Intel’s great expectations

22 Aug 2003

Better-than-expected PC sales have prompted chip giant Intel to raise its financial outlook for the third quarter.

The company, which employs over 4,000 people in Ireland, said it expects to turn in a revenue of between US$7.3bn and US$7.8bn for the quarter, ahead of its original expectation of US$6.9bn to US$7.5bn.

The company said that its architecture business is generally trending higher across all geographies and channels while demand for communications products remains soft.

Gross margin is expected to be 56pc compared to previous expectations of 54pc.

The update moves the midpoint of Intel’s revenue guidance for the quarter, a figure that analysts use as a de facto revenue estimate, from US$7.2bn to between US$7.5bn and US$7.6bn, an increase of between US$300m and US$400m.

By John Kennedy