Financial Data and Key Metrics Changes - For FY 2026, the company achieved record revenue of $113.5 billion, a 19% increase year-over-year, and EPS grew by 27% to $10.30 [5][25] - Q4 revenue reached $33.4 billion, up 39%, with EPS increasing by 45% to $3.89, driven by demand for AI solutions [6][15] - Operating income grew 32% to $3.5 billion, representing 10.6% of revenue, while net income increased by 36% to $2.6 billion [16] Business Line Data and Key Metrics Changes - ISG revenue was a record $19.6 billion, up 73%, marking eight consecutive quarters of double-digit growth [16] - AI server demand remained exceptional, with Q4 orders of $34.1 billion and shipments of $9.5 billion, leading to an ending backlog of $43 billion [16][21] - Traditional server revenue was $5.9 billion, up 27%, while storage revenue was $4.8 billion, up 2%, with strong demand across the Dell IP portfolio [17] Market Data and Key Metrics Changes - The company gained share in the PC business and saw strong demand growth across all regions for traditional servers [6][8] - CSG revenue grew 14% to $13.5 billion, with commercial revenue up 16% and consumer revenue roughly flat [18] - The company is experiencing a dynamic environment with unprecedented AI demand creating sustained supply tightness [11][12] Company Strategy and Development Direction - The company is focused on capitalizing on the AI opportunity, with a goal of $50 billion in AI revenue for FY 2027, reflecting a 100% year-over-year growth [21][22] - The strategy includes maintaining pricing discipline and transitioning to Dell IP storage to enhance margins [22][23] - The company aims to modernize its operating model with AI, simplifying and automating processes to drive efficiency [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's ability to generate strong cash flow and maintain profitability despite rising input costs [20][54] - The company anticipates continued strong demand for AI solutions and is well-positioned to meet customer needs [21][22] - Management highlighted the importance of agility in navigating supply chain challenges and maintaining operational efficiency [13][70] Other Important Information - The company returned $7.5 billion to shareholders in FY 2026, including repurchasing 54 million shares, more than double the previous year [5][19] - The board approved a 20% increase in the annual dividend to $2.52 per share, reflecting confidence in future cash generation [19][20] Q&A Session Summary Question: Follow-up on AI servers performance - Management noted extraordinary demand with $34 billion in orders and a growing five-quarter pipeline across all customer types [31] Question: Profitability of AI servers and impact of rising memory prices - Management confirmed maintaining mid-single-digit operating margins for AI servers and discussed pricing strategies to stabilize margins in traditional servers and CSG [36][38] Question: Growth in traditional servers and AI workloads - Management indicated strong demand for traditional servers, with significant efficiencies gained from upgrading older technology [44] Question: Expectations for cash flow in FY 2027 - Management expects strong cash flow performance, maintaining commitments to shareholders with a focus on returning capital [54][55] Question: Memory price inflation assumptions for FY 2027 - Management discussed the expected inflation in memory prices and the strategies implemented to protect profitability [66][70] Question: Breakdown of AI order backlog - Management clarified that the $43 billion backlog is predominantly from Grace Blackwell, with no Vera Rubin included [93]

Financial Data and Key Metrics Changes - For FY 2026, the company achieved record revenue of $113.5 billion, a 19% increase year-over-year, and EPS grew 27% to $10.30 [5][25] - Q4 revenue reached $33.4 billion, up 39%, with EPS at $3.89, reflecting a 45% increase [6][15] - Operating income grew 32% to $3.5 billion, representing 10.6% of revenue, driven by higher revenue [16] - Net income increased 36% to $2.6 billion, primarily due to stronger operating income [16] Business Line Data and Key Metrics Changes - ISG revenue was a record $19.6 billion, up 73%, marking eight consecutive quarters of double-digit growth [16] - AI server orders reached $34.1 billion in Q4, with shipments of $9.5 billion and a backlog of $43 billion [7][16] - Traditional server revenue was $5.9 billion, up 27%, with demand significantly outpacing supply [17] - Storage revenue was $4.8 billion, up 2%, with strong demand across the Dell IP portfolio [17] Market Data and Key Metrics Changes - The company gained share in the PC business and saw strong