With founder Michael Dell back in charge, Dell Inc., the world's No. 2 maker of personal computers, says it has begun to turn itself around—or at least to dramatically slow its decline. But to continue building momentum for its rebound, the company plans to shed more than 8,000 jobs.

Dell Inc.'s profits slid to $759 million in the first quarter, a decline of 34 cents a share, compared with $762 million, or 33 cents a share, in the same period a year earlier. Sales totaled $14.6 billion. Analysts expected $14.1 billion,  Bloomberg News reported.

As it transitions away from its traditional direct-to-consumer sales model, Dell Inc. plans to cut about 10 percent of its 88,100-person workforce during the next year.

According to Bloomberg News, since replacing Kevin Rollins as chief executive in January, Dell has revamped his company's management team and started a website to solicit customer product ideas. More radically, he is reshaping Dell Inc.'s sales strategy: The company recently announced a deal with Wal-Mart to sell two models of its PCs in stores.

Dell Inc. has also added the company's first chief marketing officer to the executive team and tapped Motorola's mobile-phone chief to oversee a new consumer division.

The Wall Street Journal reports that Dell Inc.'s sales and profits have slowed since 2005 as more people have turned to retail stores for computer purchases. Last year, the company lost the No. 1 spot in the PC industry to Hewlett-Packard.

Dell announced only preliminary results because its accounting practices are under investigation by the U.S. Securities and Exchange Commission. The agency began a review in August 2005, which escalated into a formal investigation in November.

The shares rose 69 cents to $26.91 in after-market trading today.