Intel Shares Plunge After Gross Margins Disappoint, Delaying 7-Nano Transition
Intel 2Q Rev. $19.7B, Est. $18.54B
Intel 2Q Adj EPS $1.23, Est. $1.12
Intel CEO Bob Swan proudly celebrated the quarter:
“It was an excellent quarter, well above our expectations on the continued strong demand for computing performance to support cloud-delivered services, a work- and learn-at-home environment, and the build-out of 5G networks. In our increasingly digital world, Intel technology is essential to nearly every industry on this planet. We have an incredible opportunity to enrich lives and grow this company with a continued focus on innovation and execution.”
Intel Sees FY Adj EPS $4.85, Est. $4.78
Intel Sees 3Q Rev. About $18.2B, Est. $17.90B
Sees 3Q adjusted EPS about $1.10, estimate $1.14 (range 98c to $1.28)
Gross margins tumbled from 62% a year ago to 55% (est. 56.3%) and more problematic was the fact that the 7 nanometer chip transition will be delayed and that it is accelerating its 10 nanometer t…
