Intel posts best ever quarterly results

Wednesday, July 14, 2010

Technology giant Intel released its second quarter results Tuesday, which were the best in the 42 years of the company's existence. The stronger than anticipated results boosted the company's share price, along with those of other technology firms.

Intel's revenues over the quarter up to 26 June were $10.8 billion, with net profit at $2.9 billion. In the same quarter last year, the company made a loss of $398 million. Its gross margin rose to 67%, higher than the forecast of 64.1%. The results were better than forecast by either Intel or outside analysts.

The company, which makes processors for around 80 percent of the world's personal computers, is thought to have benefited from an increase in demand for electronics as the world economy moves out of recession.

“Strong demand from corporate customers for our most advanced microprocessors helped Intel to achieve the best quarter in the company’s 42-year history”, said chief executive Paul Otellini.

Intel shares rose by 8% following the results. Shares in rival processor manufacturer AMD also rose by 5.5%, with other technology firms seeing similar rises. The Dow Jones index closed at 10,363.02 points, an increase of 146.75.