DELL TECHNOLOGIES INC. | |||||||||||||||||||
Condensed Consolidated Statements of Income (Loss) and Related Financial Highlights | |||||||||||||||||||
(in millions, except percentages; unaudited) | |||||||||||||||||||
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| Three Months Ended |
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| Six Months Ended |
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| August 2, 2019 |
| August 3, 2018 |
| Change |
| August 2, 2019 |
| August 3, 2018 |
| Change | ||||||||
Net revenue: |
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Products | $ | 18,110 |
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| $ | 18,149 |
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| —% |
| $ | 34,864 |
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| $ | 34,820 |
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| —% |
Services | 5,260 |
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| 4,793 |
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| 10% |
| 10,414 |
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| 9,478 |
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| 10% | ||||
Total net revenue | 23,370 |
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| 22,942 |
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| 2% |
| 45,278 |
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| 44,298 |
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| 2% | ||||
Cost of net revenue: |
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Products | 13,889 |
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| 14,943 |
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| (7)% |
| 26,968 |
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| 28,549 |
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| (6)% | ||||
Services | 2,155 |
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| 1,876 |
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| 15% |
| 4,187 |
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| 3,748 |
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| 12% | ||||
Total cost of net revenue | 16,044 |
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| 16,819 |
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| (5)% |
| 31,155 |
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| 32,297 |
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| (4)% | ||||
Gross margin | 7,326 |
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| 6,123 |
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| 20% |
| 14,123 |
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| 12,001 |
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| 18% | ||||
Operating expenses: |
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Selling, general, and administrative | 5,578 |
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| 4,961 |
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| 12% |
| 10,649 |
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| 9,905 |
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| 8% | ||||
Research and development | 1,229 |
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| 1,175 |
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| 5% |
| 2,405 |
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| 2,262 |
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| 6% | ||||
Total operating expenses | 6,807 |
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| 6,136 |
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| 11% |
| 13,054 |
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| 12,167 |
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| 7% | ||||
Operating income (loss) | 519 |
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| (13) |
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| NM |
| 1,069 |
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| (166) |
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| 744% | ||||
Interest and other, net | (630) |
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| (455) |
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| (38)% |
| (1,323) |
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| (925) |
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| (43)% | ||||
Loss before income taxes | (111) |
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| (468) |
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| 76% |
| (254) |
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| (1,091) |
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| 77% | ||||
Income tax benefit | (4,616) |
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| (7) |
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| NM |
| (5,088) |
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| (92) |
|
| NM | ||||
Net income (loss) | 4,505 |
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| (461) |
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| NM |
| 4,834 |
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| (999) |
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| 584% | ||||
Less: Net income attributable to non-controlling interests | 816 |
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| 38 |
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| NM |
| 852 |
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| 136 |
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| 526% | ||||
Net income (loss) attributable to Dell Technologies Inc. | $ | 3,689 |
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| $ | (499) |
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| 839% |
| $ | 3,982 |
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| $ | (1,135) |
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| 451% |
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Percentage of Total Net Revenue: |
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Gross margin | 31 | % |
| 27 | % |
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| 31 | % |
| 27 | % |
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Selling, general, and administrative | 24 | % |
| 22 | % |
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| 24 | % |
| 22 | % |
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Research and development | 5 | % |
| 5 | % |
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| 5 | % |
| 5 | % |
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Operating expenses | 29 | % |
| 27 | % |
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| 29 | % |
| 28 | % |
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Operating income (loss) | 2 | % |
| — | % |
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| 2 | % |
| — | % |
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Loss before income taxes | — | % |
| (2) | % |
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| (1) | % |
| (3) | % |
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Net income (loss) | 19 | % |
| (2) | % |
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| 11 | % |
| (2) | % |
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Income tax rate | 4158.6 | % |
| 1.5 | % |
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| 2003.1 | % |
| 8.4 | % |
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