What changed in this filing

/stocks — the workspaceLOADING

Item 8. Financial Statements and Supplementary Data

2026-03-16 compared with 2025-03-25 · 482 added, 727 removed, 1532 unchanged (44% of the section changed)

1 unchanged sentence

Report of Independent Registered Public Accounting Firm (Public Company Accounting Oversight Board ID:

Consolidated Statements of Financial Position as of January 31, 2025 and February 2, 2024

Consolidated Statements of Income for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023

Consolidated Statements of Comprehensive Income for the fiscal year s ended January 3 1, 202 5 , February 2, 20 24, and Febr uary 3, 2023

Consolidated Statements of Cash Flows for the fiscal year s ended January 31,2025, February 2, 2024 , and February 3, 2023

Consolidated Statements of Stockholders’ Equity (Deficit) for the fiscal year s ended January 31 , 202 5 , February 2 , 2024 , and February 3, 2023

Consolidated Statements of Financial Position as of January 30, 2026 and January 31, 2025

Consolidated Statements of Income for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024

Consolidated Statements of Comprehensive Income for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024

Consolidated Statements of Cash Flows for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024

Consolidated Statements of Stockholders’ Equity (Deficit) for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024

Notes to the Consolidated Financial Statements

20 unchanged sentences

Note 21 — Government Assistance

Note 22 — Quarterly Results (Unaudited)

Note 2 2 — Subsequent Events

3 unchanged sentences

We have audited the accompanying consolidated statements of financial position of Dell Technologies Inc.

and its subsidiaries (the “Company”) as of January 31, 2025 and February 2, 2024, and the related consolidated statements of income, of comprehensive income, of stockholders’ equity (deficit) and of cash flows for each of the three years in the period ended January 31, 2025, including the related notes (collectively referred to as the “consolidated financial statements”).

and its subsidiaries (the “Company”) as of January 30, 2026 and January 31, 2025, and the related consolidated statements of income, of comprehensive income, of stockholders’ equity (deficit) and of cash flows for each of the three years in the period ended January 30, 2026, including the related notes (collectively referred to as the “consolidated financial statements”).

We also have audited the Company's internal control over financial reporting as of January 30, 2026, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of January 31, 2025 and February 2, 2024, and the results of its operations and its cash flows for each of the three years in the period ended January 31, 2025 in conformity with accounting principles generally accepted in the United States of America.

Also in our opinion, the Company did not maintain, in all material respects, effective internal control over financial reporting as of January 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the COSO because a material weakness in internal control over financial reporting existed as of that date as the Company did not design and maintain effective controls over non-recurring credits from certain suppliers that related to cost of net revenue.

A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the annual or interim financial statements will not be prevented or detected on a timely basis.

The material weakness referred to above is described in Management’s Annual Report on Internal Control over Financial Reporting appearing under Item 9A.

We considered this material weakness in determining the nature, timing, and extent of audit tests applied in our audit of the 2025 consolidated financial statements, and our opinion regarding the effectiveness of the Company’s internal control over financial reporting does not affect our opinion on those consolidated financial statements.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of January 30, 2026 and January 31, 2025, and the results of its operations and its cash flows for each of the three years in the period ended January 30, 2026 in conformity with accounting principles generally accepted in the United States of America.

Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of January 30, 2026, based on criteria established in Internal Control - Integrated Framework (2013) issued by the COSO.

Basis for Opinions

The Company's management is responsible for these consolidated financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in management’s report referred to above.

Our responsibility is to express opinions on the Company’s consolidated financial statements and on the Company's internal control over financial reporting based on our audits.

19 unchanged sentences

The communication of critical audit matters does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.

Revenue Recognition — Identification of Performance Obligations in Revenue Contracts

As described in Notes 2 and 18 to the consolidated financial statements, the Company’s contracts with customers often include the promise to transfer multiple goods and services to a customer.

Revenue Recognition for Certain Products and Services

As described in Note 2 to the consolidated financial statements, the Company sells a wide portfolio of products and services to its customers.

The Company’s contracts with customers often include the promise to transfer multiple goods and services to the customer.

Distinct promises within a contract are referred to as “performance obligations” and are accounted for as separate units of account.

Management assesses whether each promised good or service is distinct for the purpose of identifying the performance obligations in the contract.

This assessment involves subjective determinations and requires management to make judgments about the individual promised goods or services and whether such goods or services are separable from the other aspects of the contractual relationship.

The Company’s performance obligations include various distinct goods and services such as hardware, software licenses, support and maintenance agreements, and other service offerings and solutions.

For the year ended January 31, 2025, a significant portion of the $43.6 billion Infrastructure Solutions Group (“ISG”) reportable segment net revenues relate to contracts with multiple performance obligations.

The principal considerations for our determination that performing procedures relating to the identification of performance obligations in revenue contracts is a critical audit matter are (i) the significant judgment by management in identifying performance obligations in revenue contracts and (ii) a high degree of auditor judgment, subjectivity and effort in performing procedures and evaluating audit evidence related to whether performance obligations in revenue contracts were appropriately identified by management.

The Company recognizes revenue when obligations under the terms of the contract with the Company’s customer are satisfied, either over time or at a point in time, depending on when the underlying products or services are transferred to the customer.

For the year ended January 30, 2026, the Company’s total net revenue was $113.5 billion, of which the majority relates to certain product and services revenue.

The principal consideration for our determination that performing procedures relating to revenue recognition for certain products and services is a critical audit matter is a high degree of auditor effort in performing procedures related to the Company’s revenue recognition.

Addressing the matter involved performing procedures and evaluating audit evidence in connection with forming our overall opinion on the consolidated financial statements.

These procedures included testing the effectiveness of controls relating to the revenue recognition process, including controls related to the proper identification of performance obligations in revenue contracts.

These procedures also included, among others, testing the completeness and accuracy of management’s identification of performance obligations by examining revenue contracts on a test basis.

These procedures included testing the effectiveness of controls relating to the revenue recognition process.

These procedures also included, among others, (i) testing the completeness and accuracy of management’s identification of performance obligations by examining revenue contracts on a test basis;

(ii) testing a sample of revenue transactions by obtaining and inspecting source documents, such as executed contracts, purchase orders, invoices, and proof of delivery;

and (iii) confirming a sample of outstanding customer invoice balances as of January 30, 2026 and, for confirmations not returned, obtaining and inspecting source documents, such as executed contracts, purchase orders, invoices, proof of delivery, and subsequent cash receipts.

/s/ PricewaterhouseCoopers LLP

5 unchanged sentences

(in millions)

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

Current assets:

1 unchanged sentence

Accounts receivable, net of allowance of $ 77 and $ 63

Short-term financing receivables, net of allowance of $ 78 and $ 79 (Note 5)

17,585 10,298

Short-term financing receivables, net of allowance of $ 121 and $ 78

Inventories 10,437 6,716

4 unchanged sentences

Long-term investments 1,730 1,496

Long-term financing receivables, net of allowance of $ 75 and $ 91 (Note 5)

Long-term financing receivables, net of allowance of $ 92 and $ 75

Goodwill 19,547 19,120

16 unchanged sentences

Stockholders’ equity (deficit):

Common stock and capital in excess of $ 0.01 par value (Note 14)

Common stock and capital in excess of $ 0.01 par value

$ 9,457 $ 9,119

Treasury stock at cost ( 14,533 ) ( 8,502 )

Accumulated deficit ( 1,160 ) ( 4,453 )

Retained earnings (accumulated deficit) 3,325 ( 1,160 )

Accumulated other comprehensive loss ( 719 ) ( 939 )

9 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

Products $ 90,405 $ 71,420 $ 64,353

29 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

Net income $ 5,936 $ 4,576 $ 3,372

2 unchanged sentences

Cash flow hedges:

Change in unrealized gains 246 85 354

Change in unrealized gains (losses) ( 432 ) 246 85

Reclassification adjustment for net (gains) losses included in net income 198 ( 111 ) 107

1 unchanged sentence

Pension and other postretirement plans:

Recognition of actuarial net gains from pension and other postretirement plans — 15 1

Recognition of actuarial net gains (losses) from pension and other postretirement plans ( 2 ) — 15

Reclassification adjustments for net (gains) losses from pension and other postretirement plans ( 2 ) ( 6 ) 2

4 unchanged sentences

Net loss attributable to non-controlling interests — ( 16 ) ( 16 )

Other comprehensive loss attributable to non-controlling interests — — ( 1 )

Comprehensive income attributable to Dell Technologies Inc.

5 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

Cash flows from operating activities:

19 unchanged sentences

Acquisition of businesses and assets, net ( 84 ) — ( 126 )

Divestitures of businesses and assets, net 533 — —

Other 80 180 45

21 unchanged sentences

Common Stock and Capital in Excess of Par Value Treasury Stock

Issued Shares Amount Shares Amount Accumulated Deficit Accumulated Other Comprehensive Income (Loss) Dell Technologies

Issued Shares Amount Shares Amount Retained Earnings

(Accumulated Deficit) Accumulated Other Comprehensive Income (Loss) Dell Technologies

Stockholders’ Equity (Deficit) Non-Controlling Interests Total Stockholders’ Equity (Deficit)

Balances as of January 28, 2022 777 $ 7,898 20 $ ( 964 ) $ ( 8,188 ) $ ( 431 ) $ ( 1,685 ) $ 105 $ ( 1,580 )

Balances as of February 3, 2023 798 $ 8,424 82 $ ( 3,813 ) $ ( 6,732 ) $ ( 1,001 ) $ ( 3,122 ) $ 97 $ ( 3,025 )

Net income (loss) — — — — 3,388 — 3,388 ( 16 ) 3,372

Dividends and dividend equivalents declared ($ 1.32 per common share)

Dividends and dividend equivalents declared

($ 1.48 per common share)

— — — — ( 1,109 ) — ( 1,109 ) — ( 1,109 )

13 unchanged sentences

Common Stock and Capital in Excess of Par Value Treasury Stock

Issued Shares Amount Shares Amount Accumulated Deficit Accumulated Other Comprehensive Income (Loss) Dell Technologies

Issued Shares Amount Shares Amount Retained Earnings

(Accumulated Deficit) Accumulated Other Comprehensive Income (Loss) Dell Technologies

Stockholders’ Equity (Deficit) Non-Controlling Interests Total Stockholders’ Equity (Deficit)

Balances as of February 2, 2024 821 $ 8,926 116 $ ( 5,900 ) $ ( 4,453 ) $ ( 800 ) $ ( 2,227 ) $ 95 $ ( 2,132 )

Net income (loss) — — — — 3,388 — 3,388 ( 16 ) 3,372

Net income — — — — 4,592 — 4,592 ( 16 ) 4,576

Dividends and dividend equivalents declared

8 unchanged sentences

Impact from equity transactions of non-controlling interests — 11 — — — — 11 ( 20 ) ( 9 )

Balances as of February 2, 2024 821 $ 8,926 116 $ ( 5,900 ) $ ( 4,453 ) $ ( 800 ) $ ( 2,227 ) $ 95 $ ( 2,132 )

Balances as of January 31, 2025 834 $ 9,119 138 $ ( 8,502 ) $ ( 1,160 ) $ ( 939 ) $ ( 1,482 ) $ 95 $ ( 1,387 )

The accompanying notes are an integral part of these Consolidated Financial Statements.

3 unchanged sentences

Common Stock and Capital in Excess of Par Value Treasury Stock

Issued Shares Amount Shares Amount Accumulated Deficit Accumulated Other Comprehensive Income (Loss) Dell Technologies

Issued Shares Amount Shares Amount Retained Earnings

(Accumulated Deficit) Accumulated Other Comprehensive Income (Loss) Dell Technologies

Stockholders’ Equity (Deficit) Non-Controlling Interests Total Stockholders’ Equity (Deficit)

Balances as of February 2, 2024 821 $ 8,926 116 $ ( 5,900 ) $ ( 4,453 ) $ ( 800 ) $ ( 2,227 ) $ 95 $ ( 2,132 )

Net income (loss) — — — — 4,592 — 4,592 ( 16 ) 4,576

Dividends and dividend equivalents declared

($ 1.78 per common share)

Balances as of January 31, 2025 834 $ 9,119 138 $ ( 8,502 ) $ ( 1,160 ) $ ( 939 ) $ ( 1,482 ) $ 95 $ ( 1,387 )

Net income — — — — 5,936 — 5,936 — 5,936

Dividends and dividend equivalents declared ($ 2.10 per common share)

— — — — ( 1,451 ) — ( 1,451 ) — ( 1,451 )

5 unchanged sentences

Treasury stock repurchases — — 54 ( 6,031 ) — — ( 6,031 ) — ( 6,031 )

Impact from equity transactions of non-controlling interests — 11 — — — — 11 ( 20 ) ( 9 )

Sale of SecureWorks Corp.

— — — — — 8 8 ( 95 ) ( 87 )

Balances as of January 30, 2026 844 $ 9,457 192 $ ( 14,533 ) $ 3,325 $ ( 719 ) $ ( 2,470 ) $ — $ ( 2,470 )

4 unchanged sentences

Dell Technologies is a leader in the global technology industry that designs, develops, manufactures, markets, sells, and supports a wide range of comprehensive and integrated solutions, products, and services.

Dell Technologies offerings include servers and networking, storage, cloud solutions, desktops, notebooks, services, software, branded peripherals, and third-party software and peripherals.

Dell Technologies offerings include servers, networking, storage, cloud solutions, desktops, notebooks, services, software, branded peripherals, and third-party software and peripherals.

References in these Notes to the Consolidated Financial Statements to the “Company” or “Dell Technologies” mean Dell Technologies Inc.

2 unchanged sentences

The Company’s fiscal year is the 52- or 53-week period ending on the Friday nearest January 31.

The fiscal years ended January 31, 2025 and February 2, 2024 were 52-week periods.

The fiscal year ended February 3, 2023 was a 53-week period.

Revision of Previously Issued Financial Statements — During the fiscal year ended January 31, 2025, the Company discovered accumulated credits from certain suppliers that were not recorded or not recorded in the correct period in its previously reported financial results.

The Company initiated an investigation that indicated that the credits resulted from the actions of certain procurement employees that support a limited number of suppliers, which affected the Client Solutions Group (“CSG”) segment.

The revision did not have an impact on the Company’s net revenue.

The Company determined that the impacts were not material, individually or in the aggregate, to its previously issued Consolidated Financial Statements and accompanying Notes to the Consolidated Financial Statements for any of the prior quarters or the annual period in which they occurred.

However, in accordance with Staff Accounting Bulletin No.

108 of the Securities and Exchange Commission (“SEC”), the Company concluded that correcting the cumulative misstatement in the current period would be material to its results of operations for the fiscal year ended January 31, 2025.

Accordingly, the Company has revised its previously issued Consolidated Financial Statements, as applicable, as of and for the fiscal year ended February 2, 2024.

A summary of the corrections to the impacted financial statement line items in these Consolidated Financial Statements is presented below.

Consolidated Statements of Financial Position

February 2, 2024

As Reported Adjustment As Revised

(in millions)

Current assets:

Other current assets $ 10,973 $ 37 $ 11,010

Total current assets $ 35,947 $ 37 $ 35,984

Total assets $ 82,089 $ 37 $ 82,126

Current liabilities:

Accounts payable $ 19,389 $ ( 163 ) $ 19,226

Accrued and other $ 6,805 $ 23 $ 6,828

Total current liabilities $ 48,494 $ ( 140 ) $ 48,354

Total liabilities $ 84,398 $ ( 140 ) $ 84,258

Stockholders' equity (deficit):

Accumulated deficit $ ( 4,630 ) $ 177 $ ( 4,453 )

Total Dell Technologies Inc.

stockholders' equity (deficit) $ ( 2,404 ) $ 177 $ ( 2,227 )

Total stockholders' equity (deficit) $ ( 2,309 ) $ 177 $ ( 2,132 )

Total liabilities and stockholders' equity $ 82,089 $ 37 $ 82,126

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Consolidated Statements of Income

Fiscal Year Ended

February 2, 2024

As Reported Adjustment As Revised

(in millions, except per share amounts)

Cost of net revenue:

Products $ 53,316 $ ( 200 ) $ 53,116

Total cost of net revenue $ 67,556 $ ( 200 ) $ 67,356

Gross margin $ 20,869 $ 200 $ 21,069

Operating income $ 5,211 $ 200 $ 5,411

Income before income taxes $ 3,887 $ 200 $ 4,087

Income tax expense $ 692 $ 23 $ 715

Net income $ 3,195 $ 177 $ 3,372

Net income attributable to Dell Technologies Inc.

$ 3,211 $ 177 $ 3,388

Earnings per share attributable to Dell Technologies Inc.

Basic $ 4.46 $ 0.25 $ 4.71

Diluted $ 4.36 $ 0.24 $ 4.60

Consolidated Statements of Comprehensive Income

Fiscal Year Ended

February 2, 2024

As Reported Adjustment As Revised

(in millions)

Net income $ 3,195 $ 177 $ 3,372

Comprehensive income, net of tax $ 3,396 $ 177 $ 3,573

Comprehensive income attributable to Dell Technologies Inc.

$ 3,412 $ 177 $ 3,589

Consolidated Statements of Cash Flows

Fiscal Year Ended

February 2, 2024

As Reported Adjustment As Revised

(in millions)

Cash flow from operations:

Net income $ 3,195 $ 177 $ 3,372

Adjustments to reconcile net income to net cash provided by operating activities:

Other assets and liabilities $ ( 1,470 ) $ ( 14 ) $ ( 1,484 )

Accounts payable $ ( 335 ) $ ( 163 ) $ ( 498 )

The Company will also revise previously reported quarterly financial information for this misstatement based on the summary presented herein in its future filings with the SEC, as applicable.

A summary of the corrections to the impacted financial statement line items to the Company’s previously issued Condensed Consolidated Financial Statements for each quarterly period is presented in Note 22 of the Notes to the Consolidated Financial Statements.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Secureworks — As of January 31, 2025 and February 2, 2024, the Company held approximately 78.6 % and 81.0 %, respectively, of the outstanding equity interest in Secureworks Corp.

(“Secureworks”).

The portion of the results of operations of Secureworks allocable to its other owners is shown as net loss attributable to non-controlling interests in the Consolidated Statements of Income, as an adjustment to net income attributable to Dell Technologies stockholders.

The non-controlling interests’ share of equity in Secureworks is reflected as non-controlling interests in the Consolidated Statements of Financial Position and wa s $ 95 million as of both January 31, 2025 and February 2, 2024.

