Dell Technologies Reports Record Q3 2026 Revenue of $27.0 Billion, Non-GAAP EPS of $2.59

Dell Technologies (DELL.US) announced strong financial results for its fiscal third quarter ended October 31, 2025, reporting record third-quarter revenue of $27.0 billion, an 11% increase year-over-year. The company also achieved record non-GAAP diluted EPS of $2.59, marking a 17% rise compared to the prior year. These results exceeded analyst EPS estimates of $2.48, signaling a robust performance for the quarter.

Infrastructure Solutions Group Drives Growth

The Infrastructure Solutions Group (ISG) was a significant contributor to Dell's performance, reporting record third-quarter revenue of $14.1 billion, up 24% year-over-year. This segment's success was largely propelled by record Servers and Networking revenue, which surged by 37% to $10.1 billion. ISG's operating income also saw a healthy increase of 16%, reaching $1.7 billion.

Client Solutions Group Performance

The Client Solutions Group (CSG) delivered revenue of $12.5 billion, an increase of 3% year-over-year. Commercial Client revenue within CSG grew by 5% to $10.6 billion, indicating solid demand in the business sector. However, Consumer revenue decreased by 7% to $1.9 billion, resulting in CSG operating income remaining flat year-over-year at $748 million.

Accelerating AI Momentum and Outlook

Dell Technologies highlighted accelerating AI momentum, with AI server orders reaching a record $12.3 billion in the third quarter and an unprecedented $30 billion year-to-date. Management raised its full-year fiscal 2026 AI shipment guidance to roughly $25 billion, an increase of over 150% year-over-year, and full-year revenue guidance to $111.7 billion, up 17%. The company's five-quarter pipeline for AI orders is multiple times its $18.4 billion backlog, reflecting strong future growth prospects.