Dell Technologies reported Q4 2025 revenue of $23.931 billion, down 4.38% year over year and down 1.79% quarter over quarter. The gross profit was $5.826 billion with a gross margin of 24.34%, and operating income of $2.307 billion, yielding an operating margin of 9.64%. Net income stood at $1.654 billion, translating to basic EPS of $2.20 and diluted EPS of $2.15. Despite a modest top-line contraction, Dell delivered meaningful operating leverage, with YoY operating income rising by 71.9% and net income up by 95.5%. Free cash flow was negative at $(0.150) billion in the quarter, driven by capital expenditures of $0.735 billion and working capital movements, even as cash flow from operations contributed $0.585 billion. Balance sheet remains notably leveraged with total debt of $24.567 billion and net debt of $20.934 billion, and stockholders’ equity reported as negative at $(1.482) billion, signaling a fragile equity position despite asset diversification. Cash and equivalents totaled $3.633 billion at period end, with cash on hand after financing activity and dividends/shares repurchases reflecting continued shareholder return activity (dividends of $0.311 billion and buybacks of $0.751 billion in the period). The company retains a valuation profile around mid-teens earnings multiples, but balance sheet fragility and cyclicality in the hardware market weigh on risk. Investors should assess near-term profitability drivers against balance sheet remediation and longer-dated growth in data center, enterprise solutions, and services opportunities.