On October 21, 2024, Secureworks announced that it had entered into a definitive agreement providing for its sale to Sophos Inc., an affiliate of Thoma Bravo, L.P., a private equity and growth capital firm.

The transaction was completed on February 3, 2025, subsequent to the close of the Company’s fiscal year ended January 31, 2025, in an all-cash transaction for a purchase price of approximately $ 0.9 billion.

The Company expects to record an immaterial gain from the transaction.

In accordance with applicable accounting guidance, the Company concluded that Secureworks’ assets and liabilities have met the criteria to be classified as held-for-sale as of January 31, 2025.

The Company reclassified the related assets and liabilities as current assets held for sale and current liabilities held for sale, respectively, in the accompanying Consolidated Statements of Financial Position as of January 31, 2025.

The following table presents the major classes of assets and liabilities as of January 31, 2025 related to Secureworks, which were classified as held for sale as of the date indicated:

January 31, 2025

(in millions)

Current assets:

Cash and cash equivalents $ 62

Accounts receivable, net 51

Other current assets 11

Total current assets 124

Intangible assets, net 63

Other non-current assets 54

Total assets $ 668

Current liabilities:

Accrued and other $ 71

Short-term deferred revenue 125

Total current liabilities 196

Other non-current liabilities 25

Total liabilities $ 221

The sale of Secureworks does not meet the criteria for discontinued operations reporting, and as a result its operating results and cash flows are not separately stated as a discontinued operation in the accompanying Consolidated Financial Statements.

As Secureworks does not meet the requirements for a reportable segment, its operating results are included within Corporate and other.

The fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 may be referred to as “Fiscal 2026,” “Fiscal 2025,” and “Fiscal 2024,” respectively.

All fiscal years presented included 52 weeks.

Secureworks — On February 3, 2025, the sale of SecureWorks Corp.

(“Secureworks”) to Sophos Inc., an affiliate of Thoma Bravo, L.P., was completed in an all-cash transaction for a purchase price of approximately $ 0.9 billion.

The Company received total cash consideration for the equity interest held in Secureworks of approximately $ 0.6 billion, resulting in a gain on sale of $ 0.2 billion recognized in interest and other, net in the Consolidated Statements of Income for the fiscal year ended January 30, 2026.

Prior to the sale, Secureworks’ operating results were included within Corporate and other and did not qualify for presentation as a discontinued operation.

Additionally, the Company reclassified Secureworks’ assets and liabilities as current assets held for sale and current liabilities held for sale in the accompanying Consolidated Statements of Financial Position as of January 31, 2025.

The Company previously held approximately 78.6 % of the outstanding equity interest in Secureworks as of January 31, 2025.

The portion of the results of operations of Secureworks allocable to its other owners was shown as net loss attributable to non-controlling interests in the Consolidated Statements of Income, as an adjustment to net income attributable to Dell Technologies stockholders.

The non-controlling interests’ share of equity in Secureworks was reflected as non-controlling interests in the Consolidated Statements of Financial Position and was $ 95 million as of January 31, 2025.

Other Events — On October 4, 2023, the Company established a new consumer revolving financing program with Comenity Capital Bank, a subsidiary of Bread Financial Holdings, Inc.

6 unchanged sentences

NOTE 2 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation — These Consolidated Financial Statements include the accounts of Dell Technologies and its wholly-owned subsidiaries, as well as the accounts of Secureworks, which, as indicated in Note 1 of the Notes to the Consolidated Financial Statements, was majority-owned by Dell Technologies as of January 31, 2025.

All intercompany transactions have been eliminated.

23 unchanged sentences

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Accounting for Operating Leases as a Lessee — In its ordinary course of business, the Company enters into leases as a lessee for office buildings, warehouses, employee vehicles, and equipment.

Accounting for Operating Leases as a Lessee — In its ordinary course of business, the Company enters into leases as a lessee for property and equipment, warehouses, and office space.

The Company determines if an arrangement is a lease or contains a lease at inception.

12 unchanged sentences

The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The Company’s office building agreements contain costs such as common area maintenance and other executory costs that may be either fixed or variable in nature.

The Company’s office space agreements contain costs such as common area maintenance and other executory costs that may be either fixed or variable in nature.

Variable lease costs are expensed as incurred.

The Company combines lease and non-lease components, including fixed common area and other maintenance costs, in calculating the ROU assets and lease liabilities for its office buildings and employee vehicles.

The Company combines lease and non-lease components, including fixed common area and other maintenance costs, in calculating the ROU assets and lease liabilities for its office space.

Under certain service agreements with third-party logistics providers, the Company directs the use of the inventory within the warehouses and, therefore, controls the assets.

5 unchanged sentences

See Note 6 of the Notes to the Consolidated Financial Statements for additional information.

Accounting for Leases as a Lessor — The Company’s wholly-owned subsidiary Dell Financial Services and its affiliates (“DFS”) act as a lessor to provide equipment financing to customers through a variety of lease arrangements (“DFS leases”).

The Company’s leases are classified as sales-type leases, direct financing leases, or operating leases.

19 unchanged sentences

Financing Receivables — Financing receivables are presented net of allowance for losses and consist of customer receivables and residual interest.

Gross customer receivables include amounts due from customers under revolving loans, fixed-term loans, fixed-term sales-type or direct financing leases, and accrued interest.

The Company has two portfolios, consisting of (i) fixed-term leases and loans and (ii) revolving loans, and assesses risk at the portfolio level to determine the appropriate allowance levels.

The portfolio segments are further segregated into classes based on products, customer type, and credit risk evaluation.

Gross customer receivables primarily include amounts due from customers under fixed-term leases, fixed-term loans, and accrued interest.

The Company utilizes various credit quality indicators to assess risk and determine the appropriate allowance levels.

Fixed-term leases and loans are further segregated into classes based on products, customer type, and credit risk evaluation.

Fixed-term leases and loans are offered to qualified small and medium-sized businesses, large commercial accounts, governmental organizations, and educational entities.

Fixed-term loans are also offered to qualified individual consumers.

Revolving loans were primarily offered to small and medium-sized business customers, with the remaining offerings discontinued during the fiscal year ended January 31, 2025.

The Company historically offered revolving loans until these offerings were discontinued during the fiscal year ended January 31, 2025.

As of January 30, 2026, the majority of customer arrangements under revolving loan offerings were transitioned to fixed-term offerings and the revolving loan portfolio is no longer a component of the Company’s financing receivables.

The Company retains a residual interest in equipment leased under its fixed-term lease programs.

15 unchanged sentences

The asset securitizations in the SPEs are accounted for as secured borrowings.

Inventories — The Company generally records inventory on the Consolidated Statements of Financial Position when legal title and risk of loss have passed to the Company for items that are held for sale in the ordinary course of business, that are in process of production for sale, or that will be consumed in the production of goods or services that will be held for sale.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Inventories are stated at the lower of cost or net realizable value, with cost being determined on a first-in, first-out basis.

15 unchanged sentences

The Company amortizes capitalized software development costs on a straight-line basis over the estimated useful lives of the products, which is generally two years .

As of January 31, 2025 and February 2, 2024, capitalized software development costs were $ 623 million and $ 646 million, respectively, and are included in other non-current assets, net in the accompanying Consolidated Statements of Financial Position.

Amortization expense for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023 was $ 325 million, $ 416 million, and $ 317 million, respectively.

As of January 30, 2026 and January 31, 2025, capitalized software development costs were $ 526 million and $ 623 million, respectively, and are included in other non-current assets in the accompanying Consolidated Statements of Financial Position.

Amortization expense for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 was $ 290 million, $ 325 million, and $ 416 million, respectively.

Impairment of Long-Lived Assets — The Company reviews long-lived assets for impairment when events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.

3 unchanged sentences

Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less costs to sell.

Intangible Assets Including Goodwill — Identifiable intangible assets with finite lives are amortized over their estimated useful lives.

Goodwill and Intangible Assets — Identifiable intangible assets with finite lives are amortized over their estimated useful lives.

Indefinite-lived intangible assets are not amortized.

1 unchanged sentence

Goodwill and indefinite-lived intangible assets are tested for impairment annually during the third fiscal quarter and whenever events or circumstances indicate that an impairment may have occurred.

The Company can elect to perform a qualitative assessment or directly perform the quantitative impairment test.

If a qualitative assessment is performed and it is determined to be more likely than not that the fair value of a goodwill reporting unit or an indefinite-lived intangible asset is less than its carrying amount, the Company will then perform a quantitative test.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

If a quantitative test is performed, the fair value of each goodwill reporting unit or the indefinite-lived intangible assets is compared to the carrying value to assess for potential impairment.

The fair value of each goodwill reporting unit is generally estimated using a combination of public company multiples and discounted cash flow methodologies, which utilize internal forecasts, current and anticipated economic conditions and trends, selection of market multiples through assessment of the reporting unit’s performance relative to peer competitors, the estimation of the long-term revenue growth rate and discount rate of the Company’s business, and the determination of the Company’s weighted average cost of capital.

The fair value of the indefinite-lived intangible assets is generally estimated using discounted cash flow methodologies, which utilize future revenue forecasts, the estimation of the long-term revenue growth rate of the Company’s business, and the determination of the weighted average cost of capital and royalty rates.

Foreign Currency Translation — The majority of the Company’s international sales are made by international subsidiaries, some of which have the U.S.

4 unchanged sentences

Foreign currency translation adjustments are included as a component of accumulated other comprehensive income (loss) (“AOCI”) in stockholders’ equity (deficit).

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Local currency transactions of international subsidiaries that have the U.S.

Dollar as their functional currency are remeasured into U.S.

Dollars using the current rates of exchange for monetary assets and liabilities and historical rates of exchange for nonmonetary assets and liabilities.

Dollars using the current exchange rates for monetary assets and liabilities and historical exchange rates for nonmonetary assets and liabilities.

Gains and losses from remeasurement of monetary assets and liabilities are included in interest and other, net on the Consolidated Statements of Income.

14 unchanged sentences

The Company’s agreements have varying requirements depending on the goods and services being sold, the rights and obligations conveyed, and the legal jurisdiction of the arrangement.

While most of our agreements have standard terms and conditions, more complex agreements may contain nonstandard terms and conditions that require significant judgments in interpreting agreements to determine the appropriate accounting.

While most of the Company’s agreements have standard terms and conditions, more complex agreements may contain nonstandard terms and conditions that require significant judgments in interpreting agreements to determine the appropriate accounting.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Revenue is recognized for these arrangements based on the following five steps:

8 unchanged sentences

Judgment is used in determining the customer’s ability and intent to pay, which is based upon various factors, including the customer’s historical payment experience or customer credit and financial information.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

(2) Identify the performance obligations in the contract.

20 unchanged sentences

If a directly observable price is available, the Company will utilize that price for the SSP.

If a directly observable price is not available, the SSP must be estimated.

The Company estimates SSP by considering multiple factors, including, but not limited to, pricing practices, internal costs, and profit objectives as well as overall market conditions, which include geographic or regional specific factors, competitive positioning, and competitor actions.

If a directly observable price is not available, then SSP must be estimated by considering multiple factors, including, but not limited to, pricing practices, internal costs, and profit objectives as well as overall market and industry conditions, which include geographic or regional specific factors, competitive positioning, and competitor actions.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

(5) Recognize revenue when (or as) the performance obligation is satisfied.

5 unchanged sentences

The Company reports revenue net of any revenue-based taxes assessed by governmental authorities that are imposed on and concurrently with specific revenue-producing transactions.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The Company has elected the following practical expedients:

7 unchanged sentences

Revenue from software license sales is generally recognized when control has transferred to the customer, which is typically upon shipment, electronic delivery, or when the software is available for download by the customer.

For certain software arrangements in which the customer is granted a right to additional unspecified future software licenses, the Company’s promise to the customer is considered a stand-ready obligation in which the transfer of control and revenue recognition will occur over time.

Services revenue consists of revenue from sales of support services, including hardware support that extends beyond the Company’s standard warranties, software maintenance, and installation;

Services revenue consists of revenue from sales of services offerings and support services, including hardware support and software support that extends beyond the Company’s standard warranties, software maintenance, and installation;

professional services;

2 unchanged sentences

Other services revenue is recognized when the Company performs the services and the customer receives and consumes the benefits.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Revenue from leasing arrangements is not subject to the revenue standard for contracts with customers and remains separately accounted for under lease accounting guidance.

4 unchanged sentences

Financing income attributable to these loans is recognized in product net revenue on an accrual basis.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Principal versus Agent — For transactions that involve a third party, the Company evaluates whether it is acting as the principal or the agent in the transaction.

4 unchanged sentences

As an agent, the Company is arranging for the good or service to be provided by another party and recognizes revenue at the net amount of consideration retained.

Disaggregation of Revenue — The Company’s revenue is presented on a disaggregated basis on the Consolidated Statements of Income and in Note 18 of the Notes to the Consolidated Financial Statements based on an evaluation of disclosures outside of the financial statements, information regularly provided to and reviewed by the Company’s chief operating decision maker for evaluating the financial performance of operating segments, and other information that is used to evaluate the Company’s financial performance and make resource allocations.

Disaggregation of Revenue — The Company’s revenue is presented on a disaggregated basis on the Consolidated Statements of Income and in Note 18 of the Notes to the Consolidated Financial Statements based on an evaluation of disclosures outside of the financial statements, information regularly provided to and reviewed by the Company’s Chief Operating Decision Maker (“CODM”) for evaluating the financial performance of operating segments, and other information that is used to evaluate the Company’s financial performance and make resource allocations.

This information includes revenue from products and services, revenue from reportable segments, and revenue by major product categories within the segments.

Given the scale and growth of the AI-optimized servers business, effective in the three months ended January 30, 2026, the Company’s servers and networking offerings were disaggregated within revenue by major product category into AI-optimized servers offerings and traditional servers and networking offerings.

Contract Assets — Contract assets are rights to consideration in exchange for goods or services that the Company has transferred to a customer when such a right is conditional on criteria other than the passage of time.

Such amounts are immaterial as of January 31, 2025 and February 2, 2024.

Such amounts are immaterial as of January 30, 2026 and January 31, 2025.

Contract Liabilities — Contract liabilities primarily consist of deferred revenue.

Deferred revenue is recorded when the Company has invoiced or payments have been received for undelivered products or services, or in situations where revenue recognition criteria have not been met.

Deferred revenue primarily includes amounts received in advance for extended warranty services and software maintenance.

Revenue is recognized on these items when the revenue recognition criteria are met, generally resulting in ratable recognition over the contract term.

The Company also has deferred revenue related to undelivered hardware and professional services, consisting of installations and consulting engagements, which are recognized when the Company’s performance obligations under the contract are completed.

Deferred revenue primarily consists of support and deployment services, software maintenance, training, Software-as-a-Service, and undelivered hardware and professional services, consisting of installations and consulting engagements.

Revenue is recognized as the Company’s performance obligations under the contract are completed.

See Note 10 of the Notes to the Consolidated Financial Statements for additional information about deferred revenue.

3 unchanged sentences

Amortization expense is included in cost of net revenue in the Consolidated Statements of Income.

Deferred costs to fulfill revenue-generating contracts as of January 31, 2025 and February 2, 2024 were $ 4.8 billion and $ 7.7 billion, respectively.

Amortization of deferred costs to fulfill revenue-generating contracts during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023 was $ 7.6 billion, $ 8.0 billion, and $ 7.3 billion, respectively.

Deferred costs to fulfill revenue-generating contracts as of January 30, 2026 and January 31, 2025 were $ 2.7 billion and $ 4.8 billion, respectively.

Amortization of deferred costs to fulfill revenue-generating contracts during the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 was $ 6.3 billion, $ 7.6 billion, and $ 8.0 billion, respectively.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The Company capitalizes incremental direct costs to obtain a contract, primarily sales commissions and employer taxes related to commission payments, if the costs are deemed to be recoverable.

2 unchanged sentences

Amortization expense is recognized on a straight-line basis and included in selling, general, and administrative expenses in the Consolidated Statements of Income.

Deferred costs to obtain a contract as of January 31, 2025 and February 2, 2024 were $ 540 million and $ 674 million, respectively.

Amortization of costs to obtain a contract during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023 was $ 346 million, $ 383 million, and $ 390 million, respectively.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Deferred costs to obtain a contract as of January 30, 2026 and January 31, 2025 were $ 483 million and $ 540 million, respectively.

Amortization of costs to obtain a contract during the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 was $ 305 million, $ 346 million, and $ 383 million, respectively.

The Company periodically reviews these deferred costs to determine whether events or changes in circumstances have occurred that could impact the carrying value or period of benefit of the costs to fulfill or costs to obtain a contract.

There were no material impairment losses for deferred costs during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

There were no material impairment losses for deferred costs during the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024.

Standard Warranty Liabilities — The Company records warranty liabilities for estimated costs of fulfilling its obligations under standard limited hardware and software warranties at the time of sale.

11 unchanged sentences

If the consideration is a reimbursement of costs incurred by the Company to sell or develop the vendor’s products, the consideration is classified as a reduction of such costs, most often operating expenses, in the Consolidated Statements of Income.

In order to be recognized as a reduction of operating expenses, the reimbursement must be for a specific, incremental, and identifiable cost incurred by the Company in selling the vendor’s products or services.

To be recognized as a reduction of operating expenses, the reimbursement must be for a specific, incremental, and identifiable cost incurred by the Company in selling the vendor’s products or services.

Loss Contingencies — The Company is subject to the possibility of various losses arising in the ordinary course of business.

3 unchanged sentences

Shipping Costs — The Company’s shipping and handling costs are included in cost of net revenue in the Consolidated Statements of Income.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Selling, General, and Administrative — Selling expenses include items such as sales salaries and commissions, marketing and advertising costs, and contractor services.

Advertising costs are generally expensed as incurred in selling, general, and administrative expenses in the Consolidated Statements of Income.

For the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, advertising expenses were $ 0.8 billion, $ 0.9 billion, and $ 1.1 billion, respectively.

For the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, advertising expenses were $ 0.7 billion, $ 0.8 billion, and $ 0.9 billion, respectively.

General and administrative expenses include items for the Company’s administrative functions, such as finance, legal, human resources, and information technology support.

4 unchanged sentences

Also included in R&D expenses are infrastructure costs, which consist of equipment and material costs, facilities-related costs, and depreciation expense.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Income Taxes — The Company calculates a provision for income taxes using the asset and liability method, under which deferred tax assets and liabilities are recognized by identifying the temporary differences arising from the different treatment of items for tax and accounting purposes.

6 unchanged sentences

The accounting guidance for uncertainties in income tax prescribes a comprehensive model for the financial statement recognition, measurement, presentation, and disclosure of uncertain tax positions taken or expected to be taken in income tax returns.

