Computing giant Dell has seen profits derived from hardware sales plummet by 73% to $226m (£149m) in the first quarter of 2013, echoing a global fall in PC sales.

Profits for the company’s end-user computing business represented just 31% of overall profits in the May 2013 quarter, down from 61% for the same period last year.

The Dell Services division now contributes more than half of overall profits, compared with one-third in the first quarter of 2012, while Dell’s Enterprise Solutions arm represents 19% of overall profits, up from 7%.

The shift in the company’s profit centres has caused founder Michael Dell to reposition Dell as a software, services and cloud computing business.

Technology research firm Gartner has similarly reported the worst quarterly decline in PC shipment figures since the firm began tracking the market.

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