In the third fiscal quarter ended October 28, 2016, Dell Technologies Inc., which published its quarterly reports for the first time after the completion of the merger with EMC Corp (NYSE: EMC), increased revenue, but recorded an operating loss.
According to the Dell press release, reporting for the third fiscal quarter includes the indicators of Dell itself, as well as the results of EMC and VMware for 52 days (from the date of closing of the deal on September 7, to the end of Dell fiscal quarter).
The revenues for the quarter increased by 28% to $ 16.25 billion, where the Dell's own revenue has not changed, but the growth rate is due to the deal with EMC.
Dell operating loss amounted to $1.5 billion compared with a loss of $78 million for the same period a year earlier.
"In general, the past quarter was strong for us, on revenue of $ 16.2 billion - said Chief Financial Officer at Dell Technologies, Tom Sweet. – The focus on customer needs determines our immediate priorities, which include the successful integration of the sales staff, as well as creating synergies through the optimization of cross-selling."
Dell Operating expenses in the quarter soared 145% to $ 5.4 billion, according to a press release.
Dell closed the merger with EMC amount to about $67 billion on September 7, 2016. For this, the company was forced to sell a number of assets: in March it sold Dell Services unit for $ 3.1 billion and in June it sold Dell Software Group for $ 2.4 billion.
As for the US stock market, it closed Friday session higher due to the strengthening of the health sector, consumer goods and utilities.
At the close on the New York Stock Exchange, Dow Jones rose 0.72%, reaching historic highs, S & P 500 rose 0.59%, and NASDAQ Composite index rose 0.50%.