Judgment is required in evaluating the Company’s uncertain tax positions and determining the Company’s provision for income taxes.

The Company recognizes a tax benefit from an uncertain tax position in the financial statements only when it is more likely than not that the position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits and a consideration of the relevant taxing authority’s administrative practices and precedents.

Stock-Based Compensation — The Company measures stock-based compensation expense for all share-based awards granted based on the estimated fair value of those awards at grant date.

To estimate the fair value of performance-based awards containing a market condition, the Company uses the Monte Carlo valuation model.

The fair value of other share-based awards is generally based on the closing price of the Class C Common Stock as reported on the New York Stock Exchange (“NYSE”) on the date of grant.

The compensation cost of service-based stock options, restricted stock, and restricted stock units is recognized net of any estimated forfeitures on a straight-line basis over the employee requisite service period.

Compensation cost for performance-based awards is recognized on a graded accelerated basis net of estimated forfeitures over the requisite service period.

Stock-Based Compensation — Stock-based compensation expense consists of equity awards granted based on the estimated fair value of those awards at grant date.

Stock-based compensation expense for equity awards is recorded over the requisite service period in cost of net revenues, selling, general and administrative expense and research and development expense in the Consolidated Statements of Income based on the function of the employee.

Compensation expense is recognized on a straight-line basis for equity awards with a service condition and a graded vesting basis for equity awards that contain either a performance or market condition.

The Company estimates a forfeiture rate for unvested share‑based awards and applies this rate to the recognition of stock‑based compensation expense.

Forfeiture rates are estimated at grant date based on historical experience and adjusted in subsequent periods for differences in actual forfeitures from those estimates.

Equity awards with service conditions — The fair value of restricted stock units (“RSUs”) that contain only a service-based vesting condition is measured using the closing price of the Company’s Class C Common Stock as reported on the New York Stock Exchange (“NYSE”) on the grant date or most recent preceding trading day if grant date falls on a non-trading day.

The resulting stock-based compensation expense is recognized over the requisite service period, which is generally three years .

Equity awards with service and performance conditions — The fair value of RSUs that contain both service and performance conditions is measured using the closing price of the Company’s Class C Common Stock as reported on the NYSE on the grant date or most recent preceding trading day if the grant date falls on a non-trading day.

The resulting stock-based compensation expense is recognized over the requisite service period as long as attainment of the award remains probable.

The Company periodically reassesses the probability of attainment and adjusts the related compensation expense accordingly.

The requisite service period for performance-based RSUs is generally three years .

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Equity awards with service and market-based performance conditions — The fair value of performance-based RSUs that contain both service and market-based performance conditions is measured on grant date using a Monte Carlo simulation model.

Attainment of the market condition is reflected in the estimate of fair value on the grant date and is recognized regardless of the ultimate level of actual attainment, so long as the requisite service is provided.

The requisite service period for market-based performance RSUs is generally three years .

Equity awards with service, performance, and market-based conditions — The fair value of equity awards that contain service, performance and market-based conditions is measured on the grant date using a Monte Carlo simulation model.

Achievement of the market condition is reflected in the estimate of fair value on the grant date.

Compensation expense for awards is recognized over the requisite service period as long as service and performance conditions are considered probable of attainment.

If the service or performance conditions become improbable of attainment, compensation expense previously recognized will be reversed.

Because the grant date fair value considers the market attainment probability, compensation expense recognized will not be adjusted if the market condition becomes improbable of attainment.

The requisite service period for the outstanding stock option grant that contains these vesting conditions is approximately five years .

Recently Issued Accounting Pronouncements

Expense Disaggregation Disclosures — In November 2024, the Financial Accounting Standards Board (“FASB”) issued guidance to improve disclosures about a public entity’s expenses by requiring disclosure of additional information about the types of expenses commonly presented in the financial statement on an annual and interim basis.

Internal-Use Software — In September 2025, the Financial Accounting Standards Board (“FASB”) issued guidance to modernize internal-use software capitalization by removing references to software development project stages, increasing the operability of the recognition guidance permitting consideration of different methods of software development, including the agile method.

Public entities must adopt the new guidance for fiscal years beginning after December 15, 2027, with early adoption permitted.

Upon adoption, the guidance can be applied prospectively or retrospectively.

Adoption of this new guidance will result in increased disclosures in the Notes to the Consolidated Financial Statements.

Income Taxes — In December 2023, the FASB issued guidance which requires companies to provide disaggregated income tax disclosures within the income tax rate reconciliation and income taxes paid.

Upon adoption, the guidance may be applied prospectively, retrospectively, or through a modified approach.

The Company is currently evaluating the impact and timing of adoption of this guidance.

Expense Disaggregation Disclosures — In November 2024, the FASB issued guidance to improve disclosures about a public entity’s expenses by requiring disclosure of additional information about the types of expenses commonly presented in the financial statements on an annual and interim basis.

Public entities must adopt the new guidance for fiscal years beginning after December 15, 2026, with early adoption permitted.

The Company will adopt the guidance prospectively.

Upon adoption, the guidance will be applied prospectively.

Adoption of this new guidance will result in increased disclosures in the Notes to the Consolidated Financial Statements.

Recently Adopted Accounting Pronouncements

Segment Reporting — In November 2023, the FASB issued guidance to improve disclosures about a public entity’s reportable segments by requiring disclosure of additional information about a reportable segment’s expenses on an annual and interim basis.

The Company adopted this standard as of January 31, 2025 on a retrospective basis.

Adoption of this new guidance resulted in increased disclosures on reportable segments in Note 18 of the Notes to the Consolidated Financial Statements.

Income Taxes — In December 2023, the FASB issued guidance which requires companies to provide disaggregated income tax disclosures within the income tax rate reconciliation and income taxes paid.

Public entities were required to adopt the new guidance for fiscal years beginning after December 15, 2024.

The Company adopted this standard as of January 30, 2026 on a prospective basis.

Adoption of this new guidance resulted in increased disclosures on income taxes in Note 12 and Note 20 of the Notes to the Consolidated Financial Statements.

DELL TECHNOLOGIES INC.

2 unchanged sentences

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total

9 unchanged sentences

Money Market Funds — The Company’s investment in money market funds that are classified as cash equivalents hold underlying investments with a weighted average maturity of 90 days or less and are recognized at fair value.

The valuations of these securities are based on quoted prices for identical assets in active markets, when available, or pricing models whereby all significant inputs are observable, can be derived from, or can be corroborated by, observable market data.

The valuations of these securities are based on quoted prices for identical assets in active markets, when available, or pricing models whereby all significant inputs are observable, or can be derived from, or corroborated by, observable market data.

The Company reviews security pricing and assesses money market fund liquidity on a quarterly basis.

As of January 31, 2025, the Company’s portfolio had no material exposure to money market funds with a fluctuating net asset value.

As of January 30, 2026, the Company’s portfolio had no exposure to money market funds with a fluctuating net asset value.

Marketable Equity and Other Securities — The Company’s investments in equity and other securities that are measured at fair value on a recurring basis consist of strategic investments in publicly-traded companies.

6 unchanged sentences

Assets and liabilities associated with the plans are measured at fair value using Level 1 inputs.

Assets were the same as liabilities associated with the plans at approximately $ 244 million and $ 214 million as of January 31, 2025 and February 2, 2024, respectively, and are included in other assets and other liabilities on the Consolidated Statements of Financial Position.

Assets were the same as liabilities associated with the plans at approximately $ 274 million and $ 244 million as of January 30, 2026 and January 31, 2025, respectively, and are included in other assets and other liabilities on the Consolidated Statements of Financial Position.

The net impact on the Consolidated Statements of Income is not material since changes in the fair value of the assets substantially offset changes in the fair value of the liabilities.

3 unchanged sentences

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis — Certain assets are measured at fair value on a nonrecurring basis and therefore are not included in the recurring fair value table above.

These assets consist primarily of financial assets such as the Company’s fixed income debt securities and strategic investments in non-marketable equity and other securities and non-financial assets such as goodwill and intangible assets.

Fixed income debt securities are recorded at amortized cost and approximate fair value.

The fair value of fixed income debt securities is determined based on observable market prices in a less active market or based on valuation methodologies using observable inputs.

If measured at fair value in the Consolidated Statements of Financial Position, these securities would generally be classified as Level 2 in the fair value hierarchy.

See Note 4 of the Notes to the Consolidated Financial Statements for additional information about the Company’s fixed income debt securities.

Strategic investments in non-marketable equity and other securities and certain non-financial assets such as goodwill and intangibles are measured at fair value only if they are deemed to be impaired or when there is an adjustment from observable price changes in the current period.

These assets consist primarily of financial assets such as the Company’s strategic investments in non-marketable equity and other securities and non-financial assets such as goodwill and intangible assets.

Strategic investments in non-marketable equity and other securities and certain non-financial assets such as goodwill and intangible assets are measured at fair value only if they are deemed to be impaired or when there is an adjustment from observable price changes in the current period.

If measured at fair value in the Consolidated Statements of Financial Position, these securities would generally be classified as Level 3 in the fair value hierarchy.

1 unchanged sentence

Carrying Value and Estimated Fair Value of Outstanding Debt — The following table presents the carrying value and estimated fair value of the Company’s outstanding debt as described in Note 7 of the Notes to the Consolidated Financial Statements, including the current portion, as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

Carrying Value Fair Value Carrying Value Fair Value

7 unchanged sentences

NOTE 4 — INVESTMENTS

The Company has strategic investments in equity and other securities as well as investments in fixed income debt securities.

All equity and other securities as well as long-term fixed income debt securities are recorded as long-term investments while short-term fixed income debt securities are recorded as other current assets in the Consolidated Statements of Financial Position.

As of January 31, 2025 and February 2, 2024, total investments were $ 1.5 billion and $ 1.6 billion, respectively.

Equity and Other Securities

The Company has strategic investments in equity and other securities as well as immaterial investments in fixed income debt securities that are primarily recorded as long-term investments in the Consolidated Statements of Financial Position.

As of January 30, 2026 and January 31, 2025, total investments were $ 1.7 billion and $ 1.5 billion, respectively.

Equity and other securities include strategic investments in marketable and non-marketable securities.

Investments in marketable securities are measured at fair value on a recurring basis.

Investments in non-marketable equity and other securities represent primarily early-stage companies without readily determinable fair values.

The Company has elected to apply the measurement alternative for non-marketable securities.

Under the alternative, the Company measures investments without readily determinable fair values at cost, less impairment, adjusted for observable price changes.

The Company makes a separate election to use the alternative for each eligible investment and is required to reassess at each reporting period whether an investment qualifies for the alternative.

Investments in non-marketable equity and other securities primarily represent early-stage companies without readily determinable fair values.

The Company has elected to apply the measurement alternative for non-marketable securities which allows investments without readily determinable fair values to be measured at cost, less impairment, adjusted for observable price changes.

The Company makes a separate election to apply the measurement alternative for each eligible investment and is required to reassess at each reporting period whether an investment qualifies for the alternative.

In evaluating these investments for impairment or observable price changes, the Company uses inputs including pre- and post-money valuations of recent financing events and the impact of those events on its fully diluted ownership percentages, as well as other available information regarding the issuer’s historical and forecasted performance.

1 unchanged sentence

The following table presents the cost, cumulative unrealized gain, cumulative unrealized loss, and carrying value of the Company's strategic investments in marketable and non-marketable equity and other securities as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

Cost Unrealized Gain Unrealized Loss Carrying Value Cost Unrealized Gain Unrealized Loss Carrying Value

3 unchanged sentences

Total equity and other securities $ 951 $ 1,074 $ ( 308 ) $ 1,717 $ 750 $ 1,033 $ ( 288 ) $ 1,495

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Gains and Losses on Equity and Other Securities

1 unchanged sentence

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

6 unchanged sentences

Unrealized loss ( 42 ) ( 32 ) ( 49 )

Net unrealized gain (loss) (a) (b) 122 35 ( 259 )

Net unrealized gain (loss) on equity and other securities $ 121 $ 17 $ ( 249 )

Net unrealized gain (a) (b) 119 122 35

Net unrealized gain on equity and other securities $ 126 $ 121 $ 17

____________________

(a) For the fiscal year ended January 31, 2025 and February 2, 2024, net unrealized gains on non-marketable securities were due to upward adjustments for observable price changes offset by losses primarily attributable to downward adjustments for observable price changes and impairments.

(b) For the fiscal year ended February 3, 2023, net unrealized losses on non-marketable securities were primarily attributable to the recognition of impairments which were generally in line with extended public equity market declines.

Fixed Income Debt Securities

As of January 31, 2025 and February 2, 2024, the Company held fixed income debt securities of $ 27 million and $ 301 million, respectively, which it intends to hold to maturity.

These investments are recorded at amortized cost and approximate fair value.

As of January 31, 2025, the Company held $ 26 million in fixed income debt securities which will mature within one year and $ 1 million in fixed income debt securities which will mature within five years.

(a) For the fiscal years ended January 30, 2026 and January 31, 2025, net unrealized gains on non-marketable securities were primarily attributable to adjustments for observable price changes.

(b) For the fiscal year ended February 2, 2024, net unrealized gains on non-marketable securities were due to upward adjustments for observable price changes offset by losses attributable to impairments.

DELL TECHNOLOGIES INC.

1 unchanged sentence

NOTE 5 — FINANCIAL SERVICES

The Company offers or arranges a portfolio of payment and consumption solutions and services for its customers globally, including as-a-Service, subscription, utility, leases, and loans designed to match customers' consumption and financing preferences, and provide operational and financial flexibility.

To support financing solutions and services as part of the portfolio, DFS originates, collects, and services customer financing arrangements primarily related to the purchase and use of Dell Technologies products and services.

In some cases, the Company also offers financing for the purchase of third-party technology products that complement the Dell Technologies portfolio of products and services.

New financing originations were $ 8.4 billion for the fiscal years ended January 31, 2025 and February 2, 2024 and $ 9.7 billion for the fiscal year ended February 3, 2023.

The Company’s financing arrangements with customers are aggregated primarily into the following categories:

Fixed-term leases and loans — The Company enters into financing arrangements with customers who seek lease financing for equipment.

The Company offers or arranges a portfolio of payment and consumption solutions and services for its customers globally, including utility, subscription, as-a-Service, leases, and loans, designed to match customers' consumption and financing preferences and to provide operational and financial flexibility.

To support financing solutions and services as part of the Dell Technologies portfolio, Dell Financial Services and its affiliates (“DFS”) originate, collect, and service customer financing arrangements primarily related to the purchase and use of Dell Technologies products and services.

In some cases, the Company also offers financing for the purchase of third-party technology products that complement the portfolio of the Company’s products and services.

New financing originations were $ 11.9 billion for the fiscal year ended January 30, 2026 and $ 8.4 billion for both the fiscal years ended January 31, 2025 and February 2, 2024.

The Company’s financing arrangements with customers are aggregated primarily as fixed-term leases and loans as described below.

Leases — The Company enters into fixed-term financing arrangements with customers who seek lease financing for equipment.

Leases are generally classified as sales-type leases or operating leases.

Additionally, utility, subscription, and as-a-Service flexible consumption models may result in identification of embedded lease arrangements that lead to the recognition of sales-type leases or operating leases.

Leases with business customers have fixed terms of generally two to four years .

The Company also offers fixed-term loans to qualified small businesses, large commercial accounts, governmental organizations, educational entities, and certain individual consumer customers.

These loans are repaid in equal payments including interest and have defined terms of generally three to five years .

Additionally, utility, subscription, and as-a-Service flexible consumption models may result in identification of embedded lease arrangements that require the recognition of sales-type leases or operating leases.

Leases with business customers generally have fixed terms of two to five years .

Loans — The Company also offers fixed-term loans to qualified small businesses, large commercial accounts, governmental organizations, educational entities, and certain individual consumer customers.

These loans are repaid in periodic payments including interest and have defined terms typically ranging from one to five years .

The fair value of the fixed-term loan portfolio is determined using market observable inputs.

The carrying value of these loans approximates fair value.

Revolving loans — The Company primarily offered revolving loans to small and medium-sized commercial customers.

Revolving loans provide qualified customers with a revolving credit line for the purchase of products and services offered by Dell Technologies.

Revolving loans in the United States bear interest at a variable annual percentage rate that is tied to the prime rate.

Based on historical payment patterns, revolving loan transactions are typically repaid within twelve months on average.

Due to the short-term nature of the revolving loan portfolio, the carrying value of the portfolio approximates fair value.

Prior to the sale of the U.S.

consumer revolving customer receivables portfolio on October 4, 2023 described in Note 1 of the Notes to the Consolidated Financial Statements, the Company offered private label credit financing under the Dell Preferred Account (“DPA”) program.

The DPA product was primarily offered to individual consumer customers.

The Company historically offered revolving loans primarily to small and medium-sized commercial customers.

During the fiscal year ended January 31, 2025, the Company discontinued remaining offerings under the revolving loan portfolio.

The Company will support existing customer arrangements as well as transition these customers to fixed-term offerings.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The Company continued to support existing customer arrangements as well as to transition these customers to fixed-term offerings throughout the fiscal year ended January 30, 2026.

As of January 30, 2026, the revolving loan portfolio is no longer a component of the Company’s financing receivables.

Financing Receivables

The following table presents the components of the Company’s financing receivables segregated by portfolio segment as of the dates indicated:

January 31, 2025 February 2, 2024

Revolving Fixed-term Total Revolving Fixed-term Total

The following table presents the components of the Company’s financing receivables as of the dates indicated:

January 30, 2026 January 31, 2025

(in millions)

1 unchanged sentence

Customer receivables, gross (a) $ 14,295 $ 11,216

Allowances for losses ( 6 ) ( 147 ) ( 153 ) ( 9 ) ( 161 ) ( 170 )

Allowance for losses ( 213 ) ( 153 )

Customer receivables, net 14,082 11,063

4 unchanged sentences

____________________

(a) Customer receivables, gross include amounts due from customers under revolving loans, fixed-term loans, fixed-term leases, and accrued interest.

