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Intel (NASDAQ: INTC) has now announced its earnings for the second quarter of 2022, broadly beating consensus expectations regarding its top-line and bottom-line metrics.
Intel (NASDAQ: INTC) Earnings Release for the Third Quarter of 2022
For the three months that ended on the 30th of September 2022, Intel reported $15.3 billion in non-GAAP revenue. The number matched consensus expectations.
(All figures are in billions of dollars)
Here is the performance of Intel's business segments in Q3 2022:
During Q3 2022, Mobileye recorded the highest growth, while DCAI remained the laggard with growth of -27 percent.
The following excerpt from the company's earnings release provides supplemental platform revenue information:
Finally, the company earned $0.59 in EPS (non-GAAP), exceeding consensus expectations by 78 percent.
(All figures are in dollars)
Here is Intel's guidance for the fourth quarter of 2022:
The company is targeting $3 billion in cost reductions for FY 2023.
Investors have reacted positively to Intel's latest earnings release, with the stock currently up over 4 percent in after-hours trading.
Q3 2022 Earnings Context
Intel launched its 13th generation "Raptor Lake" processors on the 20th of October, and as per initial reports, the demand for these products is fairly robust. Led by the flagship i9-13900K processor, the 13th-gen lineup builds on the 12th-gen's hybrid core architecture. According to Intel, the i9-13900K processor is 11 percent faster than AMD's Ryzen 9 7950X "Zen 4" CPUs.
Back in September, Intel broke ground in Ohio to build a brand-new $20 billion fab facility. Once complete, the project will create 3,000 full-time jobs.
Intel is considering mass layoffs, as per a number of reports in recent days. Oregon Live quoted Intel's CEO Pat Gelsinger, who, in an address to the company's employees, said:
"These are always hard decisions, but our costs are too high and our margins are too low."
Gelsinger went on to note:
"We have to take actions to address them."
Meanwhile, as per a report by IDC earlier in October, global PC shipments totaled 74.3 million units in Q3 2022, corresponding to an annual decline of 15 percent.