Intel shares jump 7% on earnings beat, uplifting guidance
Intel reported better-than-expected earnings following a quarter filled with challenges.
Intel shares rose 7% in extended trading Thursday after the chipmaker reported better-than-expected earnings and issued quarterly guidance that topped estimates.
Here's how the company did in comparison with LSEG consensus:
Earnings per share: 17 cents adjusted vs. loss of 2 cents expected
Revenue: $13.28 billion vs. $13.02 billion expected
Intel's revenue declined 6% year over year in the fiscal third quarter, which ended Sept. 28, according to a statement. The company registered a net loss of $16.99 billion, or $3.88 per share, compared with net earnings of $310 million, or 7 cents per share, in the same quarter a year ago.
As part of a cost reduction plan, Intel recognized $2.8 billion in restructuring charges during the quarter. There was also $15.9 billion in impairment charges tied in part to accelerated depreciation for Intel 7 process node manufacturing assets and goodwill impairment in the Mobileye unit.
The company is carrying out one of the most seminal restructuring processes since its establishment in 1968, CEO Pat Gelsinger said on a conference call with analysts.
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