Dell Spin-off (VMWare) Notes

November 20, 2020 – Notes

  • Dell earnings jump on demand for remote work technology

    • Increased demand for desktops and notebook computers as more people are working from home.
    • Revenue increased 3% to $23.5BN, ahead of consensus expectations.
    • Adjusted EPS were $2.03, ahead of consensus at $1.42.
    • Client Solutions Group (desktop PCs, notebooks, and tablets) saw revenue up 8% y/y to $12.29BN.
      • Notebook orders increased 24%.
      • Commercial Chromebook orders doubled.
      • Premium laptops (XPS and Alienware) saw a 43% increase in orders.
    • Infrastructure Solutions Group (data center business) saw revenue decline by 4% y/y to $8.0BN.
    • VMWare reported revenue growth of 8% to $2.89BN.