices and continuous improvement. CAS Holdings envisions a future where its transformative automation solutions redefine industry standards and drive growth. Committed to transparency and collaboration, CAS Holdings aims to be the most trusted partner in the automation sector.
Press Contact:
Erika Jacques
508-838-8012
http://www.iautomation.com/
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SOURCE CAS Holdings, Inc.
Penn Medicine, Children’s Hospital of Philadelphia team awarded Breakthrough Prize for developing gene therapy for inherited blindness
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