Reserved for Intel earnings results after the markets close.
| Q3 2024 | GAAP | Non-GAAP | ||
| Revenue | $12.5-13.5 billion | |||
| Gross Margin | 34.5% | 38.0% | ||
| Tax Rate | 34% | 13% | ||
| Earnings (Loss) Per Share Attributable to Intel—Diluted | $(0.24) | $(0.03) |
All money is riding on 5N4Y, as the chip design teams have failed to lead any and all markets they play in.I knew it was going to be bad, but not this bad... May the Lord have mercy on Pat's soul. Going to need a biblical miracle to turn this around.
Margins being low is what happens when you keep cutting prices to sell what we now know are degrading chips in order to maintain market share. Although products made on Intel 7 will remain cheaper to manufacturer, they can't just keep pumping out RPL without addressing the elephant in the room, which is that those same chips have problems.Client group continuing to make the most revenue, but it seems like margins are too low to keep the company profitable.
DIY stuff, not relevant.I don't think this accounts for
1) the huge amount of RMA's that will be coming.
2) The result of that lawsuit which is destined to win a big judgement.
I agree, but the fab side is an albatross around their necks. They may need to spin off Intel Foundries so that the design side isn't saddled with the negative cash flow.Time for the company to be nimble and hungry again. The fabs will only show impact towards the end of the decade.
I'm still bullish on Intel, they have to turn