In regard to cost control actions, “In early June, we decided to pause external hiring except for a few strategic areas, just to be prudent as we try to think through, ‘What does the back half of the year look like?’” “Our selling prices are generally local currency.” As the dollar has strengthened, adjusting pricing “has been a careful balancing act,” Sweet says. “Fifty percent of Dell’s revenue comes internationally, and currency fluctuation has been pretty significant,” he says. “Now, obviously, the client space is a little softer than what we had thought, given the global economic dynamics that are going on,” he says.Īnother focus area is “making sure that our pricing strategies are appropriate for the market,” Sweet says. “So far, that’s played out.” The company continues to “invest in strategic growth areas like telecom and multi-cloud solution capabilities that we’re building out,” Sweet says. “And the infrastructure business (servers and storage) would be a bit stronger,” he says. But “coming into this year, we talked about how the PC demand environment would be a bit softer,” Sweet explains. In 2021, more remote work meant more demand for Dell’s desktops and laptops. Dell, based in Round Rock, Texas, recently reported Q2 revenue of $26.4B, representing a 9% growth rate year over year, driven by growth across the Client Solutions Group and Infrastructure Solutions Group, beating diluted EPS estimates. I talked with Sweet in person yesterday about how the Fortune 50 multinational tech company is finding growth opportunities amid a macro environment and hiring adjustments. “I’m optimistic about long-term technology trends,” Dell Technologies CFO Tom Sweet told me. “You and I both know, these days, there isn’t less, but more data getting created.”
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |