Intel Posts Record First Quarter Income
Intel Corp., the largest computer chip manufacturer in the world, has posted a record first quarter net income of 2.4 billion–nearly quadrupling sales figures during the same period in 2009.
After managing just $629 million in net income last year, the Santa Clara, California, technologies developer posted $10.3 billion in revenue through March 27–a 44-percent increase and a full billion dollars more than the company had projected during the quarter.
As a result, Intel has increased 2010 gross profit margin predictions from 58-to-64-percent to 62-to-66-percent, and also announced plans to hire approximately 1,000 new workers worldwide.
In a Tuesday press release, Intel president and CEO Paul Otellini said that the company was “optimistic about our business”¦ The investments we’re making in leading-edge technology are delivering the most compelling product lineup in our history. These leadership products, combined with worldwide demand and continued outstanding execution, resulted in Intel’s best first quarter ever.”
The earnings report exceeded most analysts’ expectations.
“It appears the company has successfully navigated through the recession and is clearly emerging stronger from the downturn,” Bill Kreher of Edward Jones told BBC News. “Not only were we pleased with the numbers, we were pleased with the company’s increased confidence for all of 2010.”
On Wednesday, one day after their earnings announcement, Intel executives unveiled new system-on-chip (SoC) products utilizing their Atom processor. Their upcoming Tunnel Creek SoC will be used for IP phones, printers, and automotive infotainment hardware in China. Furthermore, the company has announced new products that will help reduce energy consumption at both home and work.
“Consumer empowerment is critical,” Justin Rattner, Intel Chief Technology Officer and managing director of Intel Labs, said in an April 14 press release. “Individual consumers must have the information, tools and incentives to conserve scarce energy resources, minimize their carbon impact and keep their energy budgets under control.”
“If we can make energy more personalized with real-time information and offer visual tools that engage entire communities, it will lead to valuable changes in behavior and save staggering amounts of energy,” Rattner added.
On the Net: