Dell shares fall as profit misses estimates

The Round Rock, Texas-based company said costs to realign its business to improve growth and profitability may "adversely impact" Dell's near-term performance.

Shares of Dell fell 32 cents or 1.53 percent to $20.05 in afterhours trading. Del had risen 10 cents, or 0.48 percent to $20.87 during normal trading.

Dell is in the process of revamping its direct-only sales model. It has started selling computers at various major retailers including Wal-Mart and Best Buy in the U.S.

The changes started early last year when founder Michael Dell took up the title of chief executive officer. The company lost its position as the top seller of PCs to Hewlett-Packard in 2006.

Net income for the quarter was $679 million, or 31 cents per share, down from $726 million, or 32 cents per share a year ago. Analysts polled by Thomson Financial had expected earnings of 36 cents per share, although those estimates usually exclude one-time charges.

Sales were $15.99 billion, up 10.5 percent from $14.47 billion a year ago. Analysts expected $16.27 million.

Charges included $83 from acquisitions, $54 million from restructuring and $27 million from investigations.