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published in Blogs
Oct 28, 2022
Intel (INTC, $28.88) tops Q3 earnings expectations

Intel (INTC, $28.88) tops Q3 earnings expectations

Intel Corp.’s shares rose +5.7% in pre-market trading Friday, following the company’s third-quarter earnings beat.

The chip company’s earnings for the quarter came in at $1.01 billion, or 25 cents a share, compared with $6.82 billion, or $1.67 a share, in the year-ago quarter.  After adjusting for restructuring charges and other items, earnings were 59 cents a share, compared with $1.45 a share from a year ago. Analysts polled by FactSet expected earnings of 34 cents a share

Revenue fell to $15.39 billion from $19.19 billion in the year-ago quarter. Analysts expected revenue of $15.31 billion (based on FactSet).

Intel’s Client-computing division sales decreased - 17% year-over-year to $8.1 billion. Sales in the data-center and AI group fell  -27% to $4.2 billion.  “Network and edge” sales climbed +14% to $2.3 billion, while Mobileye revenue was up +38% to $450 million.

Gross margins dropped to 45.9% from 58.3% in the year-ago period.

Intel lowered its full-year earnings outlook to  $1.95 a share (vs. Wall Street expectation of of $2.20 a share). Its revenue guidance is $63 billion to $64 billion, (vs. the Street estimates of $65.3 billion.

Related Tickers: INTC