https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • Analytics
    • Artificial Intelligence
    • Cloud
    • Data Centers
    • Desktop
    • IoT
    • Mobility
    • Networking
    • Open Source
    • RMM/PSA
    • Security
    • Virtualization
    • Voice/Connectivity
  • Strategy
    • Back
    • Best Practices
    • Business Models
    • Channel 101
    • Channel Programs
    • Channel Research
    • Digital Transformation
    • Diversity & Inclusion
    • Leadership
    • Mergers and Acquisitions
    • Sales & Marketing
    • Specialty Practices
  • MSSP Insider
    • Back
    • Business of Security
    • Cloud and Edge
    • Endpoint
    • Network
    • People and Careers
    • Training and Policies
  • MSP 501
    • Back
    • 2021 MSP 501 Application
    • 2020 MSP 501 Rankings
    • 2020 Hot 101 Rankings
    • 2020 MSP 501 Report
  • Intelligence
    • Back
    • Our Sponsors
    • From the Industry
    • Content Resources
    • COVID-19 Partner Help
    • Galleries
    • Podcasts
    • Reports
    • Videos
    • Webinars
    • White Papers
  • EMEA
  • Awards
    • Back
    • Excellence in Digital Services
    • 2021 MSP 501
    • Top Gun 51
  • Events
    • Back
    • CP Conference & Expo
    • Channel Partners Evolution
    • Channel Evolution Europe
    • Channel Partners Event Coverage
    • Webinars
  • Channel Mentor
    • Back
    • Channel Market Intelligence
    • Channel Educational Series
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • Analytics
    • Artificial Intelligence
    • Cloud
    • Data Centers
    • Desktop
    • IoT
    • Mobility
    • Networking
    • Open Source
    • RMM/PSA
    • Security
    • Virtualization
    • Voice/Connectivity
  • Strategy
    • Back
    • Best Practices
    • Business Models
    • Channel 101
    • Channel Programs
    • Channel Research
    • Digital Transformation
    • Diversity & Inclusion
    • Leadership
    • Mergers and Acquisitions
    • Sales & Marketing
    • Specialty Practices
  • MSSP Insider
    • Back
    • Business of Security
    • Cloud and Edge
    • Endpoint
    • Network
    • People and Careers
    • Training and Policies
  • MSP 501
    • Back
    • 2021 MSP 501 Application
    • 2020 MSP 501 Rankings
    • 2020 Hot 101 Rankings
    • 2020 MSP 501 Report
  • Intelligence
    • Back
    • Our Sponsors
    • From the Industry
    • Content Resources
    • COVID-19 Partner Help
    • Galleries
    • Podcasts
    • Reports
    • Videos
    • Webinars
    • White Papers
  • EMEA
  • Awards
    • Back
    • Excellence in Digital Services
    • 2021 MSP 501
    • Top Gun 51
  • Events
    • Back
    • CP Conference & Expo
    • Channel Partners Evolution
    • Channel Evolution Europe
    • Channel Partners Event Coverage
    • Webinars
  • Channel Mentor
    • Back
    • Channel Market Intelligence
    • Channel Educational Series
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Digital Service Providers
  • Cloud Service Providers
  • CHANNEL PARTNERS ONLINE
 Channel Futures

Digital Transformation


Shutterstock

Thumbs up and down

Dell Technologies, Nutanix Report Ups and Downs in Earnings

  • Written by Lynn Haber
  • May 31, 2019
Both missed Wall Street's estimates, but there also are reasons for optimism.

Dell Technologies’ executives were pumped at their annual conference one month ago, having had a terrific fiscal 2019 (ended February 2019) — boasting revenue of about $91 billion, increased product sales and gains in market share. That was before earnings as a – once again – public company. The vendor’s latest earnings report (Q1 FY20) is a mixed bag.

