SEGMENT INFORMATION (Tables)

3 Months Ended

Apr. 29, 2022

Segment Reporting [Abstract]

Reconciliation of revenue from segments to consolidated

The following table presents a reconciliation of net revenue by the Company’s reportable segments to the Company’s consolidated net revenue as well as a reconciliation of segment operating income to the Company’s consolidated operating income for the periods indicated:

	Three Months Ended
	April 29, 2022		April 30, 2021
	(in millions)
Consolidated net revenue:
Infrastructure Solutions Group	$	9,285	$	8,033
Client Solutions Group	15,587		13,311
Reportable segment net revenue	24,872		21,344
Other businesses (a)	1,239		1,252
Unallocated transactions (b)	5		2
Impact of purchase accounting (c)	—		(8)
Total consolidated net revenue	$	26,116	$	22,590
Consolidated operating income:
Infrastructure Solutions Group	$	1,082	$	778
Client Solutions Group	1,115		1,080
Reportable segment operating income	2,197		1,858
Other businesses (a)	(64)		(90)
Unallocated transactions (b)	2		2
Impact of purchase accounting (c)	(9)		(20)
Amortization of intangibles	(243)		(445)
Transaction-related expenses (d)	(5)		(29)
Stock-based compensation expense (e)	(232)		(172)
Other corporate expenses (f)	(96)		(117)
Total consolidated operating income	$	1,550	$	987

____________________

(a)Other businesses consists of (i) VMware Resale, (ii) Secureworks, and (iii) Virtustream, and do not meet the requirements for a reportable segment, either individually or collectively.

(b)Unallocated transactions includes other corporate items that are not allocated to Dell Technologies’ reportable segments.

(c)Impact of purchase accounting includes non-cash purchase accounting adjustments that are primarily related to the EMC merger transaction that was completed in September 2016.

(d)Transaction-related expenses includes acquisition, integration, and divestiture related costs, as well as the costs incurred in the VMware Spin-off described in Note 1 and Note 2 of the Notes to the Condensed Consolidated Financial Statements.

(e)Stock-based compensation expense consists of equity awards granted based on the estimated fair value of those awards at grant date.

(f)Other corporate expenses includes impairment charges, incentive charges related to equity investments, severance, facility action, payroll taxes associated with stock-based compensation, and other costs.

Disaggregation of revenue

The following table presents the disaggregation of net revenue by reportable segment, and by major product categories within the segments for the periods indicated:

	Three Months Ended
	April 29, 2022		April 30, 2021
	(in millions)
Net revenue:
Infrastructure Solutions Group:
Servers and networking	$	5,048	$	4,140
Storage	4,237		3,893
Total ISG net revenue	$	9,285	$	8,033
Client Solutions Group:
Commercial	$	11,971	$	9,808
Consumer	3,616		3,503
Total CSG net revenue	$	15,587	$	13,311