Dell's Revenue, Profits Up In 4Q - InformationWeek

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Dell's Revenue, Profits Up In 4Q

Dell Computer reported a healthy fourth quarter today, with a net income of $425 million on revenue of $5.17 billion. Dell's financial growth in the quarter, however, was lower than the average growth for the company's 1999 fiscal year, ended Jan. 29.

Dell's net income was up 49% from the fourth quarter of 1998, and revenue rose 38%. The company's net income for the fiscal year was $1.46 billion, up 55% from fiscal 1998, and revenue increased 48% to $18.2 billion.

Dell is trying to increase its presence in the server market, which provides bigger profits than desktop systems, but its server business is growing considerably slower than its desktops. The company's desktop revenue grew 67% in the quarter, and portable systems revenue grew 22%, but its enterprise business grew just 11%. For the year, desktop revenue was up 71%; portables were up 20%; and enterprise systems were up 9%.

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