Dell closes 2022 with revenue decline after laying off more than 6,000 workers

Dell Technologies, one of the leading names in the laptop industry, laid off more than 6,000 jobs last month in an effort to cut costs, driven by high inflation and rising interest rates. However, the company’s quarterly income report shows that the layoffs have not prevented the loss of income.

Dell announced 11 percent loss in revenue in the last quarter of 2022

Customers and businesses delaying system upgrades, rising borrowing costs and lower consumer spending impacted Dell’s growth. Making a statement recently, Dell announced that in the fourth quarter of 2022, which ended on February 3, total revenue fell 11 percent to $ 25.04 billion. However, the announced revenue loss exceeded the $23.39 billion Refinitiv consensus estimate from 12 analysts.

Revenue in the company’s infrastructure solutions group, which includes servers, storage devices and networking equipment, rose 7 percent in the last quarter, while commercial and consumer revenue, which reflects computer demand, fell 17 percent and 40 percent, respectively. However, the lifting of restrictions in China, which has an important market and is the frequently preferred supplier of electronic components, seems to relieve computer manufacturers this year despite weak demand.