Intel posts second-quarter net profit of $2.0 billion
In economic harsh times and while it is a decrease Intel surely can't complain, they posted a second-quarter net profit of $2.0 billion. Intel announced a second-quarter net income of $2.0 billion on revenue of $12.8 billion: Intel Corporation today reported second-quarter revenue of $12.8 billion, operating income of $2.7 billion, net income of $2.0 billion and EPS of $0.39. The company generated approximately $4.7 billion in cash from operations, paid dividends of $1.1 billion, and used $550 million to repurchase 23 million shares of stock.
"In the second quarter, we delivered on our quarterly outlook and made several key product announcements," said Intel CEO Brian Krzanich. "In my first two months as CEO, I have listened to a wide variety of views about Intel and our industry from customers, employees and my leadership team and I am more confident than ever about our opportunity as a company."
"Looking ahead, the market will continue buying a wide range of computing products," he added. "Intel Atom and Core processors and increased SOC integration will be Intel's future. We will leave no computing opportunity untapped. To embrace these opportunities, I've made it Intel's highest priority to create the best products for the fast growing ultra-mobile market segment."
Q2 Key Financial Information and Business Unit Trends
PC Client Group revenue of $8.1 billion, up 1.4 percent sequentially and down 7.5 percent year-over-year.
Data Center Group revenue of $2.7 billion, up 6.1 percent sequentially and flat year-over-year.
Other Intel® Architecture Group revenue of $942 million, down 3.7 percent sequentially and down 15.0 percent year-over-year.
Gross margin of 58 percent, up 2 percentage points sequentially and down 5 percentage points year-over-year.
R&D plus MG&A spending of $4.7 billion, in line with the company's expectation of approximately $4.7 billion.
Tax rate of 26 percent.
Business Outlook
Intel's Business Outlook does not include the potential impact of any business combinations, asset acquisitions, divestitures or other investments that may be completed after July 17.
Q3 2013
- Revenue: $13.5 billion, plus or minus $500 million.
- Gross margin percentage: 61 percent, plus or minus a couple of percentage points.
- R&D plus MG&A spending: approximately $4.8 billion.
- Amortization of acquisition-related intangibles: approximately $70 million.
- Impact of equity investments and interest and other: approximately $400 million net gain.
- Depreciation: approximately $1.7 billion.
Full-Year 2013
- Revenue: Approximately flat year-on-year, down from prior expectations of low single digit percentage increase.
- Gross margin percentage: 59 percent, plus or minus a couple percentage points, down from prior expectations of 60 percent, plus or minus a few of percentage points.
- R&D plus MG&A spending: $18.7 billion, plus or minus $200 million, down $200 million from prior expectations.
- Amortization of acquisition-related intangibles: approximately $300 million, unchanged from prior expectations.
- Depreciation: $6.8 billion, plus or minus $100 million, unchanged from prior expectations.
- Tax Rate: approximately 26 percent for each of the remaining quarters of the year.
- Full-year capital spending: $11.0 billion, plus or minus $500 million, down $1.0 billion from prior expectations.
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Senior Member
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Guess AMD had better give themselves a shake, and provide some competition as they did in the old days.
Senior Member
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Normally i would instantly despise a corporation making such high profits, like I used to hate Microsoft, EA etc. But for some reason I'm glad Intel are doing so well
Just don't be cheap on the CPU thermal paste this time...
Senior Member
Posts: 6814
Joined: 2006-01-18
Normally i would instantly despise a corporation making such high profits, like I used to hate Microsoft, EA etc. But for some reason I'm glad Intel are doing so well
Just don't be cheap on the CPU thermal paste this time...
The thermal paste they put on was better than most aftermarket brands. Problem was that they layered it on.
Senior Member
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Joined: 2006-01-18
In other news, this shows why Intel is desperately in a race to the bottom of the power spectrum and is going full force into mobile. AMD are still clinging to an idea that is no longer relevant being the main force in their sales.
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That's a 28% decrease in profits compared to last year of the same quarter.