(a) Customer receivables, gross include amounts due from customers under fixed-term leases, fixed-term loans, and accrued interest.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents the changes in allowance for financing receivable losses for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

Revolving Fixed-term Total Revolving Fixed-term Total Revolving Fixed-term Total

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

11 unchanged sentences

The Company continues to monitor broader economic indicators and their potential impact on future credit loss performance.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents the aging of the Company’s customer financing receivables, gross, including accrued interest, segregated by class, as of the dates indicated:

January 31, 2025 February 2, 2024

Current Past Due

>90 Days Total Current Past Due

>90 Days Total

The following table presents the aging of the Company’s customer financing receivables, gross, including accrued interest, as of the dates indicated:

January 30, 2026 January 31, 2025

(in millions)

Revolving $ 69 $ 12 $ 5 $ 86 $ 151 $ 17 $ 5 $ 173

Fixed-term 10,727 189 214 11,130 9,345 889 126 10,360

Total customer receivables, gross $ 10,796 $ 201 $ 219 $ 11,216 $ 9,496 $ 906 $ 131 $ 10,533

Current 0 — 30 Days $ 13,985 $ 10,796

Past Due 31 — 90 Days

Past Due > 90 Days 115 219

Total $ 14,295 $ 11,216

Aging is likely to fluctuate as a result of the variability in volume of large transactions entered into over the period, and the administrative processes that accompany those transactions.

1 unchanged sentence

As a result of these factors, fluctuations in aging from period to period do not necessarily indicate a material change in the collectibility of the portfolio.

Fixed-term customer receivables are placed on non-accrual status if principal or interest is past due and considered delinquent, or if there is concern about the collectibility of a specific customer receivable.

Customer receivables are placed on non-accrual status if principal or interest is past due and considered delinquent, or if there is concern about the collectibility of a specific customer receivable.

The receivables identified as doubtful for collectibility may be classified as current for aging purposes.

Aged revolving portfolio customer receivables identified as delinquent are charged off.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Credit Quality

The following tables present customer receivables, gross, including accrued interest, by credit quality indicator, segregated by class, as of the dates indicated:

The following tables present customer receivables, gross, including accrued interest, by credit quality indicator, as of the dates indicated:

January 30, 2026

Fixed-term — Fiscal Year of Origination

2025 2024 2023 2022 2021 Years Prior Revolving Total

Fiscal Year of Origination

2026 2025 2024 2023 2022 Years Prior Total

(in millions)

3 unchanged sentences

Total $ 7,901 $ 3,358 $ 2,058 $ 836 $ 117 $ 25 $ 14,295

February 2, 2024

Fixed-term — Fiscal Year of Origination

2024 2023 2022 2021 2020 Years Prior Revolving Total

January 31, 2025

Fiscal Year of Origination

2025 2024 2023 2022 2021 Years Prior Total

(in millions)

3 unchanged sentences

Total $ 5,302 $ 3,262 $ 1,964 $ 532 $ 147 $ 9 $ 11,216

The categories shown in the tables above segregate customer receivables based on the relative degrees of credit risk.

Credit quality indicators for revolving and fixed-term accounts are generally updated on a periodic basis.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The categories shown in the tables above segregate customer receivables, gross, based on the relative degrees of credit risk.

Credit quality indicators are updated on a periodic basis.

An internal grading system is utilized that assigns a credit level score based on a number of considerations, including liquidity, operating performance, and industry outlook.

The grading criteria and classifications for the fixed-term products differ from those for the revolving products as loss experience varies between these product and customer groups.

The credit quality categories cannot be compared between the different classes as loss experience varies substantially between the classes.

The following table presents amounts included in the Consolidated Statements of Income related to sales-type lease activity for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

7 unchanged sentences

$ 88 $ 289 $ 286

The following table presents the future maturity of the Company’s fixed-term customer leases and associated financing payments, and reconciles the undiscounted cash flows to the customer receivables, gross recognized on the Consolidated Statements of Financial Position as of the date indicated:

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents the future maturity of the Company’s customer leases and associated financing payments, and reconciles the undiscounted cash flows to the customer receivables, gross recognized on the Consolidated Statements of Financial Position as of the date indicated:

January 30, 2026

6 unchanged sentences

Total undiscounted cash flows 6,988

Fixed-term loans 4,914

Revolving loans 86

Unearned income ( 1,260 )

3 unchanged sentences

The following table presents the components of the Company’s operating lease portfolio included in property, plant, and equipment, net as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

2 unchanged sentences

Equipment under operating lease, net $ 2,459 $ 2,185

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents operating lease income related to lease payments and depreciation expense for the Company’s operating lease portfolio for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

1 unchanged sentence

Depreciation expense $ 1,001 $ 956 $ 941

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents the future payments to be received by the Company in operating lease contracts as of the date indicated:

10 unchanged sentences

The following table presents DFS debt as of the dates indicated and excludes the allocated portion of the Company’s other borrowings, which represents the additional amount considered to fund the DFS business:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

DFS debt (in millions)

6 unchanged sentences

Other borrowings 851 754

Note payable — 250

Dell Bank senior unsecured eurobonds 1,796 1,559

3 unchanged sentences

Total long-term DFS debt $ 3,420 $ 3,536

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Asset-Based Financing Facility — The Company maintains an asset-based financing facility in the United States, which is a revolving facility for fixed-term leases and loans.

6 unchanged sentences

See Note 8 of the Notes to the Consolidated Financial Statements for additional information about the Company’s interest rate swaps.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The asset-based financing facility contains standard structural features related to the performance of the funded receivables, which include defined credit losses, delinquencies, average credit scores, and minimum collection requirements.

12 unchanged sentences

As of January 30, 2026, these criteria were met.

Other Borrowings — In connection with the Company’s international financing operations, the Company has entered into revolving structured financing debt programs related to its fixed-term lease and loan products sold in Canada, Europe, Australia, New Zealand, the Middle East, and Singapore.

The debt under these programs has a variable interest rate.

The duration of the debt in Canada, Europe, Australia, New Zealand, and the Middle East is based on the terms of the underlying lease and loan payment streams.

The duration of the debt in Canada, Europe, Australia and New Zealand, and the Middle East is based on the terms of the underlying lease and loan payment streams.

These facilities are collateralized solely by the lease and loan payments and associated equipment in their respective region or country.

2 unchanged sentences

The Australia and New Zealand facility had a total debt capacity of $ 300 million as of January 30, 2026 and is effective through April 17, 2027.

The Middle East facility had a total debt capacity of $ 150 million as of January 31, 2025 and was effective through March 24, 2025.

Subsequent to the close of the fiscal year ended January 31, 2025, the Company extended the term of the Middle East facility to be effective through March 14, 2027.

The Company also has two unsecured Singapore facilities with a total debt capacity of $ 244 million as of January 31, 2025 that are effective through July 3, 2026 and July 3, 2027, respectively.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Note Payable — On May 25, 2022, the Company entered into an unsecured credit agreement which had an aggregate principal amount of $ 250 million to fund receivables in Mexico.

The note bore interest at an annual rate of 4.24 % and was paid in full on May 31, 2024.

The Middle East facility had a total debt capacity of $ 150 million as of January 30, 2026 and is effective through March 14, 2027.

The Company also has two unsecured Singapore facilities, which had a total debt capacity of $ 261 million as of January 30, 2026 and are effective through July 3, 2026 and July 3, 2027, respectively.

Dell Bank Senior Unsecured Eurobonds — On October 27, 2021, Dell Bank issued 500 million Euro of 0.5 % senior unsecured five-year eurobonds due October 2026.

2 unchanged sentences

The issuances of the senior unsecured eurobonds support the expansion of the financing operations in Europe.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Variable Interest Entities

In connection with the asset-based financing facility, securitization facility, and fixed-term securitization offerings discussed above, the Company transfers certain U.S.

In connection with the asset-based financing facility, fixed-term securitization offerings, and securitization facility discussed above, the Company transfers certain U.S.

and European lease and loan payments and associated equipment to SPEs that meet the definition of a VIE and are consolidated, along with the associated debt described above, into the Consolidated Financial Statements, as the Company is the primary beneficiary of the VIEs.

4 unchanged sentences

The Company’s risk of loss related to securitized receivables is limited to the amount by which the Company’s right to receive collections for assets securitized exceeds the amount required to pay interest, principal, and fees and expenses related to the asset-backed securities.

The Company provides credit enhancement to the securitization in the form of over-collateralization.

The Company provides credit enhancement to the securitization offerings in the form of over-collateralization.

The following table presents the assets and liabilities held by the consolidated VIEs as of the dates indicated, which are included in the Consolidated Statements of Financial Position:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

9 unchanged sentences

Long-term $ 1,933 $ 1,788

Lease and loan payments and associated equipment transferred via securitization through SPEs were $ 3.6 billion and $ 4.6 billion for the fiscal years ended January 31, 2025 and February 2, 2024, respectively.

Lease and loan payments and associated equipment transferred via securitization through SPEs were $ 4.2 billion and $ 3.6 billion for the fiscal years ended January 30, 2026, and January 31, 2025, respectively.

Customer Receivables Sales

To manage certain concentrations of customer credit exposure, the Company may sell selected fixed-term customer receivables to unrelated third parties on a periodic basis, without recourse.

The amount of customer receivables sold for this purpose was $ 79 million, $ 222 million, and $ 680 million for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, respectively.

The amounts of customer receivables sold for this purpose were immaterial for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024.

The Company’s continuing involvement in these customer receivables is primarily limited to servicing arrangements.

4 unchanged sentences

These lease contracts are typically classified as operating leases.

The Company’s lease contracts are generally for office buildings used to conduct its business, and the determination of whether such contracts contain leases generally does not require significant estimates or judgments.

The Company also leases certain global logistics warehouses, employee vehicles, and equipment.

As of January 31, 2025, the remaining terms of the Company’s leases range from one month to approximately eleven years .

As of January 31, 2025 and February 2, 2024, there were no material finance leases in which the Company was a lessee.

The Company’s lease contracts are generally for office space used to conduct its business, and the determination of whether such contracts contain leases generally does not require significant estimates or judgments.

The Company also leases certain property, equipment, and warehouses.

As of January 30, 2026, the remaining terms of the Company’s leases generally range from one month to approximately ten years .

As of January 30, 2026 and January 31, 2025, there were no material finance leases in which the Company was a lessee.

The Company also enters into leasing transactions in which the Company is the lessor, primarily through customer financing arrangements offered under DFS.

3 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

2 unchanged sentences

Total lease costs $ 316 $ 355 $ 371

During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, sublease income, finance lease costs, and short-term lease costs were immaterial.

During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, sublease income, finance lease costs, and short-term lease costs were immaterial.

The following table presents supplemental information related to operating leases included in the Consolidated Statements of Financial Position as of the dates indicated:

Classification January 31, 2025 February 2, 2024

Classification January 30, 2026 January 31, 2025

(in millions, except for term and discount rate)

9 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

19 unchanged sentences

The following table summarizes the Company’s outstanding debt as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

9 unchanged sentences

The Company completed the following transactions during the fiscal year ended January 30, 2026:

• the issuance of $ 1 billion principal amount of 5.40 % Senior Notes due April 2034, the proceeds of which were utilized to prepay a portion of the outstanding 6.02 % Senior Notes due June 2026;

• the repayment of $ 1 billion principal amount of the 4.00 % Senior Notes due July 2024;

• the issuance of $ 0.7 billion principal amount of 4.35 % Senior Notes due February 2030 and $ 0.8 billion principal amount of 4.85 % Senior Notes due February 2035, the proceeds of which were utilized to redeem the 5.85 % Senior Notes due July 2025.

• the issuance on April 1, 2025 of $ 1.0 billion principal amount of 4.75 % Senior Notes due April 2028, $ 1.0 billion principal amount of 5.00 % Senior Notes due April 2030, $ 1.0 billion principal amount of 5.30 % Senior Notes due April 2032, and $ 1.0 billion principal amount of 5.50 % Senior Notes due April 2035, the proceeds of which were utilized for general corporate purposes;

• the issuance on October 6, 2025 of $ 0.75 billion principal amount of 4.15 % Senior Notes due February 2029, $ 1.25 billion principal amount of 4.50 % Senior Notes due February 2031, $ 1.25 billion principal amount of 4.75 % Senior Notes due October 2032, and $ 1.25 billion principal amount of 5.10 % Senior Notes due February 2036, the proceeds of which were utilized for general corporate purposes and to prepay a portion of the outstanding 6.02 % Senior Notes due June 2026.

Subsequent to the close of the fiscal year ended January 30, 2026, the Company repaid the remaining outstanding $ 0.5 billion principal amount of 6.02 % Senior Notes due June 2026.

Outstanding Debt

Senior Notes — The Company completed offerings of multiple series of senior notes which were issued on June 1, 2016, June 22, 2016, March 20, 2019, April 9, 2020, December 13, 2021, January 24, 2023, March 18, 2024, and October 8, 2024 in aggregate principal amounts of $ 20.0 billion, $ 3.3 billion, $ 4.5 billion, $ 2.3 billion, $ 2.3 billion, $ 2.0 billion, $ 1.0 billion, and $ 1.5 billion, respectively (collectively, the “Senior Notes”).

The Senior Notes’ maturities range from 2026 through 2051.

Interest rates on these borrowings are fixed, ranging from 3.38 % to 8.35 %, and interest is payable semiannually.

Senior Notes — The Company completed offerings of multiple series of senior notes which were issued on June 1, 2016, June 22, 2016, March 20, 2019, April 9, 2020, December 13, 2021, January 24, 2023, March 18, 2024, October 8, 2024, April 1, 2025, and October 6, 2025 in aggregate principal amounts of $ 20.0 billion, $ 3.3 billion, $ 4.5 billion, $ 2.3 billion, $ 2.3 billion, $ 2.0 billion, $ 1.0 billion, $ 1.5 billion, $ 4.0 billion, and $ 4.5 billion, respectively (collectively, the “Senior Notes”).

The Senior Notes have maturity dates ranging from 2026 through 2051.

Interest rates on these borrowings are fixed, ranging from 3.38 % to 8.35 % per annum, and interest is payable semiannually.

Legacy Notes — The Company has outstanding unsecured notes and debentures (collectively, the “Legacy Notes”) that were issued by Dell Inc.

2 unchanged sentences

The Legacy Notes’ maturities range from 2028 through 2040.

Interest rates on these borrowings are fixed, ranging from 5.40 % to 7.10 %, and interest is payable semiannually.

Interest rates on these borrowings are fixed, ranging from 5.40 % to 7.10 % per annum, and interest is payable semiannually.

DFS Debt — See Note 5 and Note 8 of the Notes to the Consolidated Financial Statements, respectively, for discussion of DFS debt and the interest rate swap agreements that hedge a portion of that debt.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Revolving Credit Facility — The Company’s revolving credit facility provides the Company with revolving commitments in an aggregate principal amount of $ 6.0 billion for general corporate purposes and includes a letter of credit sub-facility of up to $ 0.5 billion and a swing-line loan sub-facility of up to $ 0.5 billion.

The revolving credit facility also allows the Company to obtain incremental additional commitments on one or more occasions in minimum amounts of $ 10 million.

The revolving credit facility allows the Company to obtain incremental additional commitments on one or more occasions in minimum amounts of $ 10 million.

The facility also acts as a backstop to provide liquidity support for the Company’s commercial paper program.

Borrowings under the revolving credit facility bear interest at a rate per annum equal to an applicable margin plus, at the borrowers’ option, either (a) the specified adjusted term Secured Overnight Financing Rate (“SOFR”) or (b) a base rate.

3 unchanged sentences

The facility matures on November 1, 2027.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

As of January 30, 2026, the Company had no outstanding borrowings under the revolving credit facility.

26 unchanged sentences

For derivatives designated as cash flow hedges, the Company assesses hedge effectiveness both at the onset of the hedge and at regular intervals throughout the life of the instruments.

For derivatives designated as fair value hedges, the Company assesses hedge effectiveness on qualifying instruments using the shortcut method whereby the hedges are considered perfectly effective at the onset of the hedge and over the life of the hedging relationship.

Foreign Exchange Risk

4 unchanged sentences

The majority of these contracts typically expire in twelve months or less.

During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, the Company did not discontinue any cash flow hedges related to foreign exchange contracts that had a material impact on the Company’s results of operations due to the probability that the forecasted cash flows would not occur.

During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 the Company did not discontinue any cash flow hedges related to foreign exchange contracts that had a material impact on the Company’s results of operations due to the probability that the forecasted cash flows would not occur.

The Company uses forward contracts to hedge monetary assets and liabilities denominated in a foreign currency.

9 unchanged sentences

The interest rate swaps economically convert the fixed rate on financing receivables to a one-month or three-month Euribor floating rate in order to match the floating rate nature of the banks’ funding pool.

The Company also uses interest rate swaps to manage the cash flows related to interest payments on senior unsecured eurobonds.

The interest rate swaps economically convert the fixed rate on the Company’s bonds to a floating rate to match the underlying lease repayments profile.

The Company also uses interest rate swaps to manage the cash flows related to interest payments on Dell Bank senior unsecured eurobonds.

The interest rate swaps economically convert the fixed rate on the eurobonds to a floating rate to match the underlying lease repayments profile.

These contracts are not designated for hedge accounting and most expire within five years or less.

See Note 5 of the Notes to the Consolidated Financial Statements for more information about the Dell Bank senior unsecured eurobonds.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

See Note 5 of the Notes to the Consolidated Financial Statements for more information about the senior unsecured eurobonds.

The Company utilizes cross-currency amortizing swaps to hedge the currency and interest rate risk exposure associated with the European securitization program.

2 unchanged sentences

Dollar amount and receives a fixed or floating amount in Euros linked to the one-month Euribor rate.

The notional value of the swaps amortizes in line with the expected cash flows and run-off of the securitized assets.

The notional value of the swaps amortizes in line with the expected cash flows and runoff of the securitized assets.

The swaps are not designated for hedge accounting and expire within five years or less.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Derivative Instruments

The following table presents the notional amounts of outstanding derivative instruments as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

6 unchanged sentences

The following table presents the effect of derivative instruments designated as cash flow hedging instruments on the Consolidated Statements of Financial Position and the Consolidated Statements of Income for the periods indicated:

Derivatives in Cash Flow Hedging Relationships Gain Recognized in Accumulated OCI, Net of Tax, on Derivatives

Location of Gain (Loss) Reclassified from Accumulated OCI into Income Gain (Loss) Reclassified from Accumulated OCI into Income

Derivatives in Cash Flow Hedging Relationships Gain (Loss) Recognized in Accumulated OCI, Net of Tax, on Derivatives Location of Gain (Loss) Reclassified from Accumulated OCI into Income Gain (Loss) Reclassified from Accumulated OCI into Income

(in millions) (in millions)

3 unchanged sentences

Total $ ( 432 ) Total $ ( 198 )

For the fiscal year ended February 2, 2024:

For the fiscal year ended January 31, 2025:

Total net revenue $ 100

9 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023 Location of Gain (Loss) Recognized

January 30, 2026 January 31, 2025 February 2, 2024 Location of Gain (Loss) Recognized

(in millions)

18 unchanged sentences

Total derivatives at fair value $ 122 $ 38 $ ( 96 ) $ ( 30 ) $ 34

February 2, 2024

January 31, 2025

Other Current Assets Other Non-Current Assets Other Current Liabilities Other Non-Current Liabilities Total Fair Value

22 unchanged sentences

Total derivative instruments $ 34 $ — $ 34 $ — $ ( 45 ) $ ( 11 )

February 2, 2024

January 31, 2025

Gross Amounts of Recognized Assets/(Liabilities) Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position Gross Amounts not Offset in the Statement of Financial Position Net Amount of Assets/ (Liabilities) Recognized in the Statement of Financial Position

8 unchanged sentences

NOTE 9 — GOODWILL AND INTANGIBLE ASSETS

The Infrastructure Solutions Group and Client Solutions Group reporting units are consistent with the reportable segments identified in Note 18 of the Notes to the Consolidated Financial Statements.

