Dell Technologies (NYSE: DELL) booked a record $60.9 billion of artificial-intelligence server orders in its fiscal 2027 second quarter, highlighting the scale of infrastructure spending tied to AI deployment. The company reported quarterly revenue of $47.0 billion, an increase of 58% from a year earlier.
AI-optimized server revenue reached $16.4 billion, doubling year over year, while the related backlog ended the quarter at a record $95 billion. Dell said the strength extended beyond AI systems, with traditional servers and networking revenue rising 122% and storage revenue increasing 26%.
What Record Dell AI Server Orders Signal About Demand
The record Dell AI server orders show that demand is moving from small experimental deployments toward larger infrastructure programs. Customers are investing in compute, networking and storage together, giving Dell exposure to a broader data-center modernization cycle rather than a single product category.
Infrastructure Solutions Group revenue rose 89% to $31.8 billion, while operating income for the segment climbed 225% to $4.8 billion. The Client Solutions Group also expanded, with revenue up 20% to $15.0 billion and commercial-client sales increasing 22%.
Dell posted diluted earnings per share of $6.34, up 273%, and non-GAAP diluted EPS of $7.04, up 203%. Cash flow from operations was $2.2 billion, and the company returned a record $4.3 billion to shareholders through dividends and share repurchases during the quarter.
Full-Year Guidance Rises Sharply
Management raised its fiscal 2027 revenue outlook to $192 billion from $167 billion, an increase of $25 billion. The company also lifted its expected AI-optimized server revenue to $74 billion from $60 billion.
Full-year GAAP diluted EPS is now projected at $24.37, while adjusted EPS is expected to reach $25.50. For the fiscal third quarter, Dell guided to revenue of about $49 billion and non-GAAP diluted EPS of $6.50.
The larger outlook confirms that the Dell AI server orders are translating into reported revenue and backlog. Investors will still need to monitor component availability, working-capital demands and the sustainability of margins as server volumes rise. Storage growth and continued strength outside AI would help demonstrate that the current cycle is improving the economics of Dell’s wider infrastructure portfolio.
