Dell Technologies delivered fiscal second-quarter revenue of approximately 58% year-over-year growth, with net income reaching $4.13 billion, or $6.34 per share, compared to $1.16 billion, or $1.70 per share, in the prior year period ended July 31. The company’s results substantially outpaced analyst expectations across multiple metrics.
The computer maker significantly raised its outlook for the fiscal third quarter and full year. For the coming quarter, Dell projected $6.50 in adjusted earnings per share on $49.0 billion in revenue, implying 81% growth and substantially exceeding analyst consensus estimates of $4.49 per share and $41.42 billion in revenue. The company’s revised full-year guidance now calls for $25.50 in adjusted earnings per share and $192 billion in revenue, compared to prior analyst expectations of $18.92 per share and $172.67 billion in revenue. This represented a notable increase from May guidance that had projected $17.90 in adjusted earnings per share and between $165 billion and $169 billion in revenue.
The Infrastructure Solutions Group, which focuses on data center hardware, generated $31.78 billion in second-quarter revenue, up 89% and exceeding analyst consensus. AI-optimized servers contributed $16.40 billion to that segment. Dell attributed much of its strong infrastructure performance to customer demand for computing capacity supporting artificial intelligence and agentic workflows, which it noted was generating incremental demand for traditional servers as well. Storage revenue increased nearly 26%, while traditional servers and networking equipment revenue jumped 122% to $10.53 billion. The Client Solutions Group contributed $15.03 billion in revenue, up 20% though slightly below analyst expectations, as the company emphasized shifting resources toward infrastructure.
Looking ahead, Dell projected $74 billion in AI-optimized server sales for the fiscal year, representing 200% growth and a significant revision from the 103% growth forecast made six months prior. During the quarter, the company secured a $9.7 billion contract to supply software to the U.S. military and received orders totaling $1.6 billion from cloud infrastructure provider Iren for Dell hardware featuring Nvidia chips. The stock gained 236% year to date through Tuesday’s close, substantially outpacing the S&P 500’s 11% gain over the same period.
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