Intel reported second-quarter revenue of $12.9 billion, which was down 15% year-over-year. The revenue came in ahead of a Street consensus estimate of $10.97 billion.
Earnings per share of 13 cents beat a Street consensus estimate of a loss of 3 cents per share.
“Our Q2 results exceed the high end of our guidance as we continue to execute on our strategic priorities, including building momentum with our foundry business and delivering on our product and process roadmaps,” Intel CEO Pat Gelsinger said.
Revenue by operating segment and year-over-year performance was:
- Client Computing Group: $6.8 billion, -12%
- Data Center and AI: $4 billion, -15%
- Network and Edge: $1.4 billion, -38%
- Mobileye: $454 million, -1%
- Intel Foundry Services: $232 million, +307%
Intel said it continues to execute its strategy and has seen momentum “across process and product technology and foundry.”
Guidance from the company sees third quarter revenue in a range of $12.9 billion to $13.9 billion, which is in-line with a Street estimate of $13.23 billion according to data from Zenger News Pro.
The company sees third-quarter earnings per share hitting 20 cents, compared to a Street estimate of 16 cents per share.
“We are also well-positioned to capitalize on the significant growth across the AI continuum by championing an open ecosystem and silicon solutions that optimize performance, cost and security to democratize AI from cloud to enterprise, edge and client,” Gelsinger said.
Chief Financial Officer David Zinser said the company looks to make $3 billion in cost savings for 2023. Zinsler said the company remains focused on financial discipline to improve margins and cash generation.
Intel shares are up 6% to $36.42 in after-hours trading Thursday.
Intel is a global technology giant and one of the world’s leading semiconductor companies. Founded in 1968 by Robert Noyce and Gordon Moore, the company’s headquarters are in Santa Clara, California. Intel’s groundbreaking microprocessors have played a pivotal role in advancing computing technology, powering countless PCs, servers, and other electronic devices. Over the years, Intel has expanded its product portfolio to include chipsets, graphics processors, and other semiconductor components. The company has faced challenges from competitors, particularly in the mobile and AI markets, but remains a major player in the semiconductor industry, constantly driving innovation and pushing the boundaries of technology.
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Edited by Arnab Nandy