Dell Technologies Inc. (NYSE:DELL)

The financial data over multiple periods reveals several key trends and patterns related to revenue, expenses, and profitability.

Net Revenue and Segment Performance

Net revenue increased steadily from approximately 92.2 billion USD in early 2020 to a peak of 102.3 billion USD in early 2023, followed by a decline to 88.4 billion USD in early 2024, and then a recovery to 95.6 billion USD in early 2025. Product revenue showed a similar trajectory but with more volatility, peaking in early 2022 and early 2023, decreasing sharply in early 2024, and partly recovering thereafter. Services revenue fluctuated mildly, showing modest growth overall but with some variation across years.

Cost of Net Revenue and Gross Margin

Costs associated with products and services increased notably from 2020 through 2023, reflecting rising costs or expanded operations. This increase in costs outpaced revenue growth in later years, particularly in 2024, contributing to a contraction in gross margin. Gross margin dropped significantly from around 29 billion USD in 2020-2021 to about 21 billion USD by 2024-2025, indicating increased pressure on profitability at the gross level.

Operating Expenses and Operating Income

Operating expenses, including selling, general and administrative expenses as well as research and development, decreased substantially from 2020 to 2025. SG&A expenses dropped from over 21 billion USD to under 12 billion USD, and R&D expenses roughly halved initially but showed signs of a slight increase in the last reported year. This reduction in operating expenses helped sustain or improve operating income, which generally improved from 2.6 billion USD in 2020 to over 6.2 billion USD by 2025, despite the pressures on gross margin.

Non-Operating Items and Other Income

Investment income was small but positive with some fluctuations, while gains and losses on investments saw variability, including a notable loss in early 2023 and gains in earlier years. Interest expense declined steadily, indicating either lower debt levels or favorable interest rates. Foreign exchange impacts were consistently negative but reduced over time. Other non-operating items were volatile but generally minor in absolute impact. The company experienced one-time significant gains from business dispositions in early 2022 and faced a legal settlement loss in early 2023.

Income Before Taxes, Taxes, and Net Income

Income before income taxes improved overall from a small loss in 2020 to positive figures exceeding 5 billion USD by 2025, with some fluctuations in between. Income tax expense exhibited variability, with a substantial tax benefit recorded in 2020 but consistent expense figures thereafter, slightly decreasing over the periods. Net income from continuing operations followed a fluctuating pattern, peaking in early 2022, dipping in 2023, and recovering strongly by 2025. The impact of discontinued operations was recorded only once in 2022. The net income attributable to the company paralleled these trends, showing a notable increase after 2023 following a prior trough.

Non-Controlling Interests

The net income attributable to non-controlling interests declined notably over the period, moving from a significant negative impact in 2020 to a minor positive contribution by 2023-2025. This change likely reflects shifts in ownership or profit-sharing arrangements.

Overall, the company demonstrated revenue growth in the early periods followed by a decline and partial recovery. Cost pressures affected gross margins negatively, but strong control over operating expenses and interest costs contributed to improved operating income profiles. Non-operating gains and losses introduced some volatility. The net income trends indicate resilience with recovery after a temporary decline, and reductions in non-controlling interest impacts have improved the bottom-line attributable to the company. These patterns suggest a focus on cost management and operational efficiency in response to margin pressures and market changes.