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ROUND ROCK, Texas — Dell Technologies reported record second-quarter earnings, driven by surging demand for artificial intelligence infrastructure, but its weaker-than-expected third-quarter outlook sent shares lower in after-hours trading.
Revenue for the quarter reached $29.78 billion, up 19% year-over-year and exceeding analyst expectations of $29.17 billion. Adjusted earnings per share rose to $2.32, also up 19%, narrowly beating forecasts of $2.30.
“We’ve now shipped $10 billion of AI solutions in the first half of FY26, surpassing all shipments in FY25,” said COO Jeff Clarke. Dell raised its full-year AI server shipment guidance to $20 billion, citing continued strong demand.
The Infrastructure Solutions Group posted record revenue of $16.8 billion, up 44%, with Servers and Networking revenue jumping 69% to $12.9 billion. The Client Solutions Group saw modest growth, with revenue up 1% to $12.5 billion. Commercial sales rose 2%, while consumer sales fell 7%.
Despite the strong quarter, Dell’s Q3 guidance of $26.5–$27.5 billion in revenue and $2.45 EPS fell short of LSEG estimates of $2.55. The company expects a stronger Q4 due to seasonal trends.
Shares of Dell (NYSE: DELL) dropped 5.1% to $127.25 in after-hours trading, down from a close of $134.05. The company’s market capitalization now stands at $89.64 billion.
Dell_Campus-Dell-Headquarters-Picture-by-Jjpwik