Corporate and other consists of results of Secureworks, VMware Resale, and Virtustream, each of which represents a separate reporting unit not classified as a reportable segment, either individually or collectively.

The Infrastructure Solutions Group (“ISG”) and Client Solutions Group (“CSG”) reporting units are consistent with the reportable segments identified in Note 18 of the Notes to the Consolidated Financial Statements.

Corporate and other consists of results of VMware Resale, Virtustream, and Secureworks prior to the sale of Secureworks as discussed in Note 1 of the Notes to the Consolidated Financial Statements, each of which represents a separate reporting unit not classified as a reportable segment, either individually or collectively.

The following table presents goodwill allocated to the Company’s reportable segments and changes in the carrying amount of goodwill as of the dates indicated:

2 unchanged sentences

Balances as of February 2, 2024 $ 15,041 $ 4,232 $ 427 $ 19,700

Goodwill acquired (a) 77 — — 77

Impact of foreign currency translation and other ( 153 ) — — ( 153 )

Balances as of February 2, 2024 15,041 4,232 427 19,700

Impact of foreign currency translation and other ( 153 ) — — ( 153 )

Reclassification to assets held for sale (b) — — ( 427 ) ( 427 )

Reclassification to assets held for sale (a) — — ( 427 ) ( 427 )

Balances as of January 31, 2025 $ 14,888 $ 4,232 $ — $ 19,120

Impact of foreign currency translation 366 — — 366

Goodwill acquired 61 — — 61

Balances as of January 30, 2026 $ 15,315 $ 4,232 $ — $ 19,547

____________________

(a) Goodwill acquired represents goodwill recognized in connection with the Company’s acquisition of Moogsoft Inc.

during the fiscal year ended February 2, 2024.

(b) During the fiscal year ended January 31, 2025, Secureworks goodwill was reclassified to current assets held for sale on the Consolidated Statements of Financial Position.

(a) During the fiscal year ended January 31, 2025, Secureworks goodwill was reclassified to current assets held for sale on the Consolidated Statements of Financial Position.

The sale of Secureworks was completed during the three months ended May 2, 2025.

See Note 1 of the Notes to the Consolidated Financial Statements for additional information about the sale of Secureworks.

1 unchanged sentence

The following table presents the Company’s intangible assets as of the dates indicated:

January 31, 2025 February 2, 2024

Gross Accumulated

Amortization Net Gross Accumulated

Amortization Net

January 30, 2026 January 31, 2025

Gross Accumulated Amortization Net Gross Accumulated Amortization Net

(in millions)

5 unchanged sentences

Total intangible assets $ 30,099 $ ( 25,566 ) $ 4,533 $ 30,072 $ ( 25,084 ) $ 4,988

Amortization expense related to definite-lived intangible assets was $ 0.7 billion, $ 0.8 billion, and $ 1.0 billion for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, respectively.

There were no material impairment charges related to intangible assets during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

Amortization expense related to definite-lived intangible assets was $ 0.5 billion, $ 0.7 billion and $ 0.8 billion for the fiscal years ended January 30, 2026, January 31, 2025 and February 2, 2024, respectively.

There were no material impairment charges related to intangible assets during the fiscal years ended January 30, 2026, January 31, 2025 and February 2, 2024.

DELL TECHNOLOGIES INC.

12 unchanged sentences

Goodwill and indefinite-lived intangible assets are tested for impairment annually during the third fiscal quarter and whenever events or circumstances may indicate that an impairment has occurred.

For the annual impairment review of the Infrastructure Solutions Group (“ISG”) and Client Solutions Group (“CSG”) reporting units during the third quarter of Fiscal 2025, the Company elected to bypass the assessment of qualitative factors to determine whether it was more likely than not that the fair value of a reporting unit was less than its carrying amount, including goodwill.

In electing to bypass the qualitative assessment, the Company proceeded directly to perform a quantitative goodwill impairment test to measure the fair value of each goodwill reporting unit relative to its carrying amount, and to determine the amount of goodwill impairment loss to be recognized, if any.

For the remaining reporting units, the Company performed a qualitative assessment of goodwill at the reporting unit level.

The qualitative assessment included consideration of the relevant events and circumstances affecting the reporting unit, including macroeconomic, industry and market conditions, overall financial performance, and trends in the public company market valuation, where applicable.

Additionally, Secureworks’ entry into an agreement, pursuant to which Secureworks was acquired in an all-cash transaction for approximately $ 0.9 billion, as discussed in Note 1 of the Notes to the Consolidated Financial Statements, provided a fair value indication that the Secureworks reporting unit exceeded its carrying value.

Management exercised significant judgment related to the above assessments, including the identification of goodwill reporting units, assignment of assets and liabilities to goodwill reporting units, assignment of goodwill to reporting units, and determination of the fair value of each goodwill reporting unit.

For the quantitative goodwill impairment test, the fair value of each goodwill reporting unit is generally estimated using a combination of public company multiples and discounted cash flow methodologies.

The discounted cash flow and public company multiples methodologies require significant judgment, including estimation of future revenues, gross margins, and operating expenses, which are dependent on internal forecasts, current and anticipated economic conditions and trends, selection of market multiples through assessment of the reporting unit’s performance relative to peer competitors, the estimation of the long-term revenue growth rate and discount rate of the Company’s business, and the determination of the Company’s weighted average cost of capital.

Changes in these estimates and assumptions could materially affect the fair value of the goodwill reporting unit, potentially resulting in a non-cash impairment charge.

The fair value of the indefinite-lived trade names is generally estimated using discounted cash flow methodologies.

These methodologies require significant judgment, including the estimation of future revenue, the estimation of the long-term revenue growth rate of the Company’s business and the determination of the Company’s weighted average cost of capital and royalty rates.

Changes in these estimates and assumptions could materially affect the fair value of the indefinite-lived intangible assets, potentially resulting in a non-cash impairment charge.

Based on the results of the annual impairment test performed during the fiscal year ended January 31, 2025, the fair values of each of the reporting units and indefinite-lived intangibles exceeded their carrying values.

No goodwill or indefinite-lived assets impairment test was performed during the fiscal year ended January 31, 2025 other than the Company’s annual impairment review and the assessment of Secureworks.

During the three months ended October 31, 2025, the Company performed the annual assessment for goodwill in each of its reporting units and indefinite-lived intangible assets.

The Company is permitted to conduct a qualitative assessment to determine whether it is necessary to perform a quantitative goodwill impairment test.

The Company’s qualitative assessment included consideration of the relevant events and circumstances affecting the reporting unit, including macroeconomic, industry and market conditions, recent market transactions, overall financial performance, trends in the public company market valuation, changes in projected future cash flows, and the results of the most recent quantitative assessment, where applicable.

Based on this assessment, the Company concluded that it was more likely than not that the estimated fair value of the reporting units and indefinite-lived intangible assets were higher than their respective carrying values.

No goodwill or indefinite-lived assets impairment test was performed during the fiscal year ended January 30, 2026 other than the Company’s annual impairment review.

DELL TECHNOLOGIES INC.

2 unchanged sentences

Deferred revenue consists of support and deployment services, software maintenance, training, Software-as-a-Service, and undelivered hardware and professional services, consisting of installations and consulting engagements.

Deferred revenue is recorded when the Company has invoiced or payments have been received for undelivered products or services where transfer of control has not occurred.

Deferred revenue is recorded when the Company has invoiced or payments have been received for undelivered products or services, or in situations where revenue recognition criteria have not been met.

Revenue is recognized as the Company’s performance obligations under the contract are completed.

1 unchanged sentence

Fiscal Year Ended

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

8 unchanged sentences

____________________

(a) For the fiscal year ended January 31, 2025, Other represents the reclassification of Secureworks deferred revenue to liabilities held for sale.

(a) Other represents adjustments to deferred revenue for acquisition and divestiture activities.

For the fiscal year ended January 31, 2025, Other represents the reclassification of Secureworks deferred revenue to liabilities held for sale.

See Note 1 of the Notes to the Consolidated Financial Statements for more information about the sale of Secureworks.

2 unchanged sentences

The value of the transaction price allocated to remaining performance obligations as of January 30, 2026 was approximately $ 82 billion.

The Company expects to recognize approximately 61 % of remaining performance obligations as revenue in the next twelve months , 20 % in the following twelve months , and the remainder thereafter.

The Company expects to recognize approximately 78 % of remaining performance obligations as revenue in the next twelve months , approximately 11 % in the following twelve months , and the remainder thereafter.

The aggregate amount of the transaction price allocated to remaining performance obligations does not include amounts owed under cancelable contracts where there is no substantive termination penalty.

The Company applied the practical expedient to exclude the value of remaining performance obligations for contracts for which revenue is recognized at the amount to which the Company has the right to invoice for services performed.

Remaining performance obligation estimates are subject to change and are affected by several factors, including terminations, changes in the scope of contracts, periodic revalidation, adjustments for revenue that have not materialized, and adjustments for currency.

Remaining performance obligation estimates are subject to change and are affected by multiple factors, including terminations, changes in the scope of contracts, periodic revalidation, adjustments for revenue that have not materialized, and adjustments for currency.

DELL TECHNOLOGIES INC.

4 unchanged sentences

Purchase obligations are primarily related to commitments with suppliers and software maintenance and support services.

As of January 31, 2025, such purchase obligations were $ 5.0 billion for Fiscal 2026, $ 0.6 billion for Fiscal 2027, and $ 0.9 billion for Fiscal 2028 and thereafter.

Other purchase obligations include the non-cancelable portion or the minimum cancellation fee under the contract.

As of January 30, 2026, such purchase obligations were $ 16.8 billion for Fiscal 2027, $ 0.6 billion for Fiscal 2028, $ 0.7 billion for Fiscal 2029, $ 0.3 billion for Fiscal 2030, and $ 0.4 billion for Fiscal 2031 and thereafter.

Legal Matters

4 unchanged sentences

For some matters, the incurrence of a liability is not probable or the amount cannot be reasonably estimated and therefore accruals have not been made.

The following is a discussion of the Company’s significant legal matters and other proceedings:

Class Actions Related to the Class V Transaction — On December 28, 2018, the Company completed a transaction (the “Class V transaction”) in which it paid $ 14.0 billion in cash and issued 149,387,617 shares of its Class C Common Stock to holders of its Class V Common Stock in exchange for all outstanding shares of Class V Common Stock.

As a result of the Class V transaction, the tracking stock feature of the Company’s capital structure associated with the Class V Common Stock was terminated.

Certain stockholders of the Company subsequently brought class action complaints arising out of the Class V transaction in which they named as defendants (collectively, the “defendants”) Michael S.

Dell and certain other directors serving on the Company’s board of directors at the time of the Class V transaction (collectively, the “director defendants”), certain stockholders of the Company, consisting of Mr.

Dell and Silver Lake Group, L.L.C.

and certain of its affiliated funds (collectively, the “stockholder defendants”), and Goldman Sachs & Co.

LLC, which served as financial advisor to the Company in connection with the transaction.

The plaintiffs generally alleged that the director defendants and the stockholder defendants breached their fiduciary duties under Delaware law to the former holders of the Class V Common Stock in connection with the Class V transaction by offering a transaction value that was allegedly billions of dollars below fair value.

As previously reported, during the fourth quarter of the fiscal year ended February 3, 2023, the plaintiffs and the defendants entered into an agreement to settle the lawsuit.

Under the terms of the settlement, the plaintiffs agreed to the dismissal of all claims upon payment of a total of $ 1.0 billion (the “settlement amount”), which included all costs, expenses and fees of the plaintiff class relating to the action and its resolution.

On May 16, 2023, during the fiscal year ended February 2, 2024, the Company paid the settlement amount following approval of the settlement by the Delaware Court of Chancery.

This matter is no longer material to the Company.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

R2 Semiconductor Patent Litigation — In November 2022, R2 Semiconductor, Inc.

(“R2”) filed a lawsuit in the Dusseldorf Regional Court in Germany against Intel Deutschland GmbH, Dell GmbH, and certain other customers of Intel Corporation.

R2 asserted that one European patent is infringed by certain Intel processors and those of the Company’s products that incorporate those processors.

R2 sought an injunction prohibiting the sale of the allegedly infringing products and damages for the alleged infringement.

The court conducted a trial on December 7, 2023 and, on February 7, 2024, issued a decision in favor of R2 and imposed an injunction prohibiting the sale and use of such products in Germany by Dell GmbH, and requiring Dell GmbH to issue a communication to certain customers recalling the covered products sold since March 5, 2020.

On February 8, 2024, the Company filed an appeal.

In April and May 2024, R2 filed lawsuits in Paris, France and Milan, Italy, against affiliates of Intel Corporation (“Intel”) and of the Company, raising similar allegations.

Intel agreed to defend the foregoing actions and indemnify the Company and its affiliates against certain losses incurred by the Company in connection with R2’s claims.

On August 30, 2024, Intel and R2 publicly announced an agreement to dismiss all litigation between the two companies that would include dismissal of all litigation against all subsidiaries of Dell Technologies named in the foregoing actions.

Pursuant to that agreement, the Italian lawsuit was dismissed on September 2, 2024, the German lawsuit was dismissed on September 4, 2024, and the French lawsuit was dismissed on September 6, 2024.

Other Litigation — Dell does not currently anticipate that any of the other legal proceedings it is involved in will have a material adverse effect on its business, financial condition, results of operations, or cash flows.

In accordance with the relevant accounting guidance, the Company provides disclosures of matters where it is at least reasonably possible that the Company could experience a material loss exceeding the amounts already accrued for these or other proceedings or matters.

Class Action Relating to Dell 401(k) Plan — On January 28, 2026, a complaint was filed in the U.S.

District Court for the Western District of Texas in a putative class action captioned Lowbruck et al.

Dell Technologies Inc., et al., against the Company, the Company’s Board of Directors, and the Dell Benefits Administration Committee alleging a breach of fiduciary duties under the Employment Retirement Income Security Act of 1974 (“ERISA”).

In the complaint, the plaintiffs seek a judicial declaration that the defendants breached their fiduciary duties by failing to remove imprudent investments from the Dell 401(k) (“Plan”) in a reasonable time, engaging in transactions allegedly prohibited under ERISA, and failing to monitor the fiduciaries responsible for the Plan’s administration.

The plaintiffs also seek, among other remedies, an award of damages, fees, and costs in an unspecified amount.

The Company intends to vigorously defend this action.

In addition, the Company also discloses matters based on its consideration of other matters and qualitative factors, including the experience of other companies in the industry, and investor, customer, and employee relations considerations.

As of January 31, 2025, the Company does not believe there is a reasonable possibility that a material loss exceeding the amounts already accrued for these or other proceedings or matters has been incurred.

As of January 30, 2026, the Company does not believe there is a reasonable possibility that a material loss exceeding the amounts already accrued for across all proceedings or matters has been incurred.

However, since the ultimate resolution of any such proceedings and matters is inherently unpredictable, the Company’s business, financial condition, results of operations, or cash flows could be materially affected in any particular period by unfavorable outcomes in one or more of these proceedings or matters.

4 unchanged sentences

Historically, payments related to these indemnification obligations have not been material to the Company.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Under the Separation and Distribution Agreement entered into with VMware, Inc.

upon completion of the spin-off of VMware, Inc.

on November 1, 2021 (the “VMware Spin-off”), Dell Technologies agreed to indemnify VMware, Inc., each of its subsidiaries and each of their respective directors, officers, employees, as well as any successors and assigns of the foregoing, from and against all liabilities relating to, arising out of or resulting from, among other matters, the liabilities allocated to Dell Technologies as part of the separation of Dell Technologies and VMware, Inc.

upon completion of its spin-off of VMware, Inc.

on November 1, 2021, Dell Technologies agreed to indemnify VMware, Inc., each of its subsidiaries and each of their respective directors, officers, employees, as well as any successors and assigns of the foregoing, from and against all liabilities relating to, arising out of or resulting from, among other matters, the liabilities allocated to Dell Technologies as part of the separation of Dell Technologies and VMware, Inc.

(currently operating under the name VMware LLC, and individually and together with its subsidiaries, “VMware”) and their respective businesses (the “Separation”).

1 unchanged sentence

The amounts that VMware and Dell Technologies may be obligated to pay each other could vary depending on the outcome of certain unresolved tax matters, which may not be resolved for several years.

Net income tax indemnification receivables from VMware were immaterial as of January 31, 2025 and February 2, 2024.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Net income tax indemnification receivables from VMware were immaterial as of January 30, 2026 and January 31, 2025.

Certain Concentrations

2 unchanged sentences

The Company has not sustained material credit losses from instruments held at these financial institutions.

Further, the Company does not anticipate nonperformance by any of the counterparties.

Further, the Company does not expect nonperformance by any of the counterparties.

The Company markets and sells its products and services to large corporate clients, governmental agencies, and health care and education accounts, as well as to small and medium-sized businesses and individuals.

No single customer accounted for more than 10% of the Company’s consolidated net revenue during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

One customer accounted for 12 % of the Company’s consolidated net revenue for the fiscal year ended January 30, 2026, with substantially all of such net revenue attributable to the sale of ISG offerings.

No single customer accounted for 10% or more of the Company’s consolidated net revenue for the fiscal years ended January 31, 2025 and February 2, 2024.

The Company utilizes a limited number of contract manufacturers that assemble a portion of its products.

2 unchanged sentences

Cash flows related to such transactions are recorded within cash flows from operating activities.

The Company does not reflect the sale of the components in revenue and does not recognize any profit on the component sales until the related products are sold to a customer.

The Company does not reflect the sale of the components in revenue and does not recognize any profit on the component sales until the Company sells the related products to the customer.

