Dell’s second-quarter earnings slide by 72%

Dell reported results that underscore the challenges facing the firm amid a decline in personal-computer sales, whatever the outcome of a vote next month on Michael Dell’s $24.9bn (€18.6bn) plan to go private.

Net income for the fiscal second quarter fell 72% to $204m, or 12c a share, from $732m, or 42c, a year earlier. Revenue for the quarter ended Aug 2 was little changed at $14.5bn. Analysts on average predicted profit of $275m on $14.2bn in sales.

The plunge in earnings bolsters the case made by Dell and Silver Lake Management LLC that shareholders should accept their proposal to restructure Dell as a private company.