Intel Corporation (NASDAQ:INTC) revealed its earnings report for the first quarter of 2013 after the market closed today, April 16th. The processor manufacturer revealed earnings of $0.40 per share for the first three months of the year on revenue of $12.6 Billion. Intel shares closed at $21.93 this afternoon, up 2.57%.
In the same three months of 2012, Intel Corporation made a profit of 56 cents per share on revenue of $12.9 billion. Intel has been having problems in the last year as demand for traditional PCs has continued to decline in favor of mobile devices. Intel’s position in the mobile market is, as of yet, a small one.
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Analyst consensus estimates for the first quarter of 2013 were 44 cents per share earnings on revenue of $12.6 billion. Whispered numbers that circulated in the hours before the official release of the results suggested that Intel Corporation (NASDAQ:INTC) would announce results at the lower end of its first quarter guidance.
Intel Corporation (NASDAQ:INTC) will host a conference call at 5 p.m. EST to discuss the first quarter earnings report. Analysts and investors alike will be looking for news on the company’s search for a new CEO, as well as executives’ opinions on structural changes in the processor market.
The world’s most famous chip maker is looking forward to reaping the benefits of increased demand for data center components in 2013, in order to make up for the shortfall in PC demand. This afternoon’s earnings report reflected that change in the company’s business. The shift to a business model with a more diverse product base is an ongoing trend at Intel.
A new generation of PC processors, code-named Haswell, will be released by Intel Corporation (NASDAQ:INTC) in mid 2013. Fears about demand in the PC market have led to speculation that the company may be forced to limit availability of its new chips in order to move old inventory.
Intel Corporation (NASDAQ:INTC) earnings were not expected to surprise many analysts today. The first quarter numbers were expected to represent a number of secular trends in the industry and business as usual at the chip maker. Later quarters in the year will be more informative about the company’s future, giving clues about new products like the firm’s set top box.
So far in 2013 Intel Corporation (NASDAQ:INTC) shares have increased by just under 6 percent, trailing Nasdaq index gains of more than 7.5 percent. This year is likely to be a formative year for Intel, and this earnings report belies the basis of pressures faced by the company.