April 15, 2015
Intel met first-quarter profit expectations Tuesday after posting revenue of $12.8 billion and earnings per share of 41 cents.
The results matched the lowered expectations Intel released last month, but resulted in Intels stock rising two percent.
Revenue year-on-year was flat because while Intel’s PC business was down, those numbers were offset by growth in data center, Internet of Things (IoT) and non-volatile memory businesses.
Operating income came in at $2.6 billion, up four percent year-over-year while cash from operations came in at $4.4 billion in cash.
“Year-over-year revenues were flat, with double-digit revenue growth in the data center, IoT and memory businesses offsetting lower than expected demand for business desktop PCs,” Intel CEO Brian Krzanich said in a press release. “These results reinforce the importance of continuing to execute our growth strategy.”
The company’s Data Center Group generated revenue of $3.7 billion, up 19 percent year-over-year while the Internet of Things Group had a revenue of $533 million, up 11 percent year-over-year.
In a November press release, the Santa Clara, California company said it was anticipating 2015’s gross margin to be 62 percent.