Intel reported a 60 per cent jump in its third-quarter net profit on strong demand for semiconductors globally, but revenue fell short of Wall Street expectations.
The company's stock plunged about 9 per cent in extended trading on Thursday.
The world's largest chip maker by revenue saw net profit for the quarter ending September 25 reach $6.8 billion, $2.5bn more than the same quarter last year. Revenue surged 5 per cent on an annualised basis to $19.2bn, the company said in a statement.
“Q3 shone an even greater spotlight on the global demand for semiconductors, where Intel has the unique breadth and scale to lead,” Intel chief executive Pat Gelsinger said.
“We broke ground on new fabs [fabrications – the process of making chips], shared our accelerated path to regain process performance leadership and unveiled our most dramatic architectural innovations in a decade,” said Mr Gelsinger.
In the July-September period, the California-based company generated $9.9bn in cash from operations and paid dividends of $1.4bn.
Intel said it expects fourth-quarter sales to reach about $19.2bn and full-year revenue to hover around $77.7bn.
It expects the full financial year’s capital expenditure to range between $18bn and $19bn and a free cash flow of $12.5bn.
In the third quarter, Intel spent more than $3.8bn on research and development activities, about 16 per cent more than the R&D spend of the same period last year.
Its operating income surged nearly 3.3 per cent yearly to $5.2bn in the quarter.
Since Intel’s founding in 1968, it has been an integrated device manufacturer (IDM) — a company that both designs and builds its own semiconductor chips.
In March, Mr Gelsinger announced IDM2.0, a new model that includes significant manufacturing expansions.
This year, Intel announced it would invest $20bn to build two factories in Arizona to challenge the growing dominance of other manufacturers such as Taiwan Semiconductor Manufacturing Company and Samsung Electronics.
“Our focus on execution continued as we started delivering on our IDM 2.0 commitments … we are still in the early stages of our journey, but I see the enormous opportunity ahead,” said Mr Gelsinger.
The company, which employs 117,200 employees globally, has more than $7.8bn in cash and cash equivalents as of September 25.
Its client computing group (CCG), which produces chips for personal computers, added $9.7bn in overall sales in the third quarter — almost 2 per cent less than the same period last year. The CCG, which is Intel’s largest business division, was down due to lower notebook volumes due to industry-wide component shortages, the company said.
The company earned $6.5bn from making chips for data centres, nearly 10 per cent up on a year-on-year basis.
Its Internet of Things group, which manufactures low-power embeddable chips, earned more than $1bn, almost 54 per cent more than the prior year period.
Sales of Intel’s autonomous driving subsidiary Mobileye were up about 40 per cent to $326m in the three-month period.
Semiconductor chips are particularly important components for electric and self-driving vehicles. They are used to manage features such as navigation and parking sensors as well as to monitor engine performance.
In April, Mr Gelsinger said the company plans to manufacture in-demand semiconductors for cars to alleviate the shortage that has hobbled the industry worldwide.
In a recent interview with CNBC, Mr Gelsinger said he didn’t expect the semiconductor shortage to end until 2023.
“We’re in the worst of it now, every quarter next year we’ll get incrementally better, but they’re not going to have supply-demand balance until 2023,” he said.
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Practitioners of mindful eating recommend the following books to get you started:
Savor: Mindful Eating, Mindful Life by Thich Nhat Hanh and Dr Lilian Cheung
How to Eat by Thich Nhat Hanh
The Mindful Diet by Dr Ruth Wolever
Mindful Eating by Dr Jan Bays
How to Raise a Mindful Eaterby Maryann Jacobsen
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Key findings of Jenkins report
- Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence".
- Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
- The Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
- Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
Tips to avoid getting scammed
1) Beware of cheques presented late on Thursday
2) Visit an RTA centre to change registration only after receiving payment
3) Be aware of people asking to test drive the car alone
4) Try not to close the sale at night
5) Don't be rushed into a sale
6) Call 901 if you see any suspicious behaviour
INVESTMENT PLEDGES
Cartlow: $13.4m
Rabbitmart: $14m
Smileneo: $5.8m
Soum: $4m
imVentures: $100m
Plug and Play: $25m
Zayed Sustainability Prize
Company%20Profile
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Company%20profile
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Company%20profile
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UAE currency: the story behind the money in your pockets
Mohammed bin Zayed Majlis
Key figures in the life of the fort
Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.
Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.
Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.
Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.
Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.
Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.
Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.
Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.
Sources: Jayanti Maitra, www.adach.ae
UAE currency: the story behind the money in your pockets
PROFILE OF SWVL
Started: April 2017
Founders: Mostafa Kandil, Ahmed Sabbah and Mahmoud Nouh
Based: Cairo, Egypt
Sector: transport
Size: 450 employees
Investment: approximately $80 million
Investors include: Dubai’s Beco Capital, US’s Endeavor Catalyst, China’s MSA, Egypt’s Sawari Ventures, Sweden’s Vostok New Ventures, Property Finder CEO Michael Lahyani
The Voice of Hind Rajab
Starring: Saja Kilani, Clara Khoury, Motaz Malhees
Director: Kaouther Ben Hania
Rating: 4/5
COMPANY PROFILE
● Company: Bidzi
● Started: 2024
● Founders: Akshay Dosaj and Asif Rashid
● Based: Dubai, UAE
● Industry: M&A
● Funding size: Bootstrapped
● No of employees: Nine
KILLING OF QASSEM SULEIMANI
