Dell Technologies (DELL) reported its fiscal third-quarter 2026 results on Tuesday, showing revenue of $27 billion (approximately RMB 191.748 billion), a record high, driven by the strong surge in artificial intelligence (AI). Based on this performance, Dell not only raised its full-year guidance but also officially appointed David Kennedy as its new Chief Financial Officer.
This quarter, AI became the core growth engine, with the Infrastructure Solutions Group (ISG) generating $14.1 billion (approximately RMB 100.135 billion) in revenue, a 24% year-over-year increase. Server and networking revenue surged 37% to $10.1 billion (approximately RMB 71.728 billion), while storage revenue, though slightly down 1%, saw overall operating profit of $1.7 billion, a 16% year-over-year increase. In contrast, the Client Solutions Group (CSG) generated $12.5 billion (approximately RMB 88.772 billion) in revenue, a 3% year-over-year increase, while consumer business declined by 7%, reflecting the challenges of recovery in the PC consumer market.
The booming AI server market further confirms Dell's growth potential: Orders reached $12.3 billion this quarter, bringing the year-to-date total to $30 billion (approximately RMB 213.053 billion), with a backlog of $18.4 billion, covering customers from cloud service providers to enterprise clients. In terms of profitability, third-quarter diluted earnings per share (GAAP) were $2.28, a 39% year-over-year increase; non-GAAP earnings per share were $2.59, a 17% increase. The company's operating cash flow was $1.2 billion, returning $1.6 billion to shareholders.
Looking ahead, Dell has raised its full-year AI server shipment guidance to $25 billion, projecting a year-over-year increase of over 150%; the midpoint of its fiscal 2026 revenue guidance has been adjusted to $111.7 billion, projecting a 17% increase. Fourth-quarter revenue is projected to be between $31 billion and $32 billion, a year-over-year increase of approximately 32%.
