Dell Inc. (NASDAQ: DELL) reported Tuesday that its first-quarter profit surged to $945 million, or 49 cents a share, from $341 million, or 17 cents a share, in the year-ago quarter. On an adjusted basis, the company earned 55 cents a share in the latest quarter. Revenue grew by 1% to $15 billion from $14.87 billion. Analysts, on average, expected the company to report earnings of 43 cents per share on revenue of $15.40 billion.
Looking ahead, Dell expects mid-single digit revenue growth in its second quarter, which is slightly above its normal, sequential seasonal growth of 2-3 percent. The Public business is expected to benefit from stronger spending among state and local governments and education customers as they close out their fiscal year. The company also expects its Small and Medium Business and Consumer businesses will experience above average seasonality due to the timing of demand for Dell's Sandy Bridge based offerings, a solid consumer back-to-school spending season and a refreshed portfolio of XPS products. Dell's updated outlook for fiscal 2012 includes revenue growth of 5-9 percent and an increase in non-GAAP operating income growth to 12-18 percent.
Dell Shares rallied more than 4% in Tuesday's after-hours trading.
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