Dell: Fiscal 3Q24 Financial Results

Revenue for storage only

(in $ million)	3Q23	4Q24	Growth	9 months 23	9 months 24	Growth
Revenue	4,429	3,843	*-13%*	*12,993*	*11,786*	*-9%*

Dell Technologies Inc. announces financial results for its fiscal 2024 third quarter ending November 3, 2023.

It delivered 3FQ24 total revenue of $22.3 billion, down 10%, with solid profitability and strong cash flow.

For storage, representing now 17% of global sales, the figures are worst compared to the former quarter (4.2 billion, down 3% Y/Y and up 11% Q/Q), as demand for this business was down as expected: revenue of $3.8 billion, down 8% Q/Q and 13% Y/Y, but with demand growth in data protection and PowerScale.

Nevertheless, the company saw storage margins improve Q/Q and Y/Y.

ISG (that includes storage) operating income was $1.1 billion or 12.6% of revenue, down 170 basis points, driven by a decline in revenue, partially offset by an increase in gross margin rate.

Dell F1 1701622078

FY24 sales will probably be less than $16 billion to be compared to $18 billion in FY23 and then becoming the lowest figure since FY19.

Here are the most recent financial results for storage of 5 big companies:

Company	Quarter	Revenue one year ago	Revenue	*Y/Y growth*
Dell	3FQ24	4,429	3,843	*-13%*
HPE	4FQ23	1,274	1,111	*-13%*
NetApp	2FQ24	1,633	1,562	*-6%*
Nutanix	1FQ24	434	511	*18%*
Pure Storage	3FQ24	676	763	*13%*
TOTAL		8,446	7,790	*-8%*
TOTAL former quarter		6,897	7,351	7%

For this representative sample, Y/Y growth is down 8%, meaning global storage revenue for the industry is decreasing, in comparison of 7% for the former 3-month period.

Storage revenue of Dell
(in $ million)

Period	Revenue	Y/Y growth
FY11*	2,295	5%
FY12*	1,943	-15%
FY13*	1,699	-13%
FY14*	1,518	-11%
FY15*	1,437	-5%
FY16*	2,217	54%
FY17**	8,942	303%
FY18	15,254	71%
FY19	16,767	10%
FY20	16,767	-0%
FY21	16,091	-4%
FY22	16,465	0%
1FQ23	4,237	9%
2FQ23	4,327	6%
3FQ23	4,429	11%
4FQ23	4,965	10%
FY23	17,958	9%
1FQ24	3,756	-11%
2FQ24	4,187	-3%
3FQ24	3,843	-13%

* Without EMC
**without EMC for 1FQ17 and 2FQ17 following acquisition for $63 billion

Earnings call transcript