The agreements with the majority of the contract manufacturers permit the Company to offset its payables against the receivables, thus mitigating the credit risk wholly or in part.

Such receivables were $ 5.4 billion and $ 3.4 billion as of January 31, 2025 and February 2, 2024, respectively, and primarily consisted of receivables from the Company’s three largest contract manufacturers.

The Company offset its corresponding payables against $ 4.7 billion and $ 2.7 billion of such receivables as of January 31, 2025 and February 2, 2024, respectively.

Such receivables were $ 13.2 billion and $ 5.4 billion as of January 30, 2026 and January 31, 2025, respectively, and primarily consisted of receivables from the Company’s three largest contract manufacturers.

The Company offset its corresponding payables against $ 13.0 billion and $ 4.7 billion of such receivables as of January 30, 2026 and January 31, 2025, respectively.

The portion of receivables not offset is included in other current assets in the Consolidated Statements of Financial Position.

2 unchanged sentences

NOTE 12 — INCOME AND OTHER TAXES

The following table presents components of income (loss) before income taxes for the periods indicated:

Fiscal Year Ended

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

Domestic $ 986 $ ( 73 ) $ ( 52 )

Foreign 6,277 5,121 4,139

Income before income taxes $ 7,263 $ 5,048 $ 4,087

The following table presents components of the income tax expense (benefit) recognized for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

8 unchanged sentences

Income tax expense $ 1,327 $ 472 $ 715

The following table presents components of income (loss) before income taxes for the periods indicated:

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents a reconciliation of the Company’s effective tax rate to the statutory U.S.

federal tax rate for the period ended January 30, 2026, in accordance with the guidance in ASU 2023-09:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

(in millions)

Domestic $ ( 73 ) $ ( 52 ) $ ( 1,316 )

Foreign 5,121 4,139 4,541

Income before income taxes $ 5,048 $ 4,087 $ 3,225

January 30, 2026

Amount Percent

(in millions, except percentages)

federal statutory tax rate $ 1,525 21.0 %

State and local income taxes, net of federal income tax effect 166 2.3

Foreign tax effects:

Impact of reduced tax rate ( 447 ) ( 6.1 )

Other ( 179 ) ( 2.5 )

Other foreign jurisdictions 175 2.4

Effect of cross-border tax laws 127 1.8

Nontaxable or nondeductible items ( 87 ) ( 1.2 )

Tax credits ( 110 ) ( 1.5 )

Changes in unrecognized tax benefits 148 2.0

Other adjustments 9 0.1

Total $ 1,327 18.3 %

The following table presents a reconciliation of the Company’s effective tax rate to the statutory U.S.

federal tax rate for the periods indicated:

federal tax rate for the periods indicated, in accordance with the guidance prior to the adoption of ASU 2023-09:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 31, 2025 February 2, 2024

federal statutory rate 21.0 % 21.0 %

7 unchanged sentences

statutes of limitations ( 8.5 ) —

Class V transaction litigation settlement — — 5.8

Other ( 0.6 ) ( 0.5 )

Total 9.4 % 17.5 %

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Changes related to the Company’s effective tax rates for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023 were primarily attributable to discrete tax items and a change in the Company’s jurisdictional mix of income related to the tax impact of foreign operations and benefits from U.S.

Changes related to the Company’s effective tax rates for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 were primarily attributable to discrete tax items and a change in the Company’s jurisdictional mix of income related to the tax impact of foreign operations and benefits from U.S.

research and development tax credits.

1 unchanged sentence

statutes of limitations and $ 0.2 billion related to stock-based compensation.

The Company’s effective tax rate for the fiscal year ended February 3, 2023 included the impact of a $ 0.9 billion expense recognized in connection with the agreement to settle the Class V transaction litigation described in Note 11 of the Notes to the Consolidated Financial Statements.

The differences between the effective income tax rates and the U.S.

federal statutory rate of 21% principally result from the geographical distribution of income, differences between the book and tax treatment of certain items, and discrete tax items.

In certain jurisdictions, the Company’s tax rate is significantly lower than the applicable statutory rate as a result of tax holidays.

The majority of the Company’s foreign income subject to these tax holidays and lower tax rates is attributable to Singapore and China.

Starting in the fiscal year ended January 31, 2025, the benefits of these tax holidays were limited by the impact of the Organisation for Economic Co-operation and Development’s Pillar Two global minimum tax.

For the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, the income tax benefits attributable to the tax status of the affected subsidiaries were immaterial to the Company’s provision for income taxes and earnings per share.

As of January 31, 2025, the Company has undistributed earnings of certain foreign subsidiaries of approximately $ 36.9 billion that remain indefinitely reinvested, and as such has not recognized a deferred tax liability.

Determination of the amount of unrecognized deferred income tax liability related to these undistributed earnings is not practicable.

The Company believes that a significant portion of the Company’s undistributed earnings as of January 31, 2025 will not be subject to further U.S.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted into law in the United States.

The new law contains a broad range of tax reform provisions, which include the extension and modification of certain provisions of the Tax Cuts and Jobs Act.

Effective for the fiscal year ended January 30, 2026, changes include, but are not limited to, immediate expensing of domestic research and development expenditures, the restoration of 100% bonus depreciation, and an EBITDA-based interest expense limitation.

These provisions did not have a material impact on the Company’s Consolidated Financial Statements for the fiscal year ended January 30, 2026.

The impact of reduced tax rate for Singapore shown in the rate reconciliation table for the fiscal year ended January 30, 2026, and the tax impact of foreign operations for the fiscal years ended January 31, 2025, and February 2, 2024 shown in the rate reconciliation table for those fiscal years, reflect tax benefits from a tax holiday in one of the Company’s subsidiaries in Singapore.

The tax holiday is in effect until January 31, 2029 and may be extended when certain conditions are met or may be terminated early if certain conditions are not met or as a result of changes in legislation.

As of January 30, 2026, the Company was not aware of any matters of non-compliance related to this tax holiday or enacted tax legislative changes affecting this tax holiday.

For the fiscal year ended January 30, 2026, the overall income tax benefit attributable to this tax holiday was estimated to be approximately $ 0.4 billion ($ 0.58 per share).

For the fiscal years ended January 31, 2025 and February 2, 2024, the overall income tax benefits attributable to the tax status of the affected subsidiary were immaterial to the Company’s provision for income taxes and earnings per share.

As of January 30, 2026, the Company has not recognized a deferred tax liability for the undistributed earnings of certain foreign subsidiaries that remain indefinitely reinvested.

A significant portion of these undistributed earnings would not be subject to further U.S.

federal taxation.

Determination of the amount of unrecognized deferred tax liability related to these undistributed earnings is not practicable.

The following table presents the components of the Company’s net deferred tax assets (liabilities) as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

28 unchanged sentences

Total $ 4,644 $ ( 1,709 ) $ 2,935

February 2, 2024

January 31, 2025

Deferred Tax Assets Valuation Allowance Net Deferred Tax Assets First Year Expiring

4 unchanged sentences

Total $ 4,165 $ ( 1,368 ) $ 2,797

The Company’s credit carryforwards as of January 31, 2025 and February 2, 2024 relate primarily to U.S.

tax credits and include state tax credits associated with research and development, as well as foreign tax credits associated with the U.S.

Tax Cuts and Jobs Act.

The Company assessed the realizability of these U.S.

tax credits and has recorded a valuation allowance against the credits it does not expect to utilize.

The Company’s loss carryforwards as of January 31, 2025 and February 2, 2024 include net operating loss carryforwards from federal, state, and foreign jurisdictions.

The valuation allowances for other deferred tax assets as of January 31, 2025 and February 2, 2024 primarily relate to foreign jurisdictions, the changes in which are included in the tax impact of foreign operations in the Company’s effective tax reconciliation.

The Company’s credit carryforwards as of January 30, 2026 and January 31, 2025 relate to U.S.

tax credits that include state tax credits associated with research and development and U.S.

foreign tax credits associated with the U.S.

Tax Cuts and Jobs Act, as well as foreign tax credits from non-U.S.

jurisdictions.

The Company assessed the realizability of these tax credits and has recorded a valuation allowance against the credits it does not expect to utilize.

The Company’s loss carryforwards as of January 30, 2026 and January 31, 2025 include net operating loss carryforwards from federal, state, and foreign jurisdictions.

The valuation allowances for other deferred tax assets as of January 30, 2026 and January 31, 2025 primarily relate to foreign jurisdictions, the changes in which are included in the tax impact of foreign operations in the Company’s effective tax reconciliation.

The Company has determined that it will be able to realize the remainder of its deferred tax assets.

1 unchanged sentence

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

7 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

Beginning Balance $ 2,367 $ 1,812 $ 1,595

Balance at beginning of period $ 1,976 $ 2,367 $ 1,812

Increases related to tax positions of the current year 133 121 4

3 unchanged sentences

Audit settlements ( 15 ) ( 32 ) ( 65 )

Ending Balance $ 1,976 $ 2,367 $ 1,812

The table above does not include accrued interest and penalties of $ 0.2 billion as of January 31, 2025 and $ 0.4 billion as of both February 2, 2024 and February 3, 2023.

The table also does not include certain tax benefits associated with interest and state tax deductions and other indirect jurisdictional effects of uncertain tax positions, which were $ 1.3 billion, $ 1.4 billion, and $ 0.9 billion as of January 31, 2025, February 2, 2024, and February 3, 2023, respectively.

After taking these items into account, the Company’s net unrecognized tax benefits were $ 0.9 billion as of January 31, 2025 and $ 1.3 billion as of February 2, 2024 and February 3, 2023, and are included in other non-current liabilities i n the Consolidated Statements of Financial Position .

The unrecognized tax benefits in the table above include $ 0.9 billion, $ 1.2 billion, and $ 1.1 billion as of January 31, 2025, February 2, 2024, and February 3, 2023, respectively, that, if recognized, would have impacted income tax expense.

Balance at end of period $ 2,097 $ 1,976 $ 2,367

The table above does not include accrued interest and penalties of $ 0.3 billion as of January 30, 2026, $ 0.2 billion as of January 31, 2025, and $ 0.4 billion as of February 2, 2024.

The table also does not include certain tax benefits associated with interest and state tax deductions and other indirect jurisdictional effects of uncertain tax positions, which were $ 1.3 billion as of both January 30, 2026 and January 31, 2025, and $ 1.4 billion as of February 2, 2024.

After taking these items into account, the Company’s net unrecognized tax benefits were $ 1.1 billion as of January 30, 2026, $ 0.9 billion as of January 31, 2025, and $ 1.3 billion as of February 2, 2024, and are included in other non-current liabilities i n the Consolidated Statements of Financial Position .

The unrecognized tax benefits in the table above include $ 1.0 billion, $ 0.9 billion, and $ 1.2 billion as of January 30, 2026, January 31, 2025, and February 2, 2024, respectively, that, if recognized, would have impacted income tax expense.

Interest and penalties related to income tax liabilities are included in income tax expense.

The impact of interest and penalties on the Company’s tax provision was immaterial for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

The impact of interest and penalties on the Company’s tax provision was immaterial for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024.

In June 2023, the Company received a Revenue Agent’s Report for the federal income tax examination by the Internal Revenue Service (“IRS”) of fiscal years 2018 through 2019.

The IRS proposed adjustments primarily relating to certain transactions the Company completed as part of its business integration efforts.

The IRS proposed significant adjustments primarily relating to certain transactions the Company completed as part of its business integration efforts.

In August 2023, the Company submitted a written protest to the IRS relating to certain assessments.

1 unchanged sentence

The Company disagrees with the IRS’s proposed adjustments and will contest them through the IRS administrative appeals procedures.

The Company anticipates that the appeals process for the resolution of these matters will extend beyond the next twelve months.

The IRS is also currently conducting a federal income tax examination of fiscal years 2020 through 2022.

The Company expects to continue discussions with the IRS Independent Office of Appeals throughout the next fiscal year and anticipates that the appeals process for the resolution of these matters will extend beyond the next twelve months.

The IRS is also currently conducting a federal income tax examination of the Company for fiscal years 2020 through 2022.

The Company is also currently under income tax audits in various U.S.

3 unchanged sentences

state and foreign taxing jurisdictions, the Company is generally not subject to tax examinations for years prior to the fiscal year ended February 2, 2018.

Judgment is required in evaluating the Company’s uncertain tax positions and determining the Company’s provision for income taxes.

The Company believes that it has provided adequate reserves related to all matters contained in tax periods open to examination, including the IRS audits described above.

Although the Company believes it has made adequate provisions for the uncertainties with respect to these audits, should the Company experience unfavorable outcomes, such outcomes could have a material impact on its results of operations, financial position, and cash flows.

Judgment is required in evaluating the Company’s uncertain tax positions and determining the Company’s provision for income taxes.

The Company does not anticipate a significant change to the total amount of unrecognized tax benefits within the next twelve months.

DELL TECHNOLOGIES INC.

13 unchanged sentences

(in millions)

Balances as of January 28, 2022 $ ( 526 ) $ 129 $ ( 34 ) $ ( 431 )

Balances as of February 3, 2023 $ ( 747 ) $ ( 222 ) $ ( 32 ) $ ( 1,001 )

Other comprehensive income (loss) before reclassifications ( 8 ) 85 15 92

1 unchanged sentence

Total change for the period ( 8 ) 192 17 201

Change in comprehensive loss attributable to non-controlling interests ( 1 ) — — ( 1 )

Balances as of February 2, 2024 $ ( 755 ) $ ( 30 ) $ ( 15 ) $ ( 800 )

2 unchanged sentences

Total change for the period ( 268 ) 135 ( 6 ) ( 139 )

Balances as of February 2, 2024 $ ( 755 ) $ ( 30 ) $ ( 15 ) $ ( 800 )

Balances as of January 31, 2025 $ ( 1,023 ) $ 105 $ ( 21 ) $ ( 939 )

Other comprehensive income (loss) before reclassifications 450 ( 432 ) ( 2 ) 16

Amounts reclassified from accumulated other comprehensive income (loss) — 198 ( 2 ) 196

Sale of Secureworks (a) 8 — — 8

Total change for the period 458 ( 234 ) ( 4 ) 220

Balances as of January 30, 2026 $ ( 565 ) $ ( 129 ) $ ( 25 ) $ ( 719 )

____________________

(a) See Note 1 of the Notes to the Consolidated Financial Statements for more information about the sale of Secureworks.

Amounts related to the Company’s cash flow hedges are reclassified to net income during the same period in which the items being hedged are recognized in earnings.

2 unchanged sentences

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

The following table presents reclassifications out of accumulated other comprehensive income (loss), net of tax, to net income for the periods indicated:

The following tables present reclassifications out of accumulated other comprehensive income (loss), net of tax, to net income for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

Cash Flow Hedges Pensions Total Cash Flow Hedges Pensions Total Cash Flow Hedges Pensions Total

4 unchanged sentences

Operating expenses — ( 1 ) ( 1 ) — 6 6 — ( 2 ) ( 2 )

Interest and other, net — 3 3 — — — — — —

Total reclassifications, net of tax $ ( 198 ) $ 2 $ ( 196 ) $ 111 $ 6 $ 117 $ ( 107 ) $ ( 2 ) $ ( 109 )

11 unchanged sentences

8,800 844 652

Common stock as of February 2, 2024

Common stock as of January 31, 2025

Class A 600 277 277

5 unchanged sentences

The Company is authorized to issue one million shares of preferred stock, par value $ 0.01 per share.

As of January 31, 2025 and February 2, 2024, no shares of preferred stock were issued or outstanding.

As of January 30, 2026 and January 31, 2025, no shares of preferred stock were issued or outstanding.

Dell Technologies Common Stock — The Class A Common Stock, the Class B Common Stock, the Class C Common Stock, and the Class D Common Stock are collectively referred to as Dell Technologies Common Stock.

6 unchanged sentences

Conversion Rights — Under the Company’s certificate of incorporation, at any time and from time to time, any holder of Class A Common Stock or Class B Common Stock has the right to convert all or any of the shares of Class A Common Stock or Class B Common Stock, as applicable, held by such holder into shares of Class C Common Stock on a one -to-one basis.

During the fiscal year ended January 30, 2026, the Company issued approximately 10 million shares of Class C Common Stock to stockholders upon the conversion of an immaterial number of shares of Class A Common Stock shares and 10 million shares of Class B Common Stock in accordance with the Company’s certificate of incorporation.

During the fiscal year ended January 31, 2025, the Company issued 100 million shares of Class C Common Stock to stockholders upon the conversion of 76 million shares of Class A Common Stock and 24 million shares of Class B Common Stock in accordance with the Company’s certificate of incorporation.

During the fiscal year ended February 2, 2024, the Company issued 34 million shares of Class C Common Stock to stockholders upon the conversion of 25 million shares of Class A Common Stock and 9 million shares of Class B Common Stock in accordance with the Company’s certificate of incorporation.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

During the fiscal year ended February 3, 2023, there were no conversions of shares of Class A Common Stock or Class B Common Stock into shares of Class C Common Stock.

The Company paid the following dividends during the periods presented:

3 unchanged sentences

June 17, 2025 July 22, 2025 August 1, 2025 $ 0.525 $ 355

September 18, 2024 October 22, 2024 November 1, 2024 $ 0.445 $ 312

September 4, 2025 October 21, 2025 October 31, 2025 $ 0.525 $ 351

December 4, 2025 January 20, 2026 January 30, 2026 $ 0.525 $ 344

March 2, 2023 April 25, 2023 May 5, 2023 $ 0.37 $ 270

February 29, 2024 April 23, 2024 May 3, 2024 $ 0.445 $ 316

June 11, 2024 July 23, 2024 August 2, 2024 $ 0.445 $ 314

September 18, 2024 October 22, 2024 November 1, 2024 $ 0.445 $ 312

December 5, 2023 January 23, 2024 February 2, 2024 $ 0.37 $ 261

During the fiscal year ended January 31, 2025 and February 2, 2024, the Company also paid an immaterial amount of dividend equivalents on eligible vested equity awards which are not included above.

On February 27, 2025, subsequent to the close of the Company’s fiscal year ended January 31, 2025, the Company announced that the Board of Directors approved an 18 % increase in the dividend rate to $ 0.525 per share per fiscal quarter beginning in the first quarter of the fiscal year ending January 30, 2026.

December 3, 2024 January 22, 2025 January 31, 2025 $ 0.445 $ 310

During the fiscal years ended January 30, 2026 and January 31, 2025, the Company also paid an immaterial amount of dividend equivalents on eligible vested equity awards which are not included above.