The good news is that the company reported a profit of more than $1.2 billion, up 2.5% year over year. Revenue also was up, increasing 2.6% year over year, to a little more than $21.9 billion. However, analysts targeted $22.5 billion in revenue for the first quarter, so the vendor fell short of expectations.

Dell EMC's Joyce Mullen

Dell EMC’s Joyce Mullen

Taking a closer look at Dell’s operating segments, Infrastructure Solutions Group (ISG) revenue was $8.2 billion, a 5.4% decrease year over year. ISG accounts for more than 37% of total revenue.

The decline was attributed to a 9% loss in servers and networking revenue to $4.2 billion, and a 1% decline year over year in storage revenue, to $4 billion.

In February, Dell continued to emphasize to partners its push in storage, with the goal of closing out the year with a gain in market share. At that time, Joyce Mullen, president, global channel, OEM and IoT solutions, said the average number of lines of business, storage, servers and networking [and so on] being sold by partners was up by 10 percent.

The company’s Client Solutions Group (CSC) was up 6.2% year over year, accounting for more than $10.9 billion, and commercial revenue topped $8.3 billion — that’s 13% growth. The CSC represents almost one-half of total revenue.

In April, IDC reported better-than-expected performance for first-quarter PC shipments.

“Desktop PCs were surprisingly resilient as the commercial segment helped drive a refresh during the quarter,” said Jitesh Ubrani, research manager for IDC’s Mobile Device Trackers. “Capitalizing on this refresh cycle, the top vendors – HP, Lenovo, and Dell – each increased their year-over-year volume and captured additional share in the desktop PC market.”

Dell’s consumer revenues ($2.6 billion) took a 10% hit year over year.

The company’s increasingly tight relationship with VMware was one of the highlights at Dell Technologies World. VMware revenue was up 13%, to $2.3 billion.

Meantime, Nutanix, which has been struggling with transformation from a hardware/software HCI vendor to an HCI software-only vendor, reported revenue of less than $288 million for its fiscal third quarter, down by about $2 million from the year-ago quarter. That missed Wall Street’s estimate of $296 million.

The latest earnings report follows a 31% stock plummet, or almost $3 billion in market value, back in March. In early April, Channel Futures reported that both channel chief Rodney Foreman and Lou Attanasio, executive vice president and chief revenue officer, had left the company.

Nutanix's Dheeraj Pandey

Nutanix’s Dheeraj Pandey

“While we faced a top-line impact on our third quarter as we continue to execute our strategic shift toward a recurring-revenue business model, our strong foundation and commitment to our customers position us well for the long term,” said Dheeraj Pandey, chairman, founder and CEO of Nutanix.

The vendor reported an accelerated shift to subscription revenue, with quarterly billings increasing to 65% of total billings. That’s up 8 percentage points from the previous quarter, with revenue reaching $168.4 million, a year-over-year increase of 110%. New customer bookings represented 25% of total bookings compared with 29% last year.

Earlier this month, Nutanix and HPE signed a global agreement to deliver hybrid cloud as a service, leveraging Nutanix’s Enterprise Cloud OS software including its built-in, free AHV hypervisor delivered through HPE GreenLake. Product availability is expected sometime in the third quarter.

Tags: MSPs VARs/SIs Business Models Cloud Data Centers Desktop Digital Transformation Leadership Mobility Networking Sales & Marketing Security Strategy Virtualization

Related


  • Partner Program Update
    Palo Alto Networks Rolls Out Latest NextWave Partner Program
    NextWave 3.0 will help partners differentiate their services.
  • Computer network connection modern city future technology
    Juniper Networks Integrates Mist, 128 Offerings Following Acquisitions
    Juniper is baking AI into its recently acquired SD-WAN offering.
  • Hottest Ticket in Town
    Channel Partners Virtual 2021 Is the Hottest Ticket in Town
    And that means any town, since it’s 100% online. Will you be there?
  • VDI
    IGEL Integrates Amazon WorkSpaces DaaS with Its Virtual Endpoint OS
    Also, the new Arm-based Raspberry Pi, co-developed by Citrix, IGEL and NComputing, is generally available.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • Backup Vulnerability: 4 Targets Hackers Might Utilize to Infiltrate Your Backup Solution
  • OneLogin Hires Juniper Networks Vet to Lead Accelerate Partner Program
  • Datto Partners with ThreatLocker for Secure MSP Business Operations
  • Channel Partners Virtual 2021 Is Here — Take Advantage of the Amazing Content

