From CNET: With the COVID spending spree on PCs at an end and consumers spooked by inflation and a worsening economy, Intel's profit and revenue plunged in the second quarter, the chipmaker said Thursday.
Intel's own problems, like quality issues with the chips that fill tech giants' data centers, also were a major factor. The problems led Chief Executive Pat Gelsinger to issue an apology for the company's poor showing, and the chipmaker saw an 8% drop in its share price in after-hours trading.
"This quarter's results were below the standards we have set for the company and our shareholders," Gelsinger said in a statement. "We must and will do better."
The results show how hard a time Intel will have clawing its way back to the cutting edge of chip manufacturing and leading the US semiconductor industry to reclaim clout lost to Asia. Intel's near-term problems pose real risks to long-term plans.
Revenue dropped 17% to $15.3 billion in the second quarter, and Intel's profit of 29 cents per share, excluding some charges like stock-based pay and inventory write-downs, was a 76% decrease compared with the year earlier. Both results were well below Intel's own forecasts and analyst expectations. Including those charges, Intel posted a loss of $454 million.
View: Full Article
