Fifth bumper quarter
Intel reported its fifth consecutive record quarter on Wednesday, with double-digit growth across the board.
Sales jumped 21 percent, profits 2 percent. Non-GAAP revenue was $13.1 billion, with operating income of $4.2 billion and net income of $3.2 billion. The chipmaker generated about $4 billion in cash and paid out $961 million in dividends.
The feat is made even more impressive by the fact that the chip market is slowing down. However, Intel says it managed to maintain growth thanks to strong demand for data centres used in cloud computing, as well as a good showing in the mobile market
CEO Paul Otellini noted strong corporate demand for advanced technology, mobile devices, internet traffic and the rapid rise of computing in emerging markets should be credited with the results.
Intel EMEA General Manager Christian Morales told CNN that Intel expects to see double-digit growth well into the next year. He expects revenues to hit $14 billion in Q4. “Other segments are growing pretty well, like the embedded segment,” he said. He noted cloud-related sales grew by about 50 percent year-on-year, as companies are turning to next-generation data centres.
Commenting the shift to tablets, Morales said Intel was starting to enter the market. He pointed out Intel was getting a lot of traction with its Ultrabook form factor as well.