The company announced the retrenchment plan as part of its quarterly earnings reporting process. The company said it had earned US$759 million (A$916.3 million) in after tax profit for the three months to the end of May, compared to US$762 million in the year ago quarter.
Sales were up nearly 1 per cent to US$14.6 billion, beating most analysts’ expectations. Dell’s US34 cent per share return outstripped the average analyst forecast of US26 cents.
The company said the lay-off would put pressure on operating margins over the next two quarters as restructure costs collided with the traditionally slower Dell quarters.
Dell founder and chief executive Michael Dell said the layoffs were unfortunate but the company would ultimately benefit.
“While reductions in headcount are always difficult for a company, we know these actions are critical to our ability to deliver unprecedented value to our customers now and in the future,” Mr Dell said.
It is not clear how many staff in the company’s Asia-Pacific operation – and Australia – will be affected by the latest round of lay-offs.
The Dell financial results are considered preliminary and were issued as a press release rather than a financial statement, as the company has not yet completed its lengthy investigation with auditors of accounting irregularities from the past.
The company’s Audit Committee chairman Thomas Luce said the investigation had taken longer than expected but that the company had been in regular contact with the US financial regulator over the matter.
“Although this process has taken us longer than we would have liked, it is important to commit the time and resources required to ensure a thorough and comprehensive review and resolution of all identified issues and the implementation of appropriate remedial measures,” Mr Luce said in a statement.
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