Dell Computer on Thursday reported that its first-quarter earnings rose 31 percent, matching analyst expectations, as PC and server shipments showed increases.

The Round Rock, Texas, PC maker turned a profit of $598 million, or 23 cents per share, on revenue of $9.5 billion for the first quarter of fiscal 2003, which ended May 2. That compares with earnings of $457 million, or 17 cents per share, on revenue of $8.1 billion in the same period a year ago.

The results match analyst expectations, according to First Call. Dell also met its own predictions for the quarter, which were made in April.

"Dell's unique ability is innovating, integrating and delivering technology with the best possible value, and our execution in those areas has never been better," CEO Michael Dell said in a statement.

Dell saw its total worldwide PC shipments increase by 29 percent on a year-over-year basis. Dell server shipments, an important area for the company, rose by 40 percent, the company said.

Looking ahead, Dell predicted more of the same for its second fiscal quarter. Revenue is expected to go up 15 percent, to about $9.7 billion, while earnings per share will increase to 24 cents, the company said. Dell expects unit shipments to grow about 25 percent year-over-year, compared with 3 percent growth predicted for the industry.

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