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(Sharecast News) - Semiconductor manufacturer Intel surged in extended trading after posting strongerthanexpected firstquarter revenues and issuing an upbeat outlook, with the company highlighting a "fundamental" shift driven by its turnaround efforts and rising AI demand.
Intel reported Q1 revenues of $13.6bn, up 7% yearonyear and ahead of the $12.4bn expected by analysts. For the current quarter, Intel projected revenue of $13.8bn to $14.8bn, also above market forecasts.
The Santa Clara-based firm said data centre and AI products generated $5.1bn in revenues during the quarter, significantly exceeding expectations, highlighting that the industry's shift from AI model training to inference workloads was increasing CPU demand relative to GPUs. Intel's chip manufacturing division delivered $5.4bn of revenue, above the $4.6bn consensus.
Intel posted a net loss of $3.7bn, driven by a $3.8bn goodwill writedown linked to its 2017 Mobileye acquisition. On an adjusted basis, net income came to $1.5bn.
As of 0925 BST, Intel shares had surged 20.34% in pre-market action to $81.48 each.
Reporting by Iain Gilbert at Sharecast.com
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