Intel is doing well!
Intel Corporation released its first-quarter financial results. The company had revenue of $ 12,6 billion, operating income of $ 2,5 billion, net income of $ 2 billion and earnings per share (EPS) of $ 0,53.
The company generated approximately $ 4,3 billion in cash, paid $ 1,1 billion in dividends and repurchased $ 533 million in 25 million shares.
“Intel performed well in the first quarter despite the weak market,” said Paul Otellini, Intel’s president and CEO. “We already have the latest generation of PC microprocessors here, we have introduced a new product line for microservers and even our microprocessors for new tablets and smartphones will arrive this quarter. We work with our customers to develop innovative new products for multiple operating systems. The transition to 14-nanometer manufacturing technology will greatly enhance the value of the Intel architecture to our customers. ”
Key financial data and business unit trends for the first quarter
- PC Client Group had revenue of $ 8 billion, down 6,6 percent from the same period last year.
- Data Center Group’s revenue is $ 2,6 billion, down 6,9 percent but up 7,5 percent from the same period last year.
- Other Intel architecture groups had revenue of $ 1 billion, down 3,9 percent from the same period last year.
- Gross profit margin is 56 percent, down 2 percent, down 8 percent from the same period last year.
- R&D and acquisitions: $ 4,5 billion, in line with the company’s $ 4,6 billion expectations.
- Tax rate: 16 percent.
Business prospects
Intel’s business outlook does not include the potential impact of business transactions, acquisitions, sales or investments that will close after April 1.
Q2 2013
- Revenue: $ 12,9 billion, plus / minus $ 500 million.
- Gross profit margin: 58 percent, plus / minus a few percentage points.
- R&D and acquisitions: approximately $ 4,7 billion.
- Amortization of property, plant and equipment arising from acquisitions: approximately 70 million.
- Capital investment, equity participation and other: approximately zero.
- Impairment: Approximately $ 1,7 billion.
2013 full year forecast
- Revenue: low percentage single-digit growth, unchanged from previous expectations.
- Gross profit margin: 60 percent, plus / minus a few percentage points, unchanged from previous expectations.
- R&D and acquisitions: $ 18,9 billion, plus / minus $ 200 million, unchanged from previous expectations.
- Amortization of intellectual property from acquisitions: approximately $ 300 million, unchanged from previous expectations.
- Impairment: $ 6,8 billion, plus / minus, $ 100 million, unchanged from previous expectations.
- Tax rate: approximately 27 percent in each of the remaining quarters of this year.
Annual capital investment framework: $ 12 billion, plus / minus $ 500 million, $ 1 billion less than previously expected.
