Dell Technologies Inc (NASDAQ:DELL) reported better-than-expected results for its second quarter.
The company, based in Round Rock, Texas, reported second-quarter revenue was $23.4 billion, up 2%, and non-GAAP revenue was $23.5 billion, up 1% over the same period last year. Operating income was $519 million compared to an operating loss of $13 million last year, and non-GAAP operating income was $2.7 billion compared to $2.1 billion in fiscal 2019.
Net income was $4.5 billion or 19.3% of revenue, non-GAAP net income was $1.8 billion or 7.5 percent of non-GAAP revenue, and adjusted EBITDA was $3.2 billion or 13.5% of non-GAAP revenue. Record cash flow from operations was $3.3 billion. Diluted earnings per share was $4.83 and non-GAAP diluted earnings per share was $2.15.
One Dell official was quoted as saying "We are in the early stages of a technology-led investment cycle. IT spending remains healthy and our business drivers remain strong.
"We are innovating and integrating across the Dell Technologies portfolio, from the edge to the core to the cloud, with a diverse business designed to succeed in any macro environment. For example, core Dell orders were up four percent in the quarter excluding China."
Dell ended the quarter with cash and investments balance of $10 billion. The company repaid approximately $2 billion of gross debt in the quarter and approximately $2.4 billion year-to-date.
Shares hurtled $4.55, or 9.7%, to $51.32
