Dell Raises Q3 Sales Forecast by $200 Million
The PC maker attributes its rising revenues to its success in drawing customers from its rivals.Dell Computer Corp. raised its third-quarter sales forecast $200 million to $9.1 billion, attributing its rising revenues to its success in drawing customers away from its rival PC makers amid what is generally viewed as a depressed industry. In a statement issued after the stock markets closed in New York Tuesday, the company, based in Round Rock, Texas, projected it would earn 21 cents per share for the three-month period ending Nov. 1, a 30 percent increase over the 16 cents per share it earned during the same quarter a year ago. Chairman Michael Dell attributed much of the earnings growth to increasing sales of enterprise systems and the companys success in slashing operating expenses.
"The companys momentum with customers remains broad-based, highlighted by growth in shipments of servers and storage systems," the executive said in a statement issued by the company Tuesday. The chief executive said the computer maker "will achieve more than $1 billion in cost savings this year from areas including product design, manufacturing and logistics, operating expenses, and warranty costs."