“Results for the first quarter were slightly higher than our January expectations. We shipped a strong mix of high-performance products and continued spending discipline while ramping 10nm and managing a challenging NAND pricing environment. Looking ahead, we’re taking a more cautious view of the year, although we expect market conditions to improve in the second half,” stated Bob Swan, Intel CEO. “Our team is focused on expanding our market opportunity, accelerating our innovation and improving execution while evolving our culture. We aim to capitalize on key technology inflections that set us up to play a larger role in our customers’ success, while improving returns for our owners.”
Highlights:
- First-quarter income was $16.1 billion, flat year-over-year (YoY); data-centric income declined 5 % and PC-centric income grew Four %.
- First-quarter GAAP earnings-per-share (EPS) of $0.87 declined 6 % YoY; non-GAAP EPS of $0.89 was up 2 %.
- Expecting second-quarter income of $15.6 billion; second-quarter GAAP EPS of $0.83 and non-GAAP EPS of $0.89.
- Expecting full-year income of $69.Zero billion, full-year GAAP EPS of $4.14 and non-GAAP EPS of $4.35; down from January steerage.
In the primary quarter, Intel achieved Four % progress within the PC-centric enterprise whereas data-centric income declined 5 %.
The PC-centric enterprise (CCG) was up Four % within the first quarter as a result of a robust mixture of Intel’s larger efficiency merchandise and power in gaming, giant industrial and modem. Intel’s first high-volume 10nm processor, code-named Ice Lake, stays on observe to be in quantity techniques on retail cabinets for the 2019 vacation promoting season.
Collectively, Intel’s data-centric companies declined 5 % YoY within the first quarter. In the Data Center Group (DCG), the cloud phase grew 5 % whereas the communications service supplier phase declined Four % and enterprise and authorities income declined 21 %. First-quarter Internet of Things Group (IOTG) income grew eight % YoY (19 % excluding Wind River1), and Mobileye achieved document first-quarter income of $209 million, up 38 % YoY as buyer momentum continued. Intel’s reminiscence enterprise (NSG) was down 12 % YoY in a difficult pricing setting. Intel’s Programmable Solutions Group (PSG) income was down 2 % YoY within the first quarter.
The first quarter marked the introduction of a broad, new portfolio of data-centric merchandise from Intel that includes the 2nd-Generation Intel Xeon Scalable processor household with built-in Intel Deep Learning Boost (Intel DL Boost) for AI deep studying inferencing acceleration and help for Intel Optane DC persistent reminiscence, the revolutionary expertise that brings inexpensive, high-capacity persistent reminiscence to Intel’s data-centric computing portfolio. Intel additionally launched greater than 50 workload-optimized Intel Xeon processors, a 56-core, 12 reminiscence channel Intel Xeon Platinum 9200 processor, and the brand new Intel Agilex line of 10nm-based FPGAs.
