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Dell quarterly earnings ride upgrade wave

The company has reported a 21 percent increase in earnings year-on-year for its first quarter, which were higher than Wall Street's expectations

Dell reported stronger-than-expected first quarter results, riding a cycle of corporate PC and server upgrades.

The company reported net income of $441m (£305m), or 22 cents a share, on revenue of $14.87bn, up 21 percent from a year ago, according to a statement. Given HP's strong results, Dell's earnings were not surprising. Dell's non-GAAP earnings were 30 cents a share. Wall Street was expecting Dell to report earnings of 26 cents a share on revenue of $14.27bn.

As for the outlook, Dell said that the second quarter is likely to resume normal seasonal patterns, which means sequential growth in the low single digits in the second quarter. The company also said that supplies remain tight.

For more on this story, see Dell: Corporate IT upgrade cycle fuels first quarter on ZDNet.com.