Intel easily tops earnings estimates despite declining PC market
Intel reported quarterly earnings on Thursday that handily beat estimates and also said it would boost its dividend to shareholders. Growth in chips for data centers helped offset its declining core business powering personal computers.
Why it matters: In addition to a long-slumping PC business, Intel is also dealing with the impact from a massive chip vulnerability.
Intel reported sales of $17.1 billion and per-share earnings of $1.08. excluding certain items including a big tax-related charge. The company was expected to post earnings of around 86 cents per share, on revenue of about $16.3 billion, according to Zacks.
What they're saying: "Compared to the expectations we set, our revenue was stronger, our operating margins were higher, and our spending was lower," Intel CFO Bob Swan said in a statement. “Intel's PC-centric business continued to execute well in a declining market while the growth of our data-centric businesses shows Intel's transformation is on track."