Intel today announced second-quarter revenue of $8,7-billion, operating income of $1,35-billion, net income of $1,3-billion and earnings per share (EPS) of 22 cents.
The results include tax items that increased EPS by approximately 3 cents along with restructuring charges of $82-million.
"Intel’s operational execution continued to strengthen, resulting in an outstanding product roadmap and solid year-over-year revenue growth,” says Intel President and CEO Paul Otellini. “We’re pleased that our efforts to streamline the company are delivering profit growth in excess of revenue growth.”
Second-quarter gross margin was 46,9% , lower than the midpoint of the previous expectation. Microprocessor margins were as expected with higher unit shipments offset by lower average selling prices (ASPs). Demand for NOR flash products was lower than expected, resulting in impacts that lowered Intel’s gross margin by one point.
Total microprocessor units were higher sequentially; but the average selling price was lower; chipset units set a record during the quarter; and flash memory units were higher sequentially while motherboard units were lower.
For the third quarer, Intel expects revenue of between $9-billion and $9,6-billion with a gross margin of about 52%.
It intends to spend between $2,7-billion and $2,8-billion.