Dell outlook disappoints, shares down

The company said it was revising its full-year revenue growth outlook to 1 percent to 5 percent from its previous range of 5 percent to 9 percent.

The world's No. 2 PC maker, which in May had expected strong government spending and a good back-to-school season, recorded sales of $15.7 billion in its fiscal second quarter.

Analysts had on average predicted revenue of 15.76 billion, according to Thomson Reuters I/B/E/S.

The company founded by Michael DELL (DELL.NQ)has consistently beaten Wall Street expectations this year, a result of expanding its footprint in higher-margin businesses such as servers, storage and computer services. But industry executives warn that corporate and government spending may have begun to wane on fears of a second-half economic growth slowdown, while a high jobless rate pressures consumer income.

(Reporting by Poornima Gupta and Edwin Chan; Editing by Richard Chang)