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Dell 2Q Sales, Earnings Hurt By Steep Drop In PC Sales

By Scott Campbell
August 21, 2012    6:33 PM ET

Page 2 of 2

Overall, Dell mobility products, including both commercial and consumer, fell 19 percent compared to the year-ago quarter, and desktop PCs fell 9 percent.

As far as sales by geography, revenue in the Americas was down 6 percent, EMEA down 7 percent, Asia-Pacific down 12 percent and BRIC (Brazil, Russia, India and China) was down 15 percent.

In the current quarter, Dell expects sales to decline 2 percent to 5 percent sequentially from the second quarter and said its full-year earnings outlook is now $1.70 per share on a non-GAAP basis.

For the current quarter, analysts were expecting earnings of 48 cents per share on sales of $14.86 billion before Dell updated its guidance Tuesday. For the full fiscal year, analysts were expecting non-GAAP earnings of $1.91 per share.

Dell shares closed at $12.34 Tuesday, down 22 cents or 1.8 percent. In after-market trading, shares fell to $11.78, down another 4.5 percent.

PUBLISHED AUG. 21, 2012

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