Tuesday, February 24, 2009

Dell Sees Further Softening in Global Information Technology Demand

When Dell announced Q2 financial results on Aug. 28, 2008, it reported continued conservatism in IT spending in the U.S., which had extended into Western Europe and several countries in Asia. The company is seeing further softening in global end-user demand in the current quarter.

Dell will continue to execute against its five growth priorities of global consumer, small and medium business, enterprise, notebooks and emerging countries. The company expects to incur costs as it realigns its business to improve competitiveness, reduce headcount and invest in infrastructure and acquisitions, but is committed to working aggressively on cost initiatives that will benefit its P&L over time with improved growth, profitability and cash flow. The company grew unit shipments faster than the industry in the first half of calendar 2008 and expects to grow faster than the industry for the full year.

Dell executives will address investors at the Bank of America 38th Annual Conference in San Francisco today. In addition, the company will report third quarter fiscal year 2009 results Nov. 20, 2008, after the close of market.

No comments: