Dell Inc. (DELL: Quote) Tuesday said its profit for the second quarter declined 18 percent, hurt mainly by lower revenues.
Net income for the second quarter dropped to $732 million or $0.42 per share, from $890 million or $0.48 per share last year.
Adjusted net income for the quarter fell to $875 million or $0.50 per share from $1.01 billion or $0.54 per share last year. On average, 28 analysts polled by Thomson Reuters expected earnings of $0.45 per share for the quarter. Analysts' estimates typically exclude one-time items.
Revenues for the quarter dropped 8 percent to $14.48 billion from $15.66 billion last year, hurt mainly by lower sales of desktops. Analysts estimated revenues of $14.65 billion for the quarter.
Going forward, Dell expects third-quarter revenues to be down 2 to 5 percent from second-quarter levels. Analysts currently expect revenues of $14.86 billion for the quarter.
The company also revised its full-year adjusted earnings outlook to at least $1.70 per share, which includes a $0.02 to $0.03 per share impact from its pending acquisition of Quest Software. Analysts currently expect earnings of $1.91 per share for the full year.
Separately, Dell said Brad Anderson, President of Enterprise Solutions, has decided to resign to "seek new opportunities." Dell has appointed Marius Haas to succeed Anderson as president of Enterprise Solutions.
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by RTT Staff Writer
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