margins in traditional servers and storage [5][6] - CSG revenue grew 14% to $13.5 billion, with commercial revenue up 16% [18] - Consumer revenue was roughly flat at $1.9 billion, supported by strength in gaming [18] Company Strategy and Development Direction - The company is focusing on AI opportunities, with a goal of $50 billion in AI revenue for FY 2027, reflecting about 100% growth year-over-year [21] - The strategy includes maintaining pricing discipline and transitioning to Dell IP storage to enhance margins [22] - The company aims to modernize its operating model with AI, simplifying and automating processes [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's ability to generate strong cash flow and maintain profitability despite rising input costs [20][22] - The operating environment remains dynamic, with unprecedented AI demand creating supply tightness [11][12] - The company anticipates continued strong demand for AI solutions and is well-positioned to capitalize on this trend [5][21] Other Important Information - The company returned $7.5 billion to shareholders in FY 2026, including repurchasing 54 million shares [19][25] - The board approved a $10 billion increase in share repurchase authorization, reflecting confidence in the business [20] Q&A Session Summary Question: Follow-up on AI servers performance - Management highlighted extraordinary demand with $34 billion in orders and a growing five-quarter pipeline across all customer types [31] Question: Profitability of AI servers and impact of rising memory prices - Management maintained mid-single-digit operating margins for AI servers and noted stable profitability in traditional servers despite rising input costs [36][38] Question: Growth in traditional servers and AI workloads - Management confirmed strong double-digit growth in traditional servers, with AI workloads increasingly being deployed on x86 platforms [44][46] Question: Expectations for cash flow in FY 2027 - Management expects strong cash flow, maintaining commitments to return capital to shareholders [54][55] Question: Customer purchasing behavior amid price increases - Management observed a shift in customer behavior, with increased urgency to secure supply amid rising costs [84][87] Question: Breakdown of AI order backlog - The $43 billion backlog is predominantly from Grace Blackwell, with no Vera Rubin orders included [93]

Financial Data and Key Metrics Changes - For FY 2026, the company achieved record revenue of $113.5 billion, a 19% increase year-over-year, and EPS grew 27% to $10.30 [4][24] - Q4 revenue reached $33.4 billion, up 39%, with EPS increasing 45% to $3.89, driven by demand for AI solutions [5][15] - Operating income grew 32% to $3.5 billion, representing 10.6% of revenue, while net income rose 36% to $2.6 billion [16] Business Line Data and Key Metrics Changes - ISG revenue was a record $19.6 billion, up 73%, marking eight consecutive quarters of double-digit growth [16] - AI server orders in Q4 totaled $34.1 billion, with shipments of $9.5 billion and an ending backlog of $43 billion [6][17] - Traditional server revenue was $5.9 billion, up 27%, while storage revenue was $4.8 billion, up 2% [17] Market Data and Key Metrics Changes - The company gained share in the PC business and saw strong margins in traditional servers and storage [4] - CSG revenue grew 14% to $13.5 billion, with commercial revenue up 16% and consumer revenue roughly flat [18] - Demand for traditional servers significantly outpaced supply, with double-digit growth across all regions [8] Company Strategy and Development Direction - The company is focusing on AI opportunities, having closed $64.1 billion in AI orders for FY 26, and is positioning itself for the AI era [4][6] - The strategy includes modernizing traditional server infrastructure and expanding the Dell IP storage portfolio [9][60] - The company plans to maintain pricing discipline while navigating a dynamic supply environment [12][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's ability to generate strong cash flow and return capital to shareholders, with a focus on durable shareholder value [24] - The outlook for FY 2027 includes expected revenue growth of 23% at the midpoint, driven by AI demand and a strong backlog [21][22] - Management noted that the operating model is designed to adapt quickly to changing market conditions, leveraging lessons learned from previous cycles [12][70] Other Important Information - The company returned $7.5 billion to shareholders in FY 26, including repurchasing 54 million shares [4][19] - The board approved a $10 billion increase in share repurchase authorization and raised the