(Reuters) – Dell Technologies (NYSE) Inc exceeded revenue expectations on Thursday as it saw strong demand for its laptops and computers as more companies adopt a hybrid model of work.

A 62% increase in quarterly profits was also reported by the company. This is due to businesses continuing to invest heavily in remote-working equipment, and customers upgrading their devices.

These results were made at a time technology companies are struggling with a global shortage of chip supply and disruptions in supply chains, made worse due to the Ukraine war and new lockdowns from China.

The revenue of Dell’s client services group (which includes its notebooks, desktops, and tablets) increased 17% during the quarter. Meanwhile, sales at the infrastructure solutions group which sells servers and data storage software, saw a 16% rise in sales.

The total revenue increased by 16% to $26.12 Billion during the first quarter, as compared to an average analyst estimate of $25.04 Billion, Refinitiv data shows.

From $659million, which was 84c per share a year ago, net income from continued operations rose to $1.07 Billion, or $1.37 Per Share, in 2017.

Texas’ Dell posted $1.84 per share, exempting other items.

Broadcom Inc, a chip-firm (NASDAQ:) Inc had earlier announced that it would purchase VMware (NYSE:) in a cash-and stock deal worth $61 billion. In 2021, the cloud computing company was separated from Dell.

With a stake of 40%, Michael Dell is VMware’s largest investor. He’s the founder and chief boss for nearly four decades.