Intel Reports Record Second Quarter Revenue of $9.5 billion
Intel, the world’s top chip maker, on Tuesday announced record second-quarter revenue of $9.5 billion, operating income of $2.3 billion, net income of $1.6 billion and earnings per share (EPS) of 28 cents.
“Intel had another strong quarter with revenue at the high end of expectations and earnings up substantially year over year,” said Paul Otellini, Intel president and chief executive.
“As we enter the second half, demand remains strong for our microprocessor and chipset products in all segments and all parts of the globe.”
Financial and Key Product Information
– Mobile microprocessor and chipset units both set records.
– Total microprocessor units were up sequentially and higher than seasonal.
– Gross margin of 55.4 percent was up from 53.8 percent in the first quarter and slightly below the midpoint of the previous expectation as growth in demand for lower-priced notebook PCs resulted in a lower than expected microprocessor average selling price.
– Restructuring and asset impairment charges of $96 million were lower than the previous expectation of approximately $250 million.
– The effective tax rate for the quarter was 31 percent, lower than the previous expectation of approximately 33 percent due to a tax settlement.
– The company used $2.5 billion to repurchase 109 million shares of its common stock.
Source: Forbes
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