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Intel is experiencing a profit squeeze when the trial begins


Intel beat Wall Street well on a recent note when the strong sales of PCs during the epidemic caused many sites to lose due to the high demand for data center, according to statistics He was released late Thursday.

Despite its impressive display all year round, U.S. chipmaker shares rebounded by 3% on sales after Wall Street slashed the company’s payrolls and increased the amount of money invested in trying to convert.

The results are the first under the leadership of a new CEO, Pat Gelsinger, who launched a wish list last month. Intel back to the forefront of chip production, as well as the development of a new way to create “companies” for other companies.

On Thursday he was impressed with the start-up business, telling experts that more than 50 customers have already shown interest.

However, Intel says its overall interest rate could drop below 55% this year, compared to nearly 60% in history, suggesting that spending on profits will probably reach $ 20bn, up from $ 14.3bn last year.

Margins has hit rock bottom this year due to over-reliance on low-end PCs, as well as an additional cost of 10nm technology related to start-up costs for the company that has been delayed 7nm. The decline in margins in the first quarter, which resulted in lower profit margins by more than 6 percent, indicates a change in nonprofits and greater competition in the data market, according to Patrick Moorhead, a U.S. Chip researcher.

Solid sales for the first quarter came even though donation offerings which has gained momentum in all companies in recent months, as well as the intrusion that the AMD competition has been able to enter the CPU market thanks to Intel graphics.

Intel said PC revenue fell by 8%, to $ 10.6bn, while revenue from data center customers dropped by 20% to $ 5.6bn.

The high demand for PCs caused by the closure of offices and schools during the epidemic meant that 2021 was “becoming the largest PC market in the past”, selling units in other markets by up to 30% in the first quarter, Gelsinger said. Global sales of PCs rose by 350m in 2012 before falling below 260m in 2018, but jumping above 300m last year.

Some analysts have also expressed frustration over the loss of data center sales, which has become a major growth company in recent years. Intel officials say the decline marks a temporary suspension by major cloud companies as they “grind” the latest chip purchase, and said they expect the business to return to growth by the end of the year.

Except for $ 1.1bn of revenue from its Nand memory business, which is in-house sold to SK Hynix, Intel also said the $ 18.6bn revenue for the last quarter, has not changed since last year.

Pro forma proceeds, $ 2.2bn prior to the recent acquisition of the company’s lawsuit against patent litigation, amounted to $ 1.39 per share.

Wall Street was expecting a pro forma fund of $ 17.8bn and earning $ 1.15 per share. According to accounting rules, Intel’s total revenue fell 41%, to $ 3.4bn, with a share of 37% at 82 cents.


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