Slide 1: Q2 FY27 Performance Review
S E P TE MB E R 1 , 2 0 2 6 Q2 FY27 Performance Review 1 Copyright © Dell Inc. All Rights Reserved.
Slide 2: Disclosures
Disclosures NON-GAAP FINANCIAL MEASURES SPIN-OFF OF VMWARE, INC. This presentation includes information about non-GAAP revenue, non-GAAP gross margin, On November 1, 2021, Dell Technologies Inc. completed its spin-off of VMware, Inc. In non-GAAP operating expenses, non-GAAP operating income, non-GAA
Slide 3: Quarterly Review & Guidance
Quarterly Review & Guidance 3 Copyright © Dell Inc. All Rights Reserved.
Slide 4: Q2 FY27 Overview
We're seeing the compounding benefits of our execution, competitive advantages, operating model, and broad portfolio Q2 FY27 • • Record revenue of $47.0B, up +58% Y/Y, fueled by growth across all our core businesses Record diluted EPS1 of $6.34, up +273% Y/Y, and record non-GAAP diluted EPS1,2 of $7
Slide 5: Q2 Highlights
Q2 Highlights Record revenue – up 58% Y/Y, record EPS1,2 – up 203%, the strength of our portfolio on display $ in millions, except per share amounts 2Q27 Y/Y Revenue 46,971 58% AI Opportunity Profitability Dell Operating Income 5,385 204% Strong AI server orders of Non-GAAP Operating Income, Technol
Slide 6: Cash flow and capital returns
Cash flow and capital returns Another strong quarter of cash generation with $2.2B CFOps, $8.1B Adj. FCF1, and record shareholder return of $4.3B CASH FLOW FROM Fiscal Quarter $12.5B TTM $12.2B $11.2B OPERATIONS CFOps Capital Return $7.5B $7.1B $2.2B -13 % Y/Y $2.5B $1.2B $4.7B $4.1B $2.2B Cash Flow
Slide 7: Guidance
Guidance Raised our full-year FY27 revenue guidance by $25B to $192B and increased non-GAAP diluted EPS3 to $25.50 3Q27 Guidance1,2 FY27 Guidance1,2 Revenue Non-GAAP Diluted EPS3 Revenue Non-GAAP Diluted EPS3 $49.0B ± $0.5B $6.50 ± $0.10 $192.0B ± $2.0B $25.50 ± $0.25 Up ~80% Y/Y Up ~150% Y/Y Up ~70
Slide 8: Infrastructure Solutions Group
Infrastructure Solutions Group 8 Copyright © Dell Inc. All Rights Reserved.
Slide 9: Infrastructure Solutions Group
Infrastructure Solutions Group ISG momentum continued with a second consecutive record quarter for both revenue and operating income $31.8B REVENUE $29.0B +89% Y/Y +181% Y/Y $19.6B Traditional server grew $16.8B $14.1B +73% Y/Y +122% Y/Y as demand Storage revenue grew +26% $31.8B +44% Y/Y +24% Y/Y c
Slide 10: AI Optimized Servers
AI Optimized Servers AI pipeline continues to expand with growing opportunities across Neocloud, Sovereign, and Enterprise customers Competitive Advantages Engineering Expertise Optimizing solutions at the data center level ~3x Y/Y 1 Rapid Scale Deployment Design to full installation to 1st token wi
Slide 11: Dell PowerRack - built for AI and HPC giga-scale
Dell PowerRack - built for AI and HPC giga-scale The most diverse portfolio of rack-scale infrastructure, purpose-designed for turnkey deployment, unified management, and streamlined operations at-scale PowerRack PowerRack PowerRack Comprehensive integration service options - Datacenter assessment s
Slide 12: Traditional server growth driven by data center modernization
Traditional server growth driven by data center modernization The strength and breadth of demand, combined with our continued share gains, demonstrate the competitiveness of our portfolio and the consistency of our execution Leading Mainstream Dell #2 • Gained ~10 points of share over the past decad
Slide 13: Storage growth driven by data center modernization
Storage growth driven by data center modernization Storage is becoming a more meaningful contributor to our growth and profitability – with growing Dell-IP mix, share gain, and accelerating product development External RAID High End Midrange AFA Unstructured PBBA ~20% of market ~65% of market (Data
Slide 14: Client Solutions Group
Client Solutions Group 14 Copyright © Dell Inc. All Rights Reserved.
