American computer technology companies Dell and HP Inc noted that there is still a huge demand for computers and other components. The companies saw an increase in revenue in the third quarter of this year.
At HP Inc, sales grew 9% to $16.7 billion (€14.8 billion). This was more than was widely expected in the markets. Earnings were also higher than estimated. According to HP Inc CEO, Enrique Loris, there has been primarily greater demand for the company’s more expensive hardware. High costs for materials and transportation, among other things, forced the company to raise prices for customers. This enabled the company to maintain its profit margin.
HP Inc is finding it increasingly difficult to meet the growing demand for computers. This is mainly due to the constant shortage of chips. Lores expects that the high demand for computers will continue for some time to come, even though more and more people are returning to the office or going to school more often.
High shipping costs
Dell reported revenue of $28.4 billion (€25.2 billion) in the third quarter. That was a 21 percent year-over-year increase and $1 billion more than what experts generally relied on. Dell also notes an increasing shortage of parts and rising shipping costs.
Dell expects customers to invest more in IT infrastructure and digital transformation. This will continue to drive strong demand. Dell also talks about future growth opportunities through new innovations in multi-cloud, connectivity, and 5G, the company said in a statement.
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