Dell's third quarter results slide and other PC industry

Dell's financial performance deteriorated with other personal computer industry in the third quarter, the company is eager to expand to other technical areas, in order to counteract the problems facing its main business.

Thursday can stay in fear, and may last for several years, Dell's enhanced concern. Reasons: long time rival Hewlett-Packard, Dell, like a lot of revenue from the PC, the machine has lost its appeal to consumers and corporate buyers cheaper smartphones and tablet PCs become more obsessed. A weak economy, particularly in Europe and China, has brought more challenges.

While investors prepare for a frustrating quarter, Dell's numbers slightly lower than analysts' expectations. Management the contusion spirit, further provides forecast in the fourth quarter of the fiscal year, the possibility Dell revenue fell by 13%, from the same period last year - even more than the decline in the most recent quarter suffered greater. This marks the fourth consecutive quarter, Dell compared to the same period last year, the magnitude of the decline in sales revenue this year to expand.

Doused any lingering hopes sobering outlook Microsoft, Dell may get a holiday sales lift from the release of Windows 8, a fundamental transformation of the powers of most PC operating system. In a conference call with analysts, Dell executives said they expected the PC market is still lackluster, at best, at least two quarters.

ISI Group analyst Brian Marshall (Brian Marshall) think that Dell a few years to rebound. He predicted that the study Thursday announced that Dell is "between a rock and a hard place."

Dell's stock price fell 15 cents, to $ 9.41 in after-hours trading results and forecast disappointing to go out. In the past nine months, the share price has fallen by nearly half the value, because it has become increasingly clear the company is unlikely to adapt quickly to a few swipes of the finger mellow, handheld devices control the growing demand.

In the most recent quarter, Dell's mobile service revenue 9% drop from the same period last year, while desktop PC sales fell 8%.

Overall, Dell's fiscal third-quarter sales revenue fell by 11%, from $ 1.372 billion U.S. dollars last year.

The company is headquartered in Round Rock, Texas, is still profitable, despite its retreat.

Dell's revenue was $ 475 million, or 27 cents per share, the end of the three months November 2. This accounted for a net income of $ 732 million, or 42 cents per share, a decrease of 47% in the same period last year.

If you do not have nothing to do certain fees and accounting fees, its ongoing business, Dell said, will receive 39 cents per share. This is below a penny from FactSet survey of analysts' average expectations.

The company's third-quarter sales revenue of approximately $ 170 million, below analysts' target.

In the quarter, Dell is expected to increase by 2-5% from the third quarter of the income. This means that the fourth-quarter revenue will be lower than 10-13% of the previous year same quarter. Part of the difference in steam from the fourth quarter of this year, a week less than the previous year. However, Dell also expects scheduled an additional $ 1.8 million to $ 2 million dollars from the recent $ 2.4 billion acquisition of the task software, which does not help last year.

Dell reiterated a previous forecast full year adjusted earnings per share of at least $ 1.70.

The company is trying to expand to large companies and government agencies selling software, technical consulting, data storage and computer servers to cope with the downturn of the PC business. All of these features to generate higher profits than selling computers and printers.

Dell's server and network operations announced last year 11% of revenue. It helps through several acquisitions.

Dell notebook and desktop computers at the same time, consumers have little interest, mainly because they tend to be a higher price than the other depends on the Windows PC operating system. The company said it recorded an operating loss of $ 65 million in sales of its equipment to consumers in the third quarter, compared to last year's operating profit of $ 99 million.