Profits surge for Dell Computer

Profits at the world's biggest computer maker, Dell, surged more than 50% in the fourth quarter thanks to stronger-than-expected sales growth.

Dell said it earned $1.01bn (£580m) in the quarter, up 52% from the $667m posted in the previous year.

Profits growth was fuelled by strong sales to business and international customers, where sales increased by 21%, Dell said.

The upturn follows two disappointing quarters of slowing sales growth.

Price cutting and restructuring charges also dogged the company in its second and third quarter.

For the year ending 3 February, Dell earned $3.57bn, up from $3.04bn.

Analysts believe Dell still faces several challenges, however, including the ongoing decline in PC prices.

Shares in Dell Computer were trading 19 cents higher, or 0.6%, at $32.41 on Thursday.