The consolidated results of Dell Technologies include 52 days of EMC and VMware’s results, from Sept. 7, 2016, the close of the EMC merger, through Oct. 28, 2016, the end of Dell Technologies’ fiscal 2017 third quarter.

Information about Dell Technologies’ use of non-GAAP financial information is provided under “Non-GAAP Financial Measures” below. All comparisons in this press release are year-over-year unless otherwise noted.

Operating segments summary:

Client Solutions Group outgrew the industry¹ in both Consumer and Commercial with business revenue for the quarter at $9.2 billion, up 3 percent versus the third quarter of last year. Operating income for the quarter was $634 million. Key takeaways from the quarter include:

• Fastest growth among top three vendors, with 15^th consecutive quarter of year-over-year PC unit growth and 160 basis points of unit share gained¹
• No. 1 in workstations unit share worldwide² (tied)
• No. 1 share position worldwide for displays, gaining unit share year-over-year for the 14^th consecutive quarter³

Infrastructure Solutions Group performance was mixed in the quarter, with revenue of approximately $6 billion and operating income of $897 million. Key takeaways include:

• Strong growth of the all-flash portfolio and Enterprise Hybrid Cloud solutions
• Strong performance of the hyper-converged infrastructure portfolio, including triple-digit year-over-year revenue growth for XC hyper-converged infrastructure products
• Softness in standalone hybrid storage arrays and servers

VMware revenue during the 52-day operations period from the close of the EMC merger (Sept. 7) to the end of Dell Technologies’ fiscal third quarter 2017 (Oct. 28) was $1.3 billion, with an operating income of $548 million.

Also during the quarter, Dell Technologies held its first Dell EMC World combined customer and partner conference, which saw record attendance and the launch of 14 new products, including Dell EMC’s VxRail and VxRack hyper-converged infrastructure solutions using PowerEdge servers. The company also shipped its first integrated solution – the ScaleIO Ready Node – less than 30 days following the close of the EMC transaction.

Conference call information

As previously announced, the company will hold a conference call to discuss its third quarter performance Dec. 8, 2016, at 7 a.m. CST. The conference call will be broadcast live over the internet and can be accessed at investors.delltechnologies.com. For those unable to listen to the live broadcast, an archived version will be available at the same location.

A slide presentation containing additional financial and operating information may be downloaded from Dell Technologies’ website at investors.delltechnologies.com.

About Dell Technologies

Dell Technologies is a unique family of businesses that provides the essential infrastructure for organizations to build their digital future, transform IT and protect their most important asset, information. The company services customers of all sizes across 180 countries – ranging from 98 percent of the Fortune 500 to individual consumers – with the industry’s most comprehensive and innovative portfolio from the edge to the core to the cloud.

¹ IDC Worldwide Quarterly PC Tracker, 2016Q3, Oct. 11, 2016, and on a calendar-quarter basis.
² IDC Worldwide Quarterly Workstation Tracker, 2016Q3, Nov. 9, 2016, and on a calendar-quarter basis.
³ IDC Worldwide Quarterly PC Monitor Tracker - Final Historical, 2016Q3, Nov. 23, 2016, and on a calendar-quarter basis.

Copyright © 2016 Dell Inc. or its subsidiaries. All Rights Reserved. Dell, Dell Inc. and the Dell logo are trademarks of Dell Technologies in the United States and/or other jurisdictions. All other marks and names mentioned herein may be trademarks of their respective companies.

Non-GAAP Financial Measures

The press release presents information about the Company’s non-GAAP product net revenue, non-GAAP services net revenue, non-GAAP net revenue, non-GAAP product gross margin, non-GAAP services gross margin, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP net income from continuing operations, EBITDA and adjusted EBITDA, which are non-GAAP financial measures provided as a supplement to the results provided in accordance with generally accepted accounting principles in the United States of America (“GAAP”). A reconciliation of each of the foregoing historical non-GAAP financial measures to the most directly comparable historical GAAP financial measures is provided in the attached tables for each of the fiscal periods indicated.