XML 126 R33.htm IDEA: XBRL DOCUMENT v2.4.0.8
Segment Information (Tables)
 6 Months Ended
Aug. 02, 2013
Segment Reporting [Abstract]  
Revenue and operating income by segment
 
 
Three Months Ended
 
 
August 2, 2013
 
 
End-User Computing
 
Enterprise Solutions Group
 
Dell Software Group
 
Dell Services
 
Total Segments
 
 
(in millions)
Net Revenue:
 
 
 
 
 
 
 
 
 
 
External revenue
 
$
8,899

 
$
3,173

 
$
310

 
$
2,132

 
$
14,514

Internal revenue (a)
 
240

 
151

 
—

 
4

 
395

Total segment revenue
 
$
9,139

 
$
3,324

 
$
310

 
$
2,136

 
$
14,909

Segment operating income (loss)
 
$
205

 
$
137

 
$
(62
)
 
$
339

 
$
619

 
 
 
 
 
 
 
 
 
 
 
 
 
August 3, 2012
 
 
End-User Computing
 
Enterprise Solutions Group
 
Dell Software Group
 
Dell Services
 
Total Segments
 
 
(in millions)
Net Revenue:
 
 
 
 
 
 
 
 
 
 
External revenue
 
$
9,353

 
$
2,941

 
$
95

 
$
2,094

 
$
14,483

Internal revenue (a)
 
218

 
145

 
—

 
3

 
366

Total segment revenue
 
$
9,571

 
$
3,086

 
$
95

 
$
2,097

 
$
14,849

Segment operating income (loss)
 
$
696

 
$
151

 
$
(11
)
 
$
336

 
$
1,172

 
 
 
 
 
 
 
 
 
 
 
 
 
Six Months Ended
 
 
August 2, 2013
 
 
End-User Computing
 
Enterprise Solutions Group
 
Dell Software Group
 
Dell Services
 
Total Segments
 
 
(in millions)
Net Revenue:
 
 
 
 
 
 
 
 
 
 
External revenue
 
$
17,613

 
$
6,132

 
$
605

 
$
4,238

 
$
28,588

Internal revenue (a)
 
446

 
285

 
—

 
7

 
738

Total segment revenue
 
$
18,059

 
$
6,417

 
$
605

 
$
4,245

 
$
29,326

Segment operating income (loss)
 
$
429

 
$
273

 
$
(147
)
 
$
709

 
$
1,264

 
 
 
 
 
 
 
 
 
 
 
 
 
August 3, 2012
 
 
End-User Computing
 
Enterprise Solutions Group
 
Dell Software Group
 
Dell Services
 
Total Segments
 
 
(in millions)
Net Revenue:
 
 
 
 
 
 
 
 
 
 
External revenue
 
$
18,985

 
$
5,622

 
$
133

 
$
4,165

 
$
28,905

Internal revenue (a)
 
418

 
280

 
—

 
5

 
703

Total segment revenue
 
$
19,403

 
$
5,902

 
$
133

 
$
4,170

 
$
29,608

Segment operating income (loss)
 
$
1,335

 
$
230

 
$
(17
)
 
$
674

 
$
2,222

____________________ 
(a) 
Internal revenues primarily consist of origination fees related to the sale of extended warranty services within EUC and ESG. The pricing for these transactions is based on the value related to extended warranty services created by each of the segments.
Revenue and operating income reconciliations to Dell consolidated
 
 
Three Months Ended
 
Six Months Ended
 
 
August 2,
2013
 
August 3,
2012
 
August 2,
2013
 
August 3,
2012
 
 
(in millions)
Consolidated Net Revenue:
 
 

 
 

 
 

 
 
Total segment revenue
 
$
14,909

 
$
14,849

 
$
29,326

 
$
29,608

Less internal revenue
 
(395
)
 
(366
)
 
(738
)
 
(703
)
Total consolidated net revenue
 
$
14,514

 
$
14,483

 
$
28,588

 
$
28,905

 
 
 
 
 
 
 
 
 

Consolidated Operating Income:
 
 

 
 

 
 

 
 

Segment operating income
 
$
619

 
$
1,172

 
$
1,264

 
$
2,222

Unallocated corporate expenses (a)
 
(17
)
 
(49
)
 
(72
)
 
(89
)
Amortization of intangible assets
 
(196
)
 
(150
)
 
(392
)
 
(260
)
Severance and facility actions and acquisition-related costs (b)
 
(87
)
 
(72
)
 
(167
)
 
(148
)
Other (c)
 
(47
)
 
—

 
(135
)
 
—

Total consolidated operating income
 
$
272

 
$
901

 
$
498

 
$
1,725

____________________ 
(a) 
Unallocated corporate expenses include broad based long-term incentives, certain short-term incentive compensation expenses, and other corporate items that are not allocated to Dell's segments.
(b) 
Acquisition-related costs consist primarily of retention payments, integration costs, and consulting fees.
(c) 
Other includes expenses associated with Dell's proposed merger. These expenses consist of professional fees incurred by Dell as well as the reimbursement of transaction-related expenses incurred by certain participants approved by a Special Committee of the Board of Directors. Expenses associated with Dell's proposed merger also include special performance-based retention cash awards granted to certain key employees in the first quarter of Fiscal 2014 that will be payable in March 2014. These awards are expensed ratably over the performance period.
Revenue by products and services
 
 
Three Months Ended
 
Six Months Ended
 
 
August 2,
2013
 
August 3,
2012
 
August 2,
2013
 
August 3,
2012
 
 
(in millions)
Net Revenue:
 
 

 
 

 
 
 
 
End-User Computing:
 
 
 
 
 
 
 
 
Desktops and thin client
 
$
3,550

 
$
3,504

 
$
6,823

 
$
6,839

Mobility
 
3,569

 
3,946

 
7,187

 
8,274

Third-party software and peripherals
 
2,020

 
2,121

 
4,049

 
4,290

Total EUC revenue
 
9,139

 
9,571

 
18,059

 
19,403

 
 
 
 
 
 
 
 
 
Enterprise Solutions Group:
 
 
 
 
 
 
 
 
Servers, peripherals, and networking
 
2,892

 
2,622

 
5,561

 
4,965

Storage
 
432

 
464

 
856

 
937

Total ESG revenue
 
3,324

 
3,086

 
6,417

 
5,902

 
 
 
 
 
 
 
 
 
Dell Software Group(a):
 
 
 
 
 
 
 
 
Total Dell Software Group revenue
 
310

 
95

 
605

 
133

 
 
 
 
 
 
 
 
 
Dell Services:
 
 
 
 
 
 
 
 
Support and deployment
 
1,223

 
1,192

 
2,425

 
2,368

Infrastructure, cloud, and security
 
601

 
574

 
1,213

 
1,124

Applications and business process
 
312

 
331

 
607

 
678

Total Dell Services revenue
 
2,136

 
2,097

 
4,245

 
4,170

 
 
 
 
 
 
 
 
 
Total segment revenue
 
14,909

 
14,849

 
29,326

 
29,608

Less internal revenue
 
(395
)
 
(366
)
 
(738
)
 
(703
)
Total consolidated net revenue
 
$
14,514

 
$
14,483

 
$
28,588

 
$
28,905

____________________ 
(a) 
Includes the results of Dell's Fiscal 2013 software acquisitions from their respective acquisition dates.