Santa Clara (CA) – Intel released an upbeat Q3 earnings update today, increasing its revenue expectations by 4% as a result of "stronger than expected worldwide demand for its computing products."
Intel said it expects revenue for the third quarter to be between $9.4 billion and $9.8 billion as compared to the previous range of $9.0 billion to $9.6 billion. Considering the mid-point of the revenue estimates, the new guidance is up about 4.3% from $9.3 to $9.7 billion. The company did not provide any details for the revision other than a increased demand for its computing products ; the gross margin percentage for the third quarter is expected to be in the "upper half of the previous range of 52%."
The revenue result will come close to Intel’s Q3 record, which was posted for Q3 2005. Back then, Intel reported revenues of $9.96 billion and a net profit of $2.0 billion. Compared to Q3 of 2006, Intel’s Q3 2007 revenue is expected to jump more than 10% : Last year, the company had revenues of $8.7 billion and a net profit of $1.3 billion.
Intel will report its Q3 result on October 16.