Intel on Tuesday reported strong third-quarter earnings that beat analyst expectations and were buoyed by what the company called "momentum" in the economy.
The chip maker reported third-quarter revenue of US$9.39 billion for the quarter that ended Sept. 26, beating the $9.04 billion estimated by analysts polled by Thomson Reuters. Revenue was up by $1.4 billion compared to this fiscal year's second quarter, though it was lower than the $10.2 billion Intel reported in the third quarter last year.
For the most recent quarter, Intel reported net income of $1.9 billion and diluted earnings per share of $0.33, beating analyst expectations of earnings per share of $0.28. Net income, however, fell from the $2.01 billion it reported in the same period last year. The company took $63 million in restructuring and asset charges for this fiscal third quarter.
Intel's chip and chipset shipments recorded their largest sequential increase in more than 30 years during the quarter just ended, Stacy Smith, Intel's CFO, said during the call. Consumer demand for PCs stabilized and laptop demand was especially strong. Intel's mobility group, responsible for mobile chips, saw a 19 percent sequential increase in revenue, Smith said.