On February 26, 2026, subsequent to the close of the Company’s fiscal year ended January 30, 2026, the Company announced that the Board of Directors approved a 20 % increase in the quarterly dividend rate to $ 0.630 per share per fiscal quarter beginning in the first quarter of the fiscal year ending January 29, 2027.

Repurchases of Common Stock

On September 23, 2021, the Company’s Board of Directors approved the Company’s current stock repurchase program with no fixed expiration date under which the Company may repurchase up to $ 5 billion of shares of Class C Common Stock, exclusive of any fees, commissions, or other expenses related to such repurchases.

On October 5, 2023 and February 27, 2025, subsequent to the close of the fiscal year ended January 31, 2025, the Company’s Board of Directors authorized additional shares for repurchase under the program of $ 5 billion and $ 10 billion, respectively.

Following the February 27, 2025 approval, the Company had approximately $ 11.5 billion of authorized shares remaining under the program.

On September 23, 2021, the Company’s Board of Directors approved the Company’s current stock repurchase program with no fixed expiration date under which the Company may repurchase a specified dollar value of Class C Common Stock, exclusive of any fees, commissions, or other expenses related to such repurchases.

As of January 30, 2026, the Company’s Board of Directors authorized the repurchase of up to $ 20 billion of Class C Common Stock and on February 26, 2026, subsequent to the close of the fiscal year ended January 30, 2026, authorized an additional $ 10 billion of Class C Common Stock for repurchase.

Following the February 26, 2026 approval, the Company had approximately $ 15.2 billion of authorized shares remaining for repurchase under the program.

During the fiscal year ended January 30, 2026, the Company repurchased approximately 54 million shares of Class C Common Stock for a total purchase price of approximately $ 6.0 billion.

During the fiscal year ended February 2, 2024, the Company repurchased approximately 34 million shares of Class C Common Stock for a total purchase price of approximately $ 2.1 billion.

During the fiscal year ended January 31, 2025, the Company repurchased approximately 22 million shares of Class C Common Stock for a total purchase price of approximately $ 2.6 billion.

During the fiscal year ended February 2, 2024, the Company repurchased approximately 34 million shares of Class C Common Stock for a total purchase price of approximately $ 2.1 billion.

The above repurchases of Class C Common Stock exclude U.S.

federal excise taxes and shares withheld from stock awards to settle employee tax withholding obligations related to the vesting of such awards.

federal excise taxes and shares withheld from equity awards to settle employee tax withholding obligations related to the vesting of such awards.

DELL TECHNOLOGIES INC.

6 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

Earnings per share attributable to Dell Technologies Inc.

3 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

12 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

10 unchanged sentences

2023 Stock Incentive Plan, which became effective on June 20, 2023 upon its approval by stockholders (the “2023 Plan”).

The 2023 Plan authorizes the Company to grant stock options, restricted stock units (“RSUs”), stock appreciation rights (“SARs”), restricted stock awards, deferred stock units, and dividend equivalents.

The 2023 Plan authorizes the Company to grant stock options, RSUs, stock appreciation rights (“SARs”), restricted stock awards, deferred stock units, and dividend equivalents.

The 2023 Plan replaced the Dell Technologies Inc.

4 unchanged sentences

Restricted Stock — The Company’s awards primarily consist of RSUs granted to employees.

During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, the Company granted long-term incentive awards in the form of service-based RSUs and performance-based RSUs (“PSUs”) in order to align critical talent retention programs with the interests of holders of the Class C Common Stock.

Service-based RSUs have a fair value based on the closing price of the Class C Common Stock price as reported on the NYSE on the grant date or the trade day immediately preceding the grant date, if the grant date falls on a non-trading day.

The majority of such RSUs vest ratably over a three-year period.

During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, the Company granted long-term incentive awards in the form of service-based RSUs and performance-based RSUs (“PSUs”) in order to align critical talent retention programs with the interests of holders of the Class C Common Stock.

Each service-based RSU represents the right to acquire one share of Class C Common Stock upon vesting.

The PSUs granted during the periods presented are reflected as target units for performance periods not yet complete.

The actual number of units that ultimately vest will range from 0 % to 200 % of target, based on the level of achievement of the performance goals and continued employment with the Company over a three-year performance period.

Approximately half of the PSUs granted are subject to achievement of market-based performance goals based on relative total shareholder return and were valued utilizing a Monte Carlo valuation model to simulate the probabilities of achievement.

The remaining PSUs are subject to internal financial measures and have fair values based on the closing price of the Class C Common Stock as reported on the NYSE on the accounting grant date.

The actual number of units that ultimately vest will range from 0 % to 200 % of the target number, based on the level of achievement of the performance goals and continued employment with the Company over a three-year performance period.

Vesting of approximately half of the PSUs granted is subject to achievement of market-based performance goals based on relative total shareholder return and vesting of the remaining PSUs is subject to achievement of internal financial performance measures.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Beginning with grants made during the fiscal year ended February 3, 2023, dividend equivalents accrue on outstanding RSUs and PSUs when a dividend is paid to the Company’s common stockholders.

Accrued dividend equivalents will be paid when the underlying RSUs and PSUs vest.

The following table presents the assumptions utilized in the Monte Carlo valuation model for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

Weighted-average grant date fair value $ 116.03 $ 172.99 $ 43.91

7 unchanged sentences

(in millions) (per unit)

Outstanding as of January 28, 2022 59 $ 31.67

Outstanding as of February 3, 2023 50 $ 39.44

Granted 23 39.62

5 unchanged sentences

Forfeited ( 4 ) 56.93

Outstanding as of February 2, 2024 39 44.68

Outstanding as of January 31, 2025 26 60.51

Granted 8 86.52

2 unchanged sentences

Outstanding as of January 30, 2026 (b)

19 $ 76.42 $ 2,164

Vested and expected to vest, January 30, 2026

18 $ 75.50 $ 2,083

____________________

(a) The aggregate intrinsic value represents the total pre-tax intrinsic values based on the closing price of $ 114.44 of the Class C Common Stock on January 30, 2026 as reported on the NYSE that would have been received by the RSU holders if the RSUs had been issued as of January 30, 2026.

(b) As of January 30, 2026, the 19 million units outstanding included 14 million RSUs and 5 million PSUs.

The total fair value of RSU awards that vested during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023 was $ 795 million, $ 973 million, and $ 827 million, respectively, with a pre-tax intrinsic value of $ 1,984 million, $ 1,230 million, and $ 1,371 million, respectively.

As of January 31, 2025, there was $ 772 million of unrecognized stock-based compensation expense, net of estimated forfeitures, related to these awards expected to be recognized over a weighted-average period of approximately 1.7 years.

The total fair value of RSU awards that vested during the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 was $ 0.7 billion, $ 0.8 billion, and $ 1.0 billion, respectively, with a pre-tax intrinsic value of $ 1.4 billion, $ 2.0 billion, and $ 1.2 billion, respectively.

As of January 30, 2026, there was $ 0.7 billion of unrecognized stock-based compensation expense, net of estimated forfeitures, related to these awards expected to be recognized over a weighted-average period of approximately 1.7 years.

Dell Technologies Shares Withheld for Taxes — Shares of Class C Common Stock are generally withheld from issuance to cover employee taxes for the vesting of restricted stock units.

For the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, 4 million, 5 million, and 9 million shares, respectively, were withheld to cover $ 0.4 billion, $ 0.6 billion, and $ 0.4 billion, respectively, of employees’ tax obligations.

The value of the withheld shares was classified as a reduction to common stock and capital in excess of par value.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Dell Technologies Shares Withheld for Taxes — Beginning in the fiscal year ended February 3, 2023, shares of Class C Common Stock are generally withheld from issuance to cover employee taxes for the vesting of restricted stock units.

For the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, 5.0 million, 9.0 million, and 8.0 million shares, respectively, were withheld to cover $ 568 million, $ 366 million, and $ 388 million, respectively, of employees’ tax obligations.

The value of the withheld shares was classified as a reduction to common stock and capital in excess of par value.

Stock Option Activity — In addition to RSU activity, the Company also had stock option activity which was not material during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

Stock options are granted with option exercise prices equal to the fair market value of the Company’s Class C Common Stock and expire ten years after the grant date.

In addition to the 2023 Plan described above, the Company’s consolidated subsidiary, Secureworks, maintains its own equity plan and issues equity grants settling in its Class A common stock.

The stock option and restricted stock unit activity under this plan was not material to the Company during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

Stock Option Activity — Stock options are granted with option exercise prices equal to the fair market value of the Company’s Class C Common Stock and expire ten years after the grant date.

On September 30, 2025, the Compensation Committee of the Board of Directors approved a stock option grant to the Chief Operating Officer to purchase 2.5 million shares of the Company’s Class C Common Stock (the “COO option award”) under the 2023 Plan.

The COO option award has a ten-year term, an exercise price of $ 141.77 per share, and a grant date fair value of approximately $ 132 million, of which the Company recognized an immaterial amount of compensation expense for the fiscal year ended January 30, 2026.

Vesting in the stock option award is contingent upon achievement of a Company market capitalization goal, a Company adjusted free cash flow performance goal as of January 31, 2031, and continued service through March 15, 2031.

Stock option activity was not material during the fiscal years ended January 31, 2025 and February 2, 2024.

DELL TECHNOLOGIES INC.

7 unchanged sentences

Pension Plan — The Company sponsored a noncontributory defined benefit retirement plan in the United States (the “U.S.

pension plan”), which was assumed in connection with the EMC merger transaction that was completed in September 2016.

pension plan”), which was assumed in connection with the EMC Corporation merger transaction that was completed in September 2016.

As of December 1999, the U.S.

pension plan was frozen, so employees no longer accrue retirement benefits for future services.

pension plan was frozen and employees no longer accrued retirement benefits for future services.

On August 20, 2024, the Company’s Board of Directors approved an amendment to terminate the U.S.

pension plan with an effective date of September 30, 2024.

The Company is transitioning the U.S.

pension plan to a qualified insurance company and expects settlement in 12 to 18 months from the termination effective date.

The Company does not expect the settlement of the U.S.

pension plan obligations to have a material impact on its Consolidated Financial Statements.

On September 24, 2025, the Company settled its remaining obligations under the U.S.

pension plan by making distributions in the form of lump-sum payments to participants or by purchasing third-party annuities on behalf of the participant, at the participants’ election.

At the time of settlement, the Company recognized a net gain of $ 15 million which was recorded within interest and other, net.

The measurement date for the U.S.

1 unchanged sentence

The Company did not make any material contributions to the U.S.

pension plan for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

pension plan for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024.

Net periodic benefit costs related to the U.S.

pension plan were immaterial for the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

The following table presents attributes of the U.S.

pension plan as of the dates indicated:

January 31, 2025 February 2, 2024

(in millions)

Plan assets at fair value (a) $ 423 $ 440

Benefit obligations ( 437 ) ( 457 )

Underfunded position (b) $ ( 14 ) $ ( 17 )

____________________

(a) Plan assets are managed by outside investment managers.

Assets are recognized at fair value and are primarily classified within Level 2 of the fair value hierarchy.

(b) The underfunded position of the U.S.

pension plan is recognized in other non-current liabilities in the Consolidated Statements of Financial Position.

As of January 31, 2025, future benefit payments for the U.S.

pension plan are expected to be paid as follows:

$ 38 million in Fiscal 2026;

$ 39 million in Fiscal 2027;

$ 39 million in Fiscal 2028;

$ 39 million in Fiscal 2029;

$ 38 million in Fiscal 2030;

and $ 176 million from Fiscal 2031 through Fiscal 2035.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

International Pension Plans — The Company also sponsors retirement plans outside of the United States that qualify as defined benefit plans.

pension plan were immaterial for the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024.

The underfunded position of the plan as of January 31, 2025, was $ 14 million and was recognized in other non-current liabilities in the Consolidated Statements of Financial Position.

As of January 31, 2025, plan assets at fair value were $ 423 million and benefit obligations were $ 437 million.

Plan assets were managed by outside investment managers.

Assets were recognized at fair value and were primarily classified within Level 2 of the fair value hierarchy.

International Pension Plans — The Company sponsors retirement plans outside of the United States that qualify as defined benefit plans.

The following table presents attributes of the international pension plans as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

5 unchanged sentences

The Company’s investment strategy with respect to plan assets is to achieve a long-term growth of capital, consistent with an appropriate level of risk.

Assets are recognized at fair value and are primarily classified within Level 2 of the fair value hierarchy for the fiscal year ended January 31, 2025 and were primarily classified within Level 1 of the fair value hierarchy for the fiscal year ended February 2, 2024.

Assets are recognized at fair value and are primarily classified within Level 2 of the fair value hierarchy for both the fiscal years ended January 30, 2026 and January 31, 2025.

(b) The underfunded position is recognized in other non-current liabilities in the Consolidated Statements of Financial Position.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Defined Contribution Retirement Plans

5 unchanged sentences

The Company’s matching contributions as well as participants’ voluntary contributions are invested according to each participant’s elections in the investment options provided under the Dell 401(k) Plan.

The Company’s contributions during the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023 were $ 218 million, $ 238 million, and $ 263 million, respectively.

The Company’s contributions during the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024 were $ 198 million, $ 218 million, and $ 238 million, respectively.

DELL TECHNOLOGIES INC.

4 unchanged sentences

The Company organizes its reportable segments based on the manner in which management evaluates the performance of the Company.

The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”).

The Company’s Chief Executive Officer is the CODM.

The CODM is regularly provided and reviews segment revenue and segment operating income to assess the performance of each segment and allocate resources to the segments in the annual planning process.

The Company’s measure of segment revenue and segment operating income for management reporting purposes excludes Corporate and other, amortization of intangible assets, stock-based compensation expense, and other corporate expenses, as applicable, which are not used in evaluating the results of, or in allocating resources to, the segments.

The Company does not allocate assets to the above reportable segments for internal reporting purposes.

Additionally, the accounting policies of the segments are the same as those described in Note 2 of the Notes to the Consolidated Financial Statements.

ISG includes the Company’s servers and networking offerings and storage offerings.

The Company’s server portfolio includes high-performance general-purpose and AI-optimized servers.

The Company does not allocate assets to the reportable segments for internal reporting purposes.

The accounting policies of the segments are the same as those described in Note 2 of the Notes to the Consolidated Financial Statements.

As a result, ISG includes the Company’s AI-optimized servers offerings, traditional servers and networking offerings, and storage offerings as major product categories.

The Company’s AI-optimized servers are designed to run high-value workloads, including AI model training, fine-tuning, and inferencing.

The Company’s traditional servers are high-performance general-purpose servers designed to deliver scalable performance, reliability, and efficient management across a wide range of enterprise workloads.

The Company’s networking portfolio includes wide area network infrastructure, data center and edge networking switches, and cables and optics.

The Company’s comprehensive storage portfolio includes modern and traditional storage solutions, including all-flash arrays, scale-out file, object platforms, hyper-converged infrastructure, and software-defined storage.

The Company’s comprehensive storage portfolio includes modern and traditional storage solutions that span primary, unstructured and data protection offerings and are delivered through multiple architectures, including all-flash, purpose-built, software-defined, and hyper-converged infrastructure platforms.

ISG also offers software, peripherals, and services, including consulting and support and deployment.

CSG includes the Company’s commercial offerings and consumer offerings.

CSG includes the Company’s commercial offerings and consumer offerings as major product categories.

The Company’s CSG portfolio includes branded PCs, including notebooks, desktops, and workstations and branded peripherals that include displays, docking stations, keyboards, mice, and webcam and audio devices, as well as third-party software and peripherals.

CSG also includes services offerings, such as configuration, support and deployment, and extended warranties.

Following its acquisition by Broadcom on November 22, 2023, VMware announced changes to its go-to-market approach for VMware offerings that impacted the Company’s commercial relationship with VMware.

On March 25, 2024, the Company terminated the Commercial Framework Agreement with VMware, which provided the framework pursuant to which the Company and VMware continued the commercial relationship following the VMware Spin-off described in Note 11 of the Notes to the Consolidated Financial Statements and under which Dell Technologies acted as a distributor of Broadcom’s VMware stand-alone products and services and purchased such products and services for resale to end-user customers (“VMware Resale”).

Dell Technologies no longer acts as a distributor of VMware’s standalone products and services, although the Company will continue to support customers that have purchased resale offerings sold in prior periods.

In March 2024, the Company terminated the Commercial Framework Agreement with VMware, whereby Dell Technologies acted as a distributor VMware’s stand-alone products and services and purchased such products and services for resale to end-user customers (“VMware Resale”).

Dell Technologies no longer acts as a distributor of those products and services, although it continues to support customers that have purchased resale offerings sold in prior periods.

The results of VMware Resale transactions are reflected in Corporate and other.

The Company continues to integrate and embed certain VMware products and services with select Dell Technologies’ offerings to end-users.

The results of such offerings are reflected within CSG or ISG, depending upon the nature of the underlying offering sold.

The Company continues to integrate and embed certain VMware products and services with the Company’s VxRail solution to end-user customers.

The results for this integrated offering are reflected within ISG.

DELL TECHNOLOGIES INC.

2 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

19 unchanged sentences

However, the CODM does not evaluate depreciation expense by operating segment, and therefore such expense is not separately presented.

(c) Amortization of intangibles includes non-cash purchase accounting adjustments that are primarily related to the EMC merger transaction.

(c) Amortization of intangibles includes non-cash purchase accounting adjustments that are primarily related to the acquisition by merger of EMC Corporation in 2016.

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

1 unchanged sentence

(f) Income and expenses within interest and other, net, is not allocated to the reportable segments.

Therefore, the Company only reports reportable segment operating income.

Therefore, the Company does not report below reportable segment operating income.

DELL TECHNOLOGIES INC.

2 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

9 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

Infrastructure Solutions Group:

Servers and networking $ 27,136 $ 17,624 $ 20,398

AI-optimized servers $ 24,683 $ 9,286 $ 1,873

Traditional servers and networking 19,512 17,850 15,751

Storage 16,631 16,457 16,261

6 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

2 unchanged sentences

Total net revenue $ 113,538 $ 95,567 $ 88,425

The allocation between domestic and foreign net revenue is based on the location of the customers.

Net revenue from any single foreign country did not constitute 10% or more of the Company’s consolidated net revenue for any of the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024.

DELL TECHNOLOGIES INC.

1 unchanged sentence

The following table presents property, plant, and equipment, net allocated between the United States and foreign countries as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

3 unchanged sentences

Total property, plant, and equipment, net $ 6,676 $ 6,336

The allocation between domestic and foreign net revenue is based on the location of the customers.

Net revenue from any single foreign country did not constitute more than 10% of the Company’s consolidated net revenue for any of the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023.

