NEW YORK (TheStreet) -- Dell (DELL) comfortably beat analysts' estimates its fourth-quarter results after the market close Tuesday amid growing investor unrest about the company's $24.4 billion buyout deal.
The No. 3 PC maker reported revenue of $14.3 billion, down from $16 billion in the prior year's quarter. Analysts surveyed by Thomson Reuters were looking for $14.12 billion.
Excluding items, Dell earned 40 cents a share, down from 51 cents a share in the prior year's quarter, but above analysts' forecast of 39 cents a share."We continued to execute our long-term strategy in the fourth quarter, and realized a 6% increase in our enterprise solutions and services business," said Brian Gladden, Dell CFO, in the release. "We also continued to generate strong cash flow from operations of $1.4 billion in the quarter. Our strong balance sheet and cash position enabled the company to invest almost $5 billion in new capabilities and intellectual property this fiscal year, including great assets like Quest, SonicWall, Wyse and AppAssure." Dell noted particular strength in its networking business, where revenue grew 42%. The company, however, did not provide guidance for fiscal 2014 or the first quarter, citing the recent announcement to take Dell private. Wall Street had projected first-quarter earnings of 38 cents a share and revenue of $13.59 billion. For fiscal 2014, analysts surveyed by Thomson Reuters were looking for earnings of $1.66 a share and revenue of $55.95 billion. Speculation that Dell CEO and founder Michael Dell would face tricky questions about the buyout price during the earnings conference call proved unfounded. Thanks to his involvement in the buyout, Dell was absent from the call, which has handled by Gladden and Tom Sweet, the company's controller. At the outset of the call, the Round Rock, Texas-based firm said it would not address any buyout-related questions. Dell shares crept up 0.3% to $13.84 in extended trading. -- Written by James Rogers in New York Follow @jamesjrogers >To submit a news tip, send an email to: email@example.com.
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