Galleries

View all

Channel Partners Virtual 2021 Is the Hottest Ticket in Town

February 26, 2021

Industry Perspectives

View all

Backup Vulnerability: 4 Targets Hackers Might Utilize to Infiltrate Your Backup Solution

March 2, 2021

The “Roaring 20s” Are Coming

February 25, 2021

Three Ways MSPs Can Improve Supply Chain Security

February 24, 2021

Webinars

View all

A Partner’s Perspective on Channel Success in 2021

March 23, 2021

XDR and Why it Matters to MSPs

March 24, 2021

Top Security Trends Impacting Technology Security Providers In 2021

March 25, 2021

White Papers

View all

Ready To Add Cutting Edge IoT Solutions To Your Portfolio?

  • 1
February 25, 2021

What Is The Value Of Distribution For The Internet Of Things?

February 25, 2021

The Internet of Things (IoT): Where do You Begin?

  • 1
February 25, 2021

Upcoming Events

View all

Channel Partners Virtual

March 2, 2021 - March 4, 2021

Channel Partners Conference & Expo

November 1, 2021 - November 4, 2021

Videos and Fastchats

View all

FASTCHAT: How SOAR Eliminates Security Challenges and Elevates Service Provider Revenues

January 6, 2021

Happy Holidays from Channel Partners & Channel Futures!

December 21, 2020

FASTCHAT: How Old, Unpatched Technologies Are Creating New Security Threats for MSPs and Their Customers

December 3, 2020

Twitter

ChannelFutures

RT @ChannelEurope: @Arcserve and @StorageCraft agree to merge, expanding both #dataprotection vendors' market from #SMB to enterprise >> ht…

March 2, 2021
ChannelFutures

Learn how to protect your #backup files. @Datto #MSP #SMB #BCDR #cybersecurity #ransomware #businesscontinuity… twitter.com/i/web/status/1…

March 2, 2021
ChannelFutures

.@ExertisUK expands support for diverse workforce with #LGBTQ+ webinar, featuring guest speaker @_NatashaDevon… twitter.com/i/web/status/1…

March 2, 2021
ChannelFutures

#CPVirtual has arrived! Excited for speakers @channelsmart @jldelozier3 @jmcbain and more. dlvr.it/Rtm5yr https://t.co/MiwNsfGGLw

March 1, 2021
ChannelFutures

.@solarwinds incurring additional expenses in aftermath of massive hack. #cybersecurity dlvr.it/Rtlxzd https://t.co/CpBjkIEaus

March 1, 2021
ChannelFutures

.@IBM working with 65 partners for #CloudSatellite services. @IBMPartners dlvr.it/RtlmDC https://t.co/R6IzgklQ6c

March 1, 2021
ChannelFutures

NOW OPEN: 2021 Channel Futures MSP 501 Awards. ✍️ Start your online application today: bit.ly/2021MSP501. Ha… twitter.com/i/web/status/1…

March 1, 2021
ChannelFutures

Applying for the 2021 #MSP501? Check out our FAQs for everything you EVER wanted to know about applying & submittin… twitter.com/i/web/status/1…

March 1, 2021

MSSP Insider

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Channel Partners Online

Want more? Find more channel news and analysis on our sister site, Channel Partners.

Media Kit And Advertising

Want to reach our audience? Access our media kit

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Online
  • Channel Partners Events
  • MSP 501
  • MSSP Insider
  • IoT World Today
  • Webhostingtalk

WORKING WITH US

  • Contact
  • About us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2021 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X