Intel stock thump up to -10% in Wall Street afterhous trading, following the announcement of a quarterly report, which highlighted results below analysts’ expectations.
Intel’s earnings per share stood on an adjusted basis at 29 cents, well below the 70 cents expected by analysts interviewed by Refinitiv. Intel’s second quarter revenue dropped approximately 22 percent to $ 15.32 billion, less than the consensus forecast for $ 17.92 billion. Intel’s turnover diverged 14% from the consensus outlook, confirming the strongest gap since 1999.
Intel ended the second quarter of 2022 with a net loss of $ 454 million, compared to net profit of $ 5 billion for the same period last year.
Gross margin fell to 36.5% from 50.4% in the previous quarter.
Negative numbers also from the guidance.
For the third quarter, Intel expects adjusted earnings per share of 35 cents, on revenue between $ 15-16 billion, compared to the much higher consensus earnings per share of 86 cents and $ 18.62. billions of turnover expected from the consensus.
Intel also cut its outlook for the full year. It now expects an adjusted EPS of $ 2.30 on revenues between $ 65 and $ 68 billion by 2022.
Three months ago the expectation was for an adjusted eps of $ 3.60 on revenues of $ 76 billion. Analysts expected full-year eps of $ 3.42 on revenue of $ 74.34 billion.