Dell Technologies Inc (NASDAQ:DELL) shares jumped more than 9% in after-hours trading Thursday following a blockbuster fourth-quarter earnings report, fueled by soaring demand for AI-optimized servers.
For the quarter ending February 1, Dell reported revenue of $31.8 billion, up 32% year over year, and non-GAAP diluted earnings per share of $3.53, also up 32%.
Its Infrastructure Solutions Group, which houses server and networking operations, posted revenue of $18.82 billion, a 66% rise from a year earlier. Server and networking revenue more than doubled, climbing 112%, driven by strong AI server demand.
The company said its AI server backlog expanded to $22 billion.
Dell also reported record fourth-quarter revenue of $33.4 billion, with GAAP EPS of $3.37, up 57% year over year, and non-GAAP EPS of $3.89, up 45%. Cash flow from operations reached a record $4.7 billion.
Looking ahead, Dell forecast full-year FY27 revenue between $138 billion and $142 billion, implying 23% growth at the midpoint. First-quarter GAAP EPS is expected at $2.55, up 86% year over year, and non-GAAP EPS at $2.90, up 87%.
“FY26 was a defining year in our company’s history, with record full-year revenue of $113.5 billion, record EPS, and record cash generation,” said Jeff Clarke, vice chairman and chief operating officer.
“The AI opportunity is transforming our company. We closed more than $64 billion in AI-optimized server orders, shipped more than $25 billion throughout the year, and are entering FY27 with record backlog of $43 billion — powerful proof that our engineering leadership and differentiated AI solutions are winning.”