Dell's Health Improving After Employeectomy

Dell delivered its fiscal third-quarter results after market close Thursday, and they were about as exciting as the company’s industrial design. It reported a five percent drop in earnings thanks to what company officials euphemistically describe as “a challenging demand environment.” That said, Dell’s (DELL) net income was $727 million, or 37 cents a share. And that was better than the 31 cents a share the Street had been expecting. Odd, though, to see earnings-per-share like that, given such lousy revenues. Clearly, Dell’s aggressive cost-cutting measures are having a restorative effect on the company’s bottom line. Whether that will persist amid continued weak consumer and enterprise spending remains to be seen.