Dell delays second set of results

Dell has been forced to delay the release of its third-quarter results - originally scheduled for today - due to investigations into its accounting practices.

Dell needs more time to prepare its current profits results amid Securities and Exchange Commission (SEC) and internal investigations into accounting practices in previous years, the company said in a release.

It said it now will release results by "the end of the month". Dell has still not filed its quarterly report with the SEC from the previous profits period.

Dell had been projected to record revenue of $14.4bn and profits per share of 24 cents during its third fiscal quarter. The profits per share figure would be a 38 per cent drop compared with last year's third quarter. On Wednesday, Dell's stock fell 57 cents, or about two per cent, to $25.18 in after-hours trading.

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In August, when Dell reported its second-quarter results, the company disclosed that it was the subject of an informal investigation by the SEC into its accounting practices, including revenue recognition. That investigation is now a formal investigation, a company representative said.

The investigation is not related to the stock-option backdating issues that have tripped up many technology companies this year, the representative said. He declined to comment on the exact nature of the investigation.

The delay is the latest embarrassment for Dell in a year that company executives will not remember fondly. Dell has missed several profits estimates, recalled millions of laptop batteries and ended its long-standing exclusive relationship with Intel in the face of customer pressure and sagging sales. Several high-profile executives - including Bill Amelio, the new head of Lenovo - have also left the company this year.

When the company does report its results, it will not hold the usual conference call with the media and financial analysts to discuss the numbers and issues, the representative said. Only a press release will be distributed to mark the occasion.

Tom Krazit writes for CNET News.com