For the past three years, Dell has been making some key acquisitions, and the hardware maker shows no signs of stopping.  Their three-year stint is already paying off, as they reported a $945 million profit or 23.4% for their first quarter, which is the highest since 1992.  They are more focused in saving now, helping to boost margins.

“The company is performing well,” CEO Michael Dell said, “It is a very different business than it was five years ago, and it is producing record earnings.”

Dell has purchased a number of companies including SecureWorks – which is responsible for their security segment, and Compellent – a company known for automating data movement while providing enterprise storage systems before being acquired by dell.

“That has made Dell much healthier and much more competitive,” a company representative said.   Dell forecasts revenue of $4 billion to $5 billion in storage by fiscal 2015, up from $2.3 billion in fiscal 2011. And it expects its technology services business to generate $10 billion to $11 billion in the same period, from $7.7 billion last fiscal year.

Talks are now circling around the tech world of Dell’s possible purchase of Brocade Communications System to expand presence in servers, storage and networking space to be able to go head-to-head with other top companies like EMC, HP and IBM.  If this pushes through, this could mean a bigger opportunity for Dell in terms of cross selling servers, storage and services, which in turn can make the servers and networking segments more profitable than the PC segment.  This would cause a big shift for Dell, one that may either complement their past acquisitions, or leave them struggling to make everything work together.

“We are being selective and patient as we think about our acquisition strategy,” Chief Financial Officer Brian Gladden Gladden told the conference earlier.