Stock Analysis on Net

Dell Technologies Inc. (NYSE:DELL)

Analysis of Bad Debts

Microsoft Excel

Allowance for doubtful accounts receivable (bad debts) is a contra account which reduce the balance of the company gross accounts receivable. The relationship between the allowance and the balance in receivables should be relatively constant unless there is a change in the economy overall or a change in customer base.


Allowance for Doubtful Accounts Receivable

Microsoft Excel
Jan 31, 2025 Feb 2, 2024 Feb 3, 2023 Jan 28, 2022 Jan 29, 2021 Jan 31, 2020
Selected Financial Data (US$ in millions)
Allowance for expected credit losses 63 71 78 90 104 94
Gross accounts receivable 10,361 9,414 12,560 13,002 12,892 12,578
Financial Ratio
Allowance as a percentage of gross accounts receivable1 0.61% 0.75% 0.62% 0.69% 0.81% 0.75%

Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31).

1 2025 Calculation
Allowance as a percentage of gross accounts receivable = 100 × Allowance for expected credit losses ÷ Gross accounts receivable
= 100 × 63 ÷ 10,361 = 0.61%

Financial ratio Description The company
Allowance as a percentage of gross accounts receivable Allowance for doubtful accounts divided by the gross accounts receivable. Dell Technologies Inc. allowance as a percentage of gross accounts receivable increased from 2023 to 2024 but then decreased significantly from 2024 to 2025.

Allowance for Credit Losses

Microsoft Excel
Jan 31, 2025 Feb 2, 2024 Feb 3, 2023 Jan 28, 2022 Jan 29, 2021 Jan 31, 2020
Selected Financial Data (US$ in millions)
Allowance for losses 153 170 201 189 321 149
Financing receivables, gross 11,384 10,690 11,120 10,800 10,815 9,892
Financial Ratio
Allowance as a percentage of financing receivables, gross1 1.34% 1.59% 1.81% 1.75% 2.97% 1.51%

Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31).

1 2025 Calculation
Allowance as a percentage of financing receivables, gross = 100 × Allowance for losses ÷ Financing receivables, gross
= 100 × 153 ÷ 11,384 = 1.34%

Financial ratio Description The company
Allowance as a percentage of financing receivables, gross Allowance for credit losses divided by the gross financing receivable. Dell Technologies Inc. allowance as a percentage of financing receivables, gross decreased from 2023 to 2024 and from 2024 to 2025.