Intel (INTC) Q3 2024 Earnings Report

Intel Shares rose 12% in extended trading on Thursday after the chipmaker reported better-than-expected sales and issued quarterly guidance that beat expectations.

Here's how the company performed compared to the LSEG consensus:

• Earnings per share: Adjusted loss of 46 cents
• Revenue: $13.28 billion versus expected $13.02 billion

According to a statement, Intel's revenue fell 6% year-over-year in the quarter ended Sept. 28. The company reported a net loss of $16.99 billion, or $3.88 per share, compared with net income of $310 million, or 7 cents per share, in the year-ago quarter.

As part of its cost-cutting plan, Intel booked $2.8 billion in restructuring charges during the quarter. There were also impairments of $15.9 billion.

Intel is in an ongoing crisis due to market share losses in its core businesses and the inability to crack artificial intelligence. CEO Pat Gelsinger announced plans during the quarter to convert the company's foundry business into an independent subsidiary, which would allow for external financing opportunities.

CNBC reported that Intel has hired consultants to defend itself against activist investors. Corresponding news emerged at the end of September Qualcomm contacted Intel about a possible takeover.

Client Computing Group, which sells PC chips, reported revenue of $7.33 billion, down about 7% from a year ago and below the $7.39 billion consensus of analysts polled by StreetAccount.

Revenue from the data center and AI segment was $3.35 billion, up about 9% and higher than StreetAccount's consensus of $3.17 billion.

Intel called for adjusted third-quarter earnings of 12 cents per share on revenue between $13.3 billion and $14.3 billion. Analysts had expected adjusted earnings per share of 8 cents and revenue of $13.66 billion.

During the quarter, Intel announced the launch of Xeon 6 server processors and Gaudi artificial intelligence accelerators.

As of Thursday's close, Intel shares had fallen about 57% in 2024, while the S&P 500 index had gained 20%.

Executives will discuss the results with analysts on a conference call beginning at 5:00 p.m. ET.

This is breaking news. Please check back for updates.

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