Intel Reports Record Quarterly Revenue of $15.8 Billion

[btarunr]

Intel Corporation today reported third-quarter GAAP revenue of $15.8 billion, operating income of $4.5 billion, net income of $3.4 billion and EPS of 69 cents. Intel reported non-GAAP operating income of $5.1 billion, net income of $3.9 billion and EPS of 80 cents. The company generated approximately $5.8 billion in cash from operations, paid dividends of $1.2 billion, and used $457 million to repurchase 13 million shares of stock.

"It was an outstanding quarter, and we set a number of new records across the business," said Brian Krzanich, Intel CEO. "In addition to strong financials, we delivered exciting new technologies while continuing to align our people and products to our strategy. We're executing well, and these results show Intel's continuing transformation to a company that powers the cloud and billions of smart, connected devices."



Q3 Key Business Unit Trends

• Client Computing Group revenue of $8.9 billion, up 21 percent sequentially and up 5 percent year-over-year
• Data Center Group revenue of $4.5 billion, up 13 percent sequentially and up 10 percent year-over-year
• Internet of Things Group revenue of $689 million, up 20 percent sequentially and up 19 percent year-over-year
• Non-Volatile Memory Solutions Group revenue of $649 million, up 17 percent sequentially and down 1 percent year-over-year
• Intel Security Group revenue of $537 million, flat sequentially and up 6 percent year-over-year
• Programmable Solutions Group revenue of $425 million, down 9 percent sequentially

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 October 18.

The acquisition of Altera was completed in early fiscal year 2016. As a result of the Altera acquisition, we have acquisition-related charges that are primarily non-cash. Our guidance for the fourth quarter and full-year 2016 include both GAAP and non-GAAP estimates. Reconciliations between these GAAP and non-GAAP financial measures are included below.

Restructuring and Other Charges Forecast
Total Restructuring and Other charges are now expected to be $2.3 billion, with the majority of the remaining charges to be realized between now and the middle of 2017. Approximately $1.8 billion has been realized to-date and another $250 million is expected in Q4 2016.

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[Prima.Vera]

R&D - 5 Billion. LMAO!

Good luck AMD.

 

[hojnikb]

thats gonna be the last record quarter
ZEN incoming

 

[chaosmassive]

R&D - 5 Billion. LMAO!

Good luck AMD.

with that R&D alone Intel can buy AMD five times

 

[Ubersonic]

R&D - 5 Billion. LMAO!

Good luck AMD.

In fairness the same could have been said just before the Athlon XP was released, or just before the Pentium IV ran out of steam. Never say never.

 

[jigar2speed]

R&D - 5 Billion. LMAO!

Good luck AMD.

Athlon 64 was Prima example of why you shouldn't gauge company's efficiency just on their R&D spending.

 

[Prima.Vera]

Joke aside, I think 95% of that R&D is not allocated into developing a new CPU or enhance the CPU performance, but instead is focused on developing new ways on shrinking the transistors even more and improving the manufacturing process. Besides, Intel has a lot of other businesses except CPUs, so the value could be surprisingly low for the CPU segment, especially considering that past 5 years with minimum improvement over generations.

 

[jigar2speed]

Joke aside, I think 95% of that R&D is not allocated into developing a new CPU or enhance the CPU performance, but instead is focused on developing new ways on shrinking the transistors even more and improving the manufacturing process. Besides, Intel has a lot of other businesses except CPUs, so the value could be surprisingly low for the CPU segment, especially considering that past 5 years with minimum improvement over generations.

I agree, pretty sure a lot of money is going in enhancing the transistors setup due to shrinking nodes.

 

[Ubersonic]

Joke aside, I think 95% of that R&D is not allocated into developing a new CPU or enhance the CPU performance

And even then, there's no guarantee the money in CPU R&D will actually have results. The Pentium IV architecture was supposed to reach 5GHz and last for years however they ended up having to cancel the launch of the 4GHz model because it simply ran too hot. It wasn't until they started getting ragdolled by AMD that they rush invested in the R&D to evolve the Pentium III into the Core and regain dominance.

 

[64K]

R&D - 5 Billion. LMAO!

Good luck AMD.

That 5 Billion Dollars reported for the quarter also includes MG&A (Marketing, General and Administrative). Basically business overhead. Only part of it went to R&D.

The last I read Intel spends about 10 times more on R&D than AMD though. I imagine Intel will stay well ahead of AMD unless they get careless and make foolish business decisions which I think is unlikely.

 

[TheGuruStud]

That 5 Billion Dollars reported for the quarter also includes MG&A (Marketing, General and Administrative). Basically business overhead. Only part of it went to R&D.

The last I read Intel spends about 10 times more on R&D than AMD though. I imagine Intel will stay well ahead of AMD unless they get careless and make foolish business decisions which I think is unlikely.

They have completely wasted many billions many times, but when you already have billions coming out of your ass, it doesn't matter lol

 

[Fluffmeister]

Indeed, I suspect their petty change budget is bigger than... AMD.

 

[TheGuruStud]

Indeed, I suspect their petty change budget is bigger than... AMD.

Which reminds me how undervalued AMD is. Sure, you're not gonna be getting profit numbers, but these market dildos think the IP is worthless, since AMD isn't turning a profit. That's absurd when you actually look at the shit they can do.

Jet.com IS worthless, yet, Walmart just wasted their jar of pennies on it. The valuations are just made up, so a non-sucker can profit off it.

 

[Prima.Vera]

... but these market dildos think the IP is worthless, since AMD isn't turning a profit. ...

Well, to be honest, when on the past 10 years you are running on negative net profit, you cannot blame them really....

 

[Fluffmeister]

Indeed, but then people also think nVidia should give their IP away too, but unfortunately for them nVidia aren't stupid.

Open source this, open source that, give AMD and the children a chance!!!!!1

 

[TheGuruStud]

Thata

Indeed, but then people also think nVidia should give their IP away too, but unfortunately for them nVidia aren't stupid.

Open source this, open source that, give AMD and the children a chance!!!!!1

That's not what it's about. It's about improving the product to better the sector thereby growing it. Apple infamously failed at this on desktop. Locking shit down only "works" b/c of the fucked up copyright/patent laws. It hurts the market severely. PCs are really a joke thanks to M$.