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Intel CEO Robert “Bob” Swan announces the company’s Tiger Lake chips at the CES technology fair.
Christoph Dernbach | image alliance | fake pictures
Intel shares fell 4% Thursday after the company reported earnings for its fiscal first quarter.
Here are the key numbers:
- Profits: $ 1.45 per share, adjusted
- Income: $ 19.83 billion
Analysts surveyed by Refinitiv expected $ 1.28 in earnings per share on an adjusted basis and $ 18.70 billion in revenue. However, comparing the results with analyst estimates is not easy, as the coronavirus impacted economies around the world during the quarter.
Revenue increased 23% annually in the quarter ended March 28, exceeding the company’s forecast of $ 19.00 billion, according to a statement.
Regarding guidance, Intel said it expects $ 1.10 in adjusted earnings per share and $ 18.5 billion in revenue in the second quarter. Analysts surveyed by Refinitiv expected adjusted second-quarter earnings of $ 1.19 per share on $ 17.97 billion in revenue.
Intel said it would not give guidance for the entire year.
Intel’s Client Computing Group, which includes PC chips, produced $ 9.78 billion in revenue in the quarter. That’s 13.8% more than the first quarter of 2019 and more than the $ 9.34 billion consensus among analysts polled by FactSet.
The Data Center Group, which includes chips for cloud providers and enterprise-focused server manufacturers, posted $ 6.99 billion in revenue, growing 42.7% and more than the FactSet consensus of $ 6.32 billion.
In the quarter, Intel demonstrated code-named 10-nanometer mobile chips Tiger Lake, saying they would ship later this year, and provided a preview of its discrete DG1 graphics card.
PC shipments fell nearly 10% year-over-year in the quarter, according to IDC estimates. Still, Intel demand was “relatively strong” in the first quarter as people needed devices to work and take classes from home to avoid contracting the coronavirus, CEO Bob Swan said in an interview with Bloomberg on April 9.
Goldman Sachs analysts led by Toshiya Hari raised their Intel stock rating to neutral since the sale on March 24.
“Despite the headwinds related to Covid-19, we maintain our estimates as we believe there are multiple positive short-term developments (ie potential strength / resilience in the client-side CPU and server-side CPU markets. high given an increasing number of people working / studying from home) that could largely offset headwinds (ie weaker consumption and business spending), “analysts wrote in a note.
Intel’s shares are roughly flat for the year.
This is breaking news. Please check for updates.
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