DELL TECHNOLOGIES C 2024 Q1
Earnings Overview & AI Insights

Earnings Performance

Jeff Clarke, Chuck Whitten, Tom Sweet, Yvonne McGill, Robert L. Williams and Tyler W. Johnson will discuss Dell Technologies' fiscal year 2024 first quarter results. Rob Williams, head of Investor Relations, will give the go-ahead to the call. Earnings materials are available on our IR website, and I encourage you to review our materials and presentation, which includes additional content to complement our discussion this afternoon. Guidance will be covered on today's call. Chuck Whitten: Our Q1 results demonstrate our strong execution and the power of our model. In what was a challenging demand-driven backdrop, we executed extremely well. We maintained price discipline even as competitors continue to reduce excess channel inventory. We reduced inventory by approximately $800 million in Q1 and by $2.3 billion over the last year. Dell Technologies delivered revenue of $20.9 billion, down 20% with strong gross margins and operating cost management. We expect Q2 ISG spending to remain muted as customers scrutinize and prioritize spend, though customers continue to move forward with digital investments. We have confidence in the long-term health of our core markets. ISG revenue was $7.6 billion, down 18%, driven by soft demand in servers and storage. CSG operating income was $740million, or 9.7% of revenue, down 2 points. Commercial revenue and consumer revenue were $9.9 billion and $2.1 billion respectively. We expect Q2 revenue to be in the range of $20.2 billion and $21.2billion. We're maintaining our FY '24-year revenue expectations, down between 12% and 18%. We expect our Q2 diluted share count to be between 733 million and 738 million shares. Now I'll turn it back to Rob to begin Q&A.  Rob will begin to answer questions about his work on the book. Rob says he's been working on a new book called "Rob" Rob says it's a great way to talk to Rob about his book.