As of January 31, 2025 and February 2, 2024, property, plant, and equipment, net primarily related to domestic ownership.

Within foreign countries, property, plant, and equipment, net located in Ireland was $ 0.7 billion and $ 0.8 billion for the fiscal years ended January 31, 2025 and February 2, 2024, respectively.

As of January 30, 2026 and January 31, 2025, property, plant, and equipment, net primarily related to domestic ownership.

Within foreign countries, property, plant, and equipment, net located in Ireland was $ 0.8 billion and $ 0.7 billion for the fiscal years ended January 30, 2026 and January 31, 2025, respectively.

DELL TECHNOLOGIES INC.

8 unchanged sentences

Related Party Transactions with VMware

The information provided below includes a summary of related party transactions with VMware for the periods presented within this report.

The information provided below includes a summary of related party transactions with VMware for the fiscal year ended February 2, 2024.

Such transactions were considered related party transactions only through November 21, 2023, the day immediately preceding Broadcom’s acquisition of VMware.

5 unchanged sentences

• Dell Technologies procured products and services from VMware for its internal use.

For the fiscal years ended February 2, 2024 and February 3, 2023, costs incurred associated with products and services purchased from VMware for internal use were immaterial.

For the fiscal year ended February 2, 2024, costs incurred associated with products and services purchased from VMware for internal use were immaterial.

• Dell Technologies sold and leased products and sold services to VMware.

For the fiscal years ended February 2, 2024 and February 3, 2023, revenue recognized from sales of services to VMware was immaterial.

For the fiscal year ended February 2, 2024, revenue recognized from sales of services to VMware was immaterial.

• Dell Technologies and VMware entered into joint marketing, sales, and branding arrangements, for which both parties incurred costs.

For the fiscal years ended February 2, 2024 and February 3, 2023, consideration received from VMware for joint marketing, sales, and branding arrangements was immaterial.

• Dell Technologies and VMware entered into a transition services agreement in connection with the VMware Spin-off to provide various support services, including investment advisory services, certain support services from Dell Technologies personnel, and other transitional services.

Costs incurred associated with this agreement were immaterial for the fiscal year ended February 3, 2023.

Activities under the agreement concluded during Fiscal 2023.

The following table presents information about the impact of Dell Technologies’ related party transactions with VMware on the Consolidated Statements of Income for the periods presented:

For the fiscal year ended February 2, 2024, consideration received from VMware for joint marketing, sales, and branding arrangements was immaterial.

The following table presents information about the impact of Dell Technologies’ related party transactions with VMware on the Consolidated Statements of Income for the period presented:

Fiscal Year Ended

Classification February 2, 2024 (a) February 3, 2023

Classification February 2, 2024 (a)

(in millions)

7 unchanged sentences

In connection with the completion of the VMware Spin-off described in Note 11 of the Notes to the Consolidated Financial Statements, Dell Technologies and VMware entered into a Tax Matters Agreement effective as of April 14, 2021 (the “Tax Matters Agreement”), which governs the respective rights and obligations of Dell Technologies and VMware regarding income and other taxes as well as related matters, including tax liabilities and benefits, attributes, and returns for periods both preceding and following the VMware Spin-off.

Pursuant to the Tax Matters Agreement, net receipts from VMware during the fiscal year ended February 2, 2024 were $ 286 million, a portion of which was received subsequent to the completion of Broadcom’s acquisition of VMware, and were immaterial during the fiscal year ended February 3, 2023.

Such receipts were primarily related to VMware’s portion of the mandatory one-time transition tax on accumulated earnings of foreign subsidiaries and federal income taxes on Dell Technologies’ consolidated income tax return.

5 unchanged sentences

The following table presents additional information on selected assets included in the Consolidated Statements of Financial Position as of the dates indicated:

January 31, 2025 February 2, 2024

January 30, 2026 January 31, 2025

(in millions)

2 unchanged sentences

Cash and cash equivalents — held for sale (a) — 62

Restricted cash — other current assets (b) 123 136

Restricted cash — other non-current assets (b) 1 5

Restricted cash (b) 178 124

Total cash, cash equivalents, and restricted cash $ 11,706 $ 3,819

16 unchanged sentences

____________________

(a) Held for sale represents the reclassification of Secureworks cash and cash equivalents to assets held for sale.

(a) Held for sale represents the reclassification of Secureworks cash and cash equivalents to assets held for sale as of January 31, 2025.

See Note 1 of the Notes to the Consolidated Financial Statements for more information about the sale of Secureworks.

(b) Restricted cash primarily includes cash required to be held in escrow pursuant to DFS securitization arrangements.

(c) Deferred costs and prepaid expenses are included in other current assets in the Consolidated Statements of Financial Position.

Amounts classified as long-term deferred costs and long-term prepaid expenses are included in other non-current assets and are not disclosed above.

(d) During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, the Company recognized $ 2.1 billion, $ 2.0 billion, and $ 1.8 billion, respectively, in depreciation expense.

(b) Restricted cash is primarily classified as other current assets in the Consolidated Statements of Financial Position and consists predominantly of cash required to be held in escrow pursuant to DFS securitization arrangements.

(c) Prepaid expenses and deferred costs are included in other current assets in the Consolidated Statements of Financial Position.

Amounts classified as long-term prepaid expenses and long-term deferred costs are included in other non-current assets and are not disclosed above.

(d) During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, the Company recognized $ 2.2 billion, $ 2.1 billion, and $ 2.0 billion, respectively, in depreciation and amortization expense.

DELL TECHNOLOGIES INC.

3 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

10 unchanged sentences

The Company incurs costs related to employee severance and records a liability for these costs when it is probable that employees will be entitled to termination benefits and the amounts can be reasonably estimated.

The liability related to these actions is included in accrued and other within current liabilities in the Consolidated Statements of Financial Position.

The liability related to these actions is primarily included in accrued and other within current liabilities in the Consolidated Statements of Financial Position.

The following table presents the activity related to the Company’s severance liability for the periods indicated:

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

6 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

15 unchanged sentences

Fiscal Year Ended

January 31, 2025

January 30, 2026 January 31, 2025

(in millions)

6 unchanged sentences

Fiscal Year Ended

January 31, 2025 February 2, 2024 February 3, 2023

January 30, 2026 January 31, 2025 February 2, 2024

(in millions)

1 unchanged sentence

Investment income, primarily interest $ 256 $ 160 $ 305

Gain (loss) on investments, net 177 47 ( 206 )

Gain on investments, net 254 177 47

Interest expense ( 1,560 ) ( 1,394 ) ( 1,501 )

Foreign exchange ( 95 ) ( 112 ) ( 199 )

Legal settlement, net — — ( 894 )

Gain on disposition of businesses and assets 236 — —

Other 23 ( 20 ) 24

2 unchanged sentences

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Income Taxes Paid

The following table presents information regarding income taxes paid as included in the Consolidated Statements of Cash Flows:

Fiscal Year Ended

January 30, 2026

(in millions)

federal $ 366

state and local 176

Singapore 192

Other foreign jurisdictions 527

Income taxes paid, net of refunds $ 1,261

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

NOTE 21 — GOVERNMENT ASSISTANCE

The Company receives government assistance in the form of grants and incentives which vary in size, duration, and conditions from various domestic and international governing bodies and related entities which are primarily structured as cash grants and non-income tax incentives.

For government assistance in which no specific US GAAP applies, the Company accounts for such transactions as a gain contingency and by analogy to a grant model.

For government assistance in which no specific GAAP applies, the Company accounts for such transactions as a gain contingency and by analogy to a grant model.

Under such model, the Company recognizes the impact of the government assistance on the Consolidated Statements of Income upon reaching reasonable assurance that the Company will comply with the conditions of the assistance and that the grant will be received.

The Company classifies the impact of government assistance on the Consolidated Statements of Income based on the underlying nature and purpose of the assistance.

During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, government assistance received primarily consisted of the following:

During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, government assistance received primarily consisted of the following:

The Company received assistance from foreign governmental entities designed, in part, to promote competitive pricing by providing companies with an offset to local sales taxes incurred on the sales of products to customers.

3 unchanged sentences

Such expirations could be impacted by future legislation.

During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, the Company recognized $ 279 million, $ 288 million, and $ 297 million, respectively, within net revenue on the Consolidated Statements of Income related to such assistance.

During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, the Company recognized $ 339 million, $ 279 million, and $ 288 million, respectively, within net revenue on the Consolidated Statements of Income related to such assistance.

The Company received incentives from foreign governmental entities to provide reimbursement for various costs incurred that are directly tied to the production or delivery of offerings sold to customers.

1 unchanged sentence

These agreements currently expire at various dates through 2029.

During the fiscal years ended January 31, 2025, February 2, 2024, and February 3, 2023, the Company recognized a benefit of $ 45 million, $ 166 million, and $ 318 million, respectively, to cost of net revenue on the Consolidated Statements of Income related to such assistance.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

NOTE 22 — QUARTERLY RESULTS (UNAUDITED)

The following tables present selected unaudited Condensed Consolidated Statements of Income for each quarter of the periods indicated:

Three Months Ended

May 3, 2024 August 2, 2024 November 1, 2024 January 31, 2025

(in millions, except per share amounts)

Net revenue $ 22,244 $ 25,026 $ 24,366 $ 23,931

Gross margin $ 4,851 $ 5,361 $ 5,360 $ 5,678

Operating income $ 965 $ 1,392 $ 1,721 $ 2,159

Net income $ 992 $ 882 $ 1,170 $ 1,532

Net income attributable to Dell Technologies Inc.

$ 997 $ 887 $ 1,175 $ 1,533

Earnings per share attributable to Dell Technologies Inc.

Basic $ 1.41 $ 1.25 $ 1.67 $ 2.19

Diluted $ 1.37 $ 1.23 $ 1.64 $ 2.15

Three Months Ended

May 5, 2023 August 4, 2023 November 3, 2023 February 2, 2024

(in millions, except per share amounts)

Net revenue $ 20,922 $ 22,934 $ 22,251 $ 22,318

Gross margin $ 5,080 $ 5,416 $ 5,201 $ 5,372

Operating income $ 1,131 $ 1,194 $ 1,539 $ 1,547

Net income $ 632 $ 482 $ 1,050 $ 1,208

Net income attributable to Dell Technologies Inc.

$ 637 $ 489 $ 1,052 $ 1,210

Earnings per share attributable to Dell Technologies Inc.

Basic $ 0.88 $ 0.67 $ 1.46 $ 1.70

Diluted $ 0.86 $ 0.66 $ 1.42 $ 1.66

As discussed in Note 1 of the Notes to the Consolidated Financial Statements, the Company discovered accumulated credits from certain suppliers that were not recorded or not recorded in the correct period in its previously reported financial results.

The Company will revise its previously reported quarterly financial information based on the summary presented below in its future filings with the SEC, as applicable, to correct for the overstatement of cost of net revenue to the Consolidated Statements of Income, net of the related income tax effect, and the corresponding amounts affecting the Consolidated Statements of Financial Position.

The revision did not have an impact on the Company’s net revenue.

A summary of the corrections to the affected financial statement line items in these Condensed Consolidated Financial Statements is presented below for each quarterly period.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Condensed Consolidated Statements of Income

Three Months Ended Three Months Ended

May 3, 2024 May 5, 2023

As Reported Adjustment As Revised As Reported Adjustment As Revised

(in millions, except per share amounts)

Cost of net revenue:

Products $ 13,766 $ ( 45 ) $ 13,721 $ 12,375 $ ( 62 ) $ 12,313

Total cost of net revenue $ 17,438 $ ( 45 ) $ 17,393 $ 15,904 $ ( 62 ) $ 15,842

Gross margin $ 4,806 $ 45 $ 4,851 $ 5,018 $ 62 $ 5,080

Operating income $ 920 $ 45 $ 965 $ 1,069 $ 62 $ 1,131

Income before income taxes $ 547 $ 45 $ 592 $ 705 $ 62 $ 767

Income tax expense (benefit) $ ( 408 ) $ 8 $ ( 400 ) $ 127 $ 8 $ 135

Net income $ 955 $ 37 $ 992 $ 578 $ 54 $ 632

Net income attributable to Dell Technologies Inc.

$ 960 $ 37 $ 997 $ 583 $ 54 $ 637

Earnings per share attributable to Dell Technologies Inc.

Basic $ 1.36 $ 0.05 $ 1.41 $ 0.81 $ 0.07 $ 0.88

Diluted $ 1.32 $ 0.05 $ 1.37 $ 0.79 $ 0.07 $ 0.86

____________________

(a) The Company’s Condensed Consolidated Statements of Comprehensive Income were also affected by the revised net income amounts for the periods presented above.

Three Months Ended Three Months Ended

August 2, 2024 August 4, 2023

As Reported Adjustment As Revised As Reported Adjustment As Revised

(in millions, except per share amounts)

Cost of net revenue:

Products $ 16,079 $ ( 50 ) $ 16,029 $ 14,002 $ ( 29 ) $ 13,973

Total cost of net revenue $ 19,715 $ ( 50 ) $ 19,665 $ 17,547 $ ( 29 ) $ 17,518

Gross margin $ 5,311 $ 50 $ 5,361 $ 5,387 $ 29 $ 5,416

Operating income $ 1,342 $ 50 $ 1,392 $ 1,165 $ 29 $ 1,194

Income before income taxes $ 989 $ 50 $ 1,039 $ 714 $ 29 $ 743

Income tax expense $ 148 $ 9 $ 157 $ 259 $ 2 $ 261

Net income $ 841 $ 41 $ 882 $ 455 $ 27 $ 482

Net income attributable to Dell Technologies Inc.

$ 846 $ 41 $ 887 $ 462 $ 27 $ 489

Earnings per share attributable to Dell Technologies Inc.

Basic $ 1.19 $ 0.06 $ 1.25 $ 0.64 $ 0.03 $ 0.67

Diluted $ 1.17 $ 0.06 $ 1.23 $ 0.63 $ 0.03 $ 0.66

____________________

(a) The Company’s Condensed Consolidated Statements of Comprehensive Income were also affected by the revised net income amounts for the periods presented above.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Three Months Ended Three Months Ended

November 1, 2024 November 3, 2023

As Reported Adjustment As Revised As Reported Adjustment As Revised

(in millions, except per share amounts)

Cost of net revenue:

Products $ 15,541 $ ( 53 ) $ 15,488 $ 13,546 $ ( 53 ) $ 13,493

Total cost of net revenue $ 19,059 $ ( 53 ) $ 19,006 $ 17,103 $ ( 53 ) $ 17,050

Gross margin $ 5,307 $ 53 $ 5,360 $ 5,148 $ 53 $ 5,201

Operating income $ 1,668 $ 53 $ 1,721 $ 1,486 $ 53 $ 1,539

Income before income taxes $ 1,392 $ 53 $ 1,445 $ 1,180 $ 53 $ 1,233

Income tax expense $ 265 $ 10 $ 275 $ 176 $ 7 $ 183

Net income $ 1,127 $ 43 $ 1,170 $ 1,004 $ 46 $ 1,050

Net income attributable to Dell Technologies Inc.

$ 1,132 $ 43 $ 1,175 $ 1,006 $ 46 $ 1,052

Earnings per share attributable to Dell Technologies Inc.

Basic $ 1.61 $ 0.06 $ 1.67 $ 1.39 $ 0.07 $ 1.46

Diluted $ 1.58 $ 0.06 $ 1.64 $ 1.36 $ 0.06 $ 1.42

____________________

(a) The Company’s Condensed Consolidated Statements of Comprehensive Income were also affected by the revised net income amounts for the periods presented above.

Three Months Ended

February 2, 2024

As Reported Adjustment As Revised

(in millions, except per share amounts)

Cost of net revenue:

Products $ 13,393 $ ( 56 ) $ 13,337

Total cost of net revenue $ 17,002 $ ( 56 ) $ 16,946

Gross margin $ 5,316 $ 56 $ 5,372

Operating income $ 1,491 $ 56 $ 1,547

Income before income taxes $ 1,288 $ 56 $ 1,344

Income tax expense $ 130 $ 6 $ 136

Net income $ 1,158 $ 50 $ 1,208

Net income attributable to Dell Technologies Inc.

$ 1,160 $ 50 $ 1,210

Earnings per share attributable to Dell Technologies Inc.

Basic $ 1.63 $ 0.07 $ 1.70

Diluted $ 1.59 $ 0.07 $ 1.66

____________________

(a) The Company’s Condensed Consolidated Statements of Comprehensive Income were also affected by the revised net income amounts for the periods presented above.

DELL TECHNOLOGIES INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

Condensed Consolidated Statements of Cash Flows

Three Months Ended Six Months Ended Nine Months Ended

May 3, 2024 August 2, 2024 November 1, 2024

As Reported Adjustment As Revised As Reported Adjustment As Revised As Reported Adjustment As Revised

(in millions)

Cash flow from operations:

Net income $ 955 $ 37 $ 992 $ 1,796 $ 78 $ 1,874 $ 2,923 $ 121 $ 3,044

Adjustments to reconcile net income to net cash provided by operating activities:

Other assets and liabilities $ ( 592 ) $ ( 1 ) $ ( 593 ) $ 250 $ ( 3 ) $ 247 $ 2,147 $ ( 7 ) $ 2,140

Accounts payable $ 1,241 $ ( 36 ) $ 1,205 $ 4,801 $ ( 75 ) $ 4,726 $ 4,089 $ ( 114 ) $ 3,975

Three Months Ended Six Months Ended Nine Months Ended

May 5, 2023 August 4, 2023 November 3, 2023

As Reported Adjustment As Revised As Reported Adjustment As Revised As Reported Adjustment As Revised

(in millions)

Cash flow from operations:

Net income $ 578 $ 54 $ 632 $ 1,033 $ 81 $ 1,114 $ 2,037 $ 127 $ 2,164

Adjustments to reconcile net income to net cash provided by operating activities:

Other assets and liabilities $ ( 1,322 ) $ ( 11 ) $ ( 1,333 ) $ ( 2,248 ) $ ( 14 ) $ ( 2,262 ) $ ( 2,096 ) $ ( 13 ) $ ( 2,109 )

Accounts payable $ ( 726 ) $ ( 43 ) $ ( 769 ) $ 1,427 $ ( 67 ) $ 1,360 $ 1,012 $ ( 114 ) $ 898

During the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, the Company recognized a benefit of $ 18 million, $ 45 million, and $ 166 million, respectively, to cost of net revenue on the Consolidated Statements of Income related to such assistance.

DELL TECHNOLOGIES INC.

4 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 8. Financial Statements and Supplementary Data