annual dividend by 20% [19] Q&A Session Summary Question: Follow-up on AI servers and memory price impacts - Management confirmed that they maintained mid-single-digit operating margins despite significant order growth and are optimistic about future growth opportunities [28][30] Question: Profitability of AI servers and rising memory prices - Management indicated that they can operate AI servers at mid-single-digit margins and have adjusted pricing strategies to stabilize margins in response to rising input costs [34][36] Question: Traditional servers growth and AI workloads - Management noted that traditional servers are experiencing strong demand, with AI workloads increasingly being deployed on x86 platforms [44][45] Question: Purchasing behavior and price increases - Management observed that customers are reacting to price increases by prioritizing access to supply, leading to some pull-forward behavior in purchasing [81][86] Question: Breakdown of AI order backlog - The $43 billion backlog is predominantly from Grace Blackwell, with no Vera Rubin orders included, and management is focused on converting the five-quarter pipeline into purchase orders [92][95]

F E B R U A R Y 2 6 , 2 0 2 6 Q4 FY26 Performance Review 1 Copyright © Dell Inc. All Rights Reserved. Disclosures NON-GAAP FINANCIAL MEASURES This presentation includes information about non-GAAP revenue, non-GAAP gross margin, non-GAAP operating expense, non-GAAP operating income, non- GAAP interest and other, net, non-GAAP income tax, non-GAAP net income, non- GAAP net income attributable to Dell Technologies Inc., non-GAAP earnings per share - basic and non-GAAP earnings per share - diluted, as well as a ...

Financial Data and Key Metrics Changes - Total revenue reached $27 billion, up 11% year-over-year, with year-to-date revenue up 12% [5][12] - Earnings per share (EPS) increased 17% to $2.59, driven by improved profitability in AI and storage [5][13] - Gross margin rose 4% to $5.7 billion, or 21.1% of revenue, primarily due to a shift towards AI servers [12][14] - Operating income grew 11% to $2.5 billion, or 9.3% of revenue, supported by higher revenue and lower operating expenses [12][14] Business Line Data and Key Metrics Changes - Infrastructure Solutions Group (ISG) revenue was a record $14.1 billion, up 24%, marking seven consecutive quarters of double-digit growth [14] - Client Solutions Group (CSG) revenue increased 3% to $12.5 billion, with commercial revenue up 5% [15] - AI server orders reached $12.3 billion in the quarter, with year-to-date orders totaling $30 billion [7][14] - Storage revenue was $4 billion, down 1%, but demand for Dell's IP portfolio remained strong, particularly in PowerStore [8][14] Market Data and Key Metrics Changes - Demand for traditional servers grew double digits, particularly in EMEA and North America [8] - International growth in CSG accelerated sequentially, up double digits year-over-year [9] - The backlog for AI servers reached a record $18.4 billion, indicating strong future demand [7][14] Company Strategy and Development Direction - The company aims to capitalize on AI infrastructure buildouts and the ongoing PC refresh cycle [11][19] - Focus on engineering bespoke, high-performance solutions and rapid deployment capabilities in AI [11] - Continued emphasis on operational discipline and capital returns to shareholders [6][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current commodity supply environment, expecting Q4 to remain largely unchanged from Q3 [10][19] - The outlook for Q4 includes revenue guidance between $31 billion and $32 billion, with ISG expected to grow mid-60s percentage [17] - Management remains optimistic about the AI business, supported by a strong backlog and pipeline [18][19] Other Important Information - The company returned $1.6 billion to shareholders, including share repurchases and dividends [15][16] - The core leverage ratio stands at 1.6x, indicating a strong balance sheet [15] Q&A Session Summary Question: Customer reaction to pricing discussions across product categories - Management acknowledged the unique situation of rising costs across all products and emphasized their experience in navigating such cycles [24][26] Question: Impact of NVIDIA's vertical integration on Dell's strategy - Management remains confident in their ability to differentiate and deliver complex solutions at scale, despite potential changes in the supply chain [36][38] Question: AI server margins and future expectations - AI server margins improved sequentially, with expectations to maintain mid-single-digit margins moving forward [42][44] Question: Outlook on the PC refresh cycle - Management highlighted that the Windows 11 transition is not complete, presenting significant upgrade opportunities [51][52] Question: AI business growth and financing issues - Management expressed strong conviction in AI demand across various customer segments, with a robust pipeline supporting future growth [58][61] Question: ISG margins and future guidance - ISG margins improved significantly, driven by strong demand for Dell's IP storage portfolio and pricing discipline [70][72] Question: Traditional server demand and upgrade cycle - Management noted that a significant portion of the install base consists of older generation servers, indicating ongoing modernization opportunities [76][77]

Financial Data and Key Metrics Changes - Total revenue reached $27 billion, up 11% year-over-year, with year-to-date revenue up 12% [5][12] - Earnings per share (EPS) increased 17% to $2.59, driven by improved profitability in AI and storage [5][12] - Gross margin rose 4% to $5.7 billion, or 21.1% of revenue, primarily due to a mix shift to AI servers [12][14] - Operating income grew 11% to $2.5 billion, or 9.3% of revenue, supported by higher revenue and lower operating expenses [12][14] Business Line Data and Key Metrics Changes - Infrastructure Solutions Group (ISG) revenue was a record $14.1 billion, up 24%, marking seven consecutive quarters of double-digit growth [13][14] - Client Solutions Group (CSG) revenue increased 3% to $12.5 billion, with commercial revenue up 5% and consumer revenue down 7% [9][14] - AI server orders reached a record $12.3 billion in the quarter, with shipments totaling $5.6 billion [6][13] Market Data and Key Metrics Changes - Demand for traditional servers grew double digits, particularly in EMEA and North America [7][14] - The backlog for AI servers ended the quarter at a record $18.4 billion, indicating strong future demand [6][13] - International growth in CSG accelerated sequentially, up double digits year-over-year [9] Company Strategy and Development Direction - The company aims to capitalize on AI infrastructure buildouts and the ongoing PC refresh cycle [11][19] - Focus on engineering bespoke, high-performance solutions and rapid deployment capabilities in AI [11][36] - Continued emphasis on operational discipline and cash generation to drive shareholder value [10][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current commodity supply environment, expecting to secure supply and adjust pricing as needed [10][19] - The outlook for Q4 includes expected revenue between $31 billion and $32 billion, with ISG and CSG combined expected to grow 34% at the midpoint [17][18] - Management remains optimistic about AI demand, with a strong conviction in the AI business supported by a growing backlog and pipeline [18][56] Other Important Information - The company returned $1.6 billion of capital to shareholders, including share repurchases and dividends [15][16] - The core leverage ratio stands at 1.6x, indicating a strong balance sheet [15] Q&A Session Summary Question: Customer reaction to pricing discussions across product categories - Management acknowledged the unprecedented cost increases across various components and emphasized their experience in navigating such cycles [22][25][26] Question: Impact of NVIDIA's vertical integration on AI servers - Management highlighted their differentiation in complex large-scale deployments and their ability to engage with customers early in the technology cycle [33][36] Question: AI server margins and future expectations - Management indicated that AI server margins are expected to remain in the mid-single digits, with a positive customer mix contributing to margin stability [41][42] Question: Outlook on the PC refresh cycle - Management noted that the Windows 11 transition is not complete, with significant opportunities for upgrades remaining [47][49] Question: AI business growth and financing issues - Management expressed confidence in AI demand across various customer segments, with a strong pipeline supporting future growth [55][56] Question: ISG margins and future guidance - Management reported improved ISG margins driven by strong demand for Dell IP storage and disciplined pricing [63][66] Question: Traditional server demand and upgrade cycle - Management indicated that a significant portion of the install base consists of older generation servers, presenting opportunities for modernization [70][71] Question: Commodity cost recovery and pricing strategies - Management discussed their ability to recover costs through strategic pricing and supply chain management, emphasizing their agility in response to market conditions [74][76]