Intel Tops Forecasts, But Guides Margins Down
July 23, 2021
chip maker reported earnings per share EPS of $1.28 (adjusted) with only
$1.06 expected. That EPS represented a 12% year-over-year rise.
As to revenue, Intel took in $18.5 billion (adjusted) with $17.8 billion
was up 2% year-over-year.
Intel guided up for 2021 by $1 billion to $73.5 billion in adjusted
revenue and full year earnings-per-share of $4.80.
But, Intel set expectations on non-GAAP gross margins of 55% in Q3, a
drop from 59.2% in Q2.
never been a more exciting time to be in the semiconductor industry. The
digitization of everything continues to accelerate, creating a vast
growth opportunity for us and our customers across core and emerging
business areas. With our scale and renewed focus on both innovation and
execution, we are uniquely positioned to capitalize on this opportunity,
which I believe is merely the beginning of what will be a decade of
sustained growth across the industry,” said Pat Gelsinger, Intel CEO.
“Our second-quarter results show that our momentum is building, our
execution is improving, and customers continue to choose us for
Second-quarter revenue exceeded April guidance led by continued strength
in Intel's Client Computing Group (CCG) and strong recovery in both
Intel's Internet of Things Group (IOTG) and the Enterprise portion of
its Data Center Group (DCG).
The PC and Mobileye businesses both achieved record Q2 revenue. In the
second quarter, PC platform volumes were up 33 percent YoY and Mobileye
closed 10 additional design wins for more than 16 million total lifetime
▪ Announced a $3.5 billion investment to equip Intel’s New Mexico
operations for the manufacturing of advanced semiconductor packaging
technologies, including Foveros.
▪ Launched 12 new processors for client, including 11th Gen Intel Core
with Intel® Iris® Xe graphics and Intel® Xeon® W-11000 series processors
with more than 300 designs expected this year.
▪ Announced partnership with Microsoft including Intel Bridge Technology
to deliver better mobile experiences on Windows-powered PCs.
▪ Leading cloud service providers, including Alibaba, Baidu, Microsoft,
and Oracle are offering services based on the latest 3rd Gen Intel®
Xeon® Scalable (“Ice Lake”) processors.
Unveiled the Intel Network Platform and expanded networking leadership
product portfolio with new FPGA, software, and Ethernet solutions.
▪ Announced partnership with Ericsson to expand cloud radio access
network to increase 5G performance.
▪ Mobileye and ZF were selected by Toyota Motor Corp to develop advanced
driver assistance systems.
▪ Announced Mobileye as the only company holding an autonomous vehicle
testing permit in New York.
▪ Announced new organizational changes and welcomed renowned
technologists to strengthen execution and innovation in critical
As part of its IDM 2.0 strategy, Intel is accelerating its annual
cadence of innovation with new advancements in semiconductor process and