Intel Corporation today reported first-quarter revenue of $12.8 billion, operating income of $2.6 billion, net income of $2.0 billion and EPS of 41 cents. The company generated approximately $4.4 billion in cash from operations, paid dividends of $1.1 billion, and used $750 million to repurchase 21 million shares of stock.

"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," said Intel CEO Brian Krzanich. "These results reinforce the importance of continuing to execute our growth strategy."Q1 Key Business Unit Trends

• Client Computing Group revenue of $7.4 billion, down 16 percent sequentially and down 8 percent year-over-year.
• Data Center Group revenue of $3.7 billion, down 10 percent sequentially and up 19 percent year-over-year.
• Internet of Things Group revenue of $533 million, down 10 percent sequentially and up 11 percent year-over-year.
• Software and services operating segments revenue of $534 million, down 4 percent sequentially and down 3 percent year-over-year.

Business Outlook
Intel's Business Outlook does not include the potential impact of any business combinations, asset acquisitions, divestitures, strategic investments and other significant transactions that may be completed after April 14.

Q2 2015

• Revenue: $13.2 billion, plus or minus $500 million.
• Gross margin percentage: 62 percent, plus or minus a couple of percentage points.
• R&D plus MG&A spending: approximately $4.9 billion.
• Restructuring charges: approximately $120 million.
• Amortization of acquisition-related intangibles: approximately $60 million.
• Impact of equity investments and interest and other: approximately $60 million net gain.
• Depreciation: approximately $2.0 billion.
• Tax rate: approximately 20 percent.

Full Year 2015

• Revenue: approximately flat.
• Gross margin percentage: 61 percent, plus or minus a couple of percentage points.
• R&D plus MG&A spending: approximately $19.7 billion, plus or minus $400 million.
• Amortization of acquisition-related intangibles: approximately $250 million.
• Depreciation: $8.0 billion, plus or minus $100 million.
• Tax rate: approximately 25 percent for the third and fourth quarters.
• Full-year capital spending: $8.7 billion, plus or minus $500 million.