Slide 15: Client Solutions Group
Client Solutions Group CSG revenue grew +20% Y/Y; PC growth continued driven by robust demand from large enterprises $15.0B $14.6B +20% Y/Y REVENUE $13.5B +17% Y/Y $12.5B $12.5B +14% Y/Y +1% Y/Y +3% Y/Y +22% Y/Y Commercial $15.0B growth, the eighth +7% Y/Y Consumer growth, the fourth consecutive qua
Slide 16: #1 in Client revenue and expanding
#1 in Client revenue and expanding Commercial premium remains our primary focus area, with opportunities to increase scale elsewhere Industry Unit Mix1 (IDC) Unit CAGR2 Dell Share Commercial Premium 18% Commercial • Dell share has grown within our 28% 8% 29% ⇧ ~6 pts Premium primary focus area Comme
Slide 17: Investment Thesis
Investment Thesis 17 Copyright © Dell Inc. All Rights Reserved.
Slide 18: Investment thesis: strategy and unique operating model
STRATEGY Attractive long- Investment We are leveraging our strengths to extend our leadership positions and capture new growth opportunities term financial framework2 thesis Leading end-to-end solutions portfolio1, with #1 positions 7 – 9% across Client, Peripherals, AI and Traditional Servers, and
Slide 19: Long-term financial framework
Long-term financial framework1 7 – 9% 11 – 14% Infrastructure Solutions Group • AI-driven growth Committed Revenue growth 2 – 3% Client Solutions Group • Share gain across businesses • Leverage strong go-to-market engine to long-term value 15%+ Non-GAAP Diluted EPS3 $7.61 $8.14 $10.30 +16% CAGR • •
Slide 20: Significant track record of shareholder return
Significant track record of shareholder return Multiple levers driving shareholder return with Non-GAAP Diluted EPS1 more than doubling over the last 5 fiscal years $18.3B cumulative return from dividend inception through FY26 (Non-GAAP) 5.5% CAGR (Non-GAAP) 16% CAGR $10.30 $7.5B Capital Return $113
Slide 21: Dell Technologies strategy
Dell Technologies strategy Leverage our strengths to extend our leadership and capture new growth Leading end-to-end solutions1 Industry’s largest GTM engine Client Business External Storage #1 Modern online Workstations Purpose-Built Backup Appliances Extensive direct Broad global and consumption P
Slide 22: We are applying AI to make our operating model even stronger
We are applying AI to make our operating model even stronger AI projects focus on what makes Dell differentiated … to deepen our competitive advantages Leading end-to-end solutions Industry’s largest GTM engine Coding Assistant Knowledge Assistant Sales Chat/Search Product Advisor Unique operating I
Slide 23: Appendix A
TRE NDE D FI NA NCI A L S Appendix A 23 Copyright © Dell Inc. All Rights Reserved.
Slide 24: Consolidated GAAP results
Consolidated GAAP results in millions, except per share amounts 2Q26 3Q26 4Q26 1Q27 2Q27 Y/Y Q/Q Revenue 29,776 27,005 33,379 43,842 46,971 58% 7% Gross Margin 5,447 5,593 6,730 7,782 9,830 80% 26% Gross margin as a % of revenue 18.3% 20.7% 20.2% 17.8% 20.9% Selling, general, and administrative 2,88
Slide 25: Consolidated non-GAAP results
Consolidated non-GAAP results1 in millions, except per share amounts 2Q26 3Q26 4Q26 1Q27 2Q27 Y/Y Q/Q Revenue 29,776 27,005 33,379 43,842 46,971 58% 7% Gross Margin 5,572 5,686 6,844 7,947 9,929 78% 25% Gross margin as a % of revenue 18.7% 21.1% 20.5% 18.1% 21.1% Selling, general, and administrative
Slide 26: Business units trending
Business units trending $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 Y/Y Q/Q Revenue 29,776 27,005 33,379 43,842 46,971 58% 7% Dell Operating Income 1,773 2,119 3,092 3,656 5,385 204% 47% Technologies Non-GAAP Operating Income 1 2,284 2,503 3,538 4,235 5,929 160% 40% ISG + CSG Revenue 29,303 26,585 33,096
Slide 27: Appendix B
DE B T A ND DFS S UMMA RY Appendix B 27 Copyright © Dell Inc. All Rights Reserved.
Slide 28: Debt summary
Debt summary $ in billions 1 2Q26 3Q26 4Q26 1Q27 2Q27 Revolver — — — — — Senior Notes 19.1 21.6 21.6 21.1 24.1 Legacy Notes 1.0 1.0 1.0 1.0 1.0 DFS Allocated Debt (3.7) (4.7) (5.5) (5.3) (11.0) Total Core Debt 2 16.3 17.9 17.0 16.7 14.0 Other 0.1 0.1 0.1 0.1 0.1 DFS Debt 8.8 8.9 9.1 9.3 9.6 DFS Allo
Slide 29: DFS summary
DFS summary $ in billions 2Q26 3Q26 4Q26 1Q27 2Q27 Originations 1 2.4 3.1 4.8 2.8 7.5 Y/Y — 94% 96% 71% 213% Trailing twelve months 8.1 9.6 11.9 13.1 18.2 Y/Y -5% 16% 42% 61% 125% Financing Receivables 2 12.0 13.2 14.3 14.0 20.4 Operating Leases 3 2.3 2.4 2.5 2.7 3.2 Total Managed Assets 4 15.0 15.8
Slide 30: Appendix C
S UP P L E ME NTA L NO N- G A A P ME A S URE S Appendix C 30 Copyright © Dell Inc. All Rights Reserved.
Slide 31: Supplemental non-GAAP measures: Gross margin
Supplemental non-GAAP measures Gross margin $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 GAAP gross margin 5,447 5,593 6,730 7,782 9,830 Amortization of intangibles 1 39 41 41 26 31 Stock-based compensation 37 38 43 44 43 Other corporate expenses 2 49 14 30 95 25 Total adjustments to gross margin 125 93 1
Slide 32: Supplemental non-GAAP measures: SG&A, R&D, operating expenses
Supplemental non-GAAP measures Selling, general, and administrative; research and development; and operating expenses $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 GAAP selling, general, and administrative 2,889 2,722 2,841 3,143 3,336 Amortization of intangibles 1 (86) (80) (84) (71) (65) Stock-based comp
Slide 33: Supplemental non-GAAP measures: Operating income
Supplemental non-GAAP measures Operating income $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 GAAP operating income 1,773 2,119 3,092 3,656 5,385 Non-GAAP adjustments: Amortization of intangibles 1 125 121 125 97 96 Stock-based compensation 179 165 189 189 184 Other corporate expenses 2 207 98 132 293 264
Slide 34: Supplemental non-GAAP measures: Interest and other
Supplemental non-GAAP measures Interest and other $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 GAAP interest and other, net: Investment income, primarily interest 64 72 89 81 81 Gain on investments, net 4 173 60 631 73 Interest expense (399) (396) (411) (391) (415) Foreign exchange (15) (37) (38) (17) (15
Slide 35: Supplemental non-GAAP measures: Income tax expense and net income
Supplemental non-GAAP measures Income tax expense and net income $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 GAAP income tax expense 276 393 540 510 998 Total aggregate adjustment for income taxes 1 73 (6) 33 191 9 Non-GAAP income tax expense 349 387 573 701 1,007 GAAP net income 1,164 1,548 2,259 3,438
Slide 36: Supplemental non-GAAP measures: Adjusted EBITDA
Supplemental non-GAAP measures Adjusted EBITDA $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 GAAP net income 1,164 1,548 2,259 3,438 4,133 Adjustments: Interest and other, net 333 178 293 (292) 254 Income tax provision 276 393 540 510 998 Depreciation and amortization 762 756 773 758 754 EBITDA 2,535 2,875
Slide 37: Adjusted free cash flow
Supplemental non-GAAP measures Adjusted free cash flow $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 Cash flow from operations 2,543 1,172 4,674 4,081 2,225 Adjustments: Capital expenditures and capitalized software development costs, net 1 (675) (666) (721) (963) (1,239) Free cash flow 1,868 506 3,953 3,1
Slide 38: Adjusted free cash flow
Supplemental non-GAAP measures Adjusted free cash flow $ in millions FY21 FY22 FY23 FY24 FY25 FY26 Cash flow from operations 11,407 10,307 3,565 8,676 4,521 11,185 Adjustments: Capital expenditures and capitalized software development costs, net 1 (2,062) (2,755) (2,993) (2,753) (2,563) (2,630) Free
Slide 39: Supplemental FY21 - FY26 non-GAAP Measures
Supplemental FY21 - FY26 non-GAAP Measures $ in millions, except per share amounts FY21 FY22 FY23 FY24 FY25 FY26 Revenue 86,670 101,197 102,301 88,425 95,567 113,538 Impact of purchase accounting 1 106 32 — — — — Non-GAAP revenue 86,776 101,229 102,301 88,425 95,567 113,538 Net income from continuin
Slide 40: Appendix D
S UP P L E ME NTA L FI NA NCI A L S TATE ME NTS Appendix D 40 Copyright © Dell Inc. All Rights Reserved.
Slide 41: Balance Sheet: Assets
Balance Sheet Assets $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 Current assets: Cash and cash equivalents 8,145 9,569 11,528 11,578 11,569 Accounts receivable, net 15,023 11,721 17,585 25,854 22,918 Short-term financing receivables, net 5,952 6,427 8,458 8,237 12,805 Inventories, net 7,211 6,949 10,437
Slide 42: Balance Sheet: Liabilities and equity
Balance Sheet Liabilities and equity $ in millions 2Q26 3Q26 4Q26 1Q27 2Q27 Current liabilities: Short-term debt 7,154 7,394 7,990 7,550 8,481 Accounts payable 27,463 23,794 33,630 45,261 49,723 Accrued and other 6,486 6,679 8,315 8,594 10,738 Short-term deferred revenue 13,759 12,649 13,334 13,193
Slide 43: Appendix E
G UI DA NCE Appendix E 43 Copyright © Dell Inc. All Rights Reserved.
Slide 44: Supplemental non-GAAP Measures: Financial guidance
Supplemental non-GAAP Measures Financial guidance1 3Q27 FY27 Diluted Diluted EPS EPS GAAP guidance $6.00 - $6.20 $24.12 - $24.62 Estimated adjustments for: Amortization of intangibles 2 0.15 0.60 Stock-based compensation 0.29 1.16 Other corporate expenses 3 — 0.84 Fair value adjustments on equity in
Slide 45: Appendix F
E ND NO TE S Appendix F 45 Copyright © Dell Inc. All Rights Reserved.
Slide 46: Endnotes
Endnotes Page 4: Q2 FY27 Overview 1. See supplemental slides in Appendix A for weighted average shares and EPS calculation. 2. See supplemental slides in Appendix C for reconciliation of non-GAAP measures to their most directly comparable GAAP measures. 3. Based on guidance as of September 01, 2026.
Slide 47: Endnotes
Endnotes Page 11: Dell PowerRack - built for AI and HPC giga-scale 1. Based on IDC data on CY25 rack-scale units sold worldwide. 2. Based on a Principled Technologies report commissioned by Dell, Accelerate AI time to value with Dell Services, May 2026. Actual results may vary. Page 12: Traditional
Slide 48: Endnotes
Endnotes Page 19: Committed to long-term value creation 1. Long-term financial guidance is provided on a non-GAAP basis. We cannot reasonably forecast certain items that are included in GAAP results. Refer to the discussion of non-GAAP financial measures at the beginning of the presentation for more
Slide 49: Dell Technologies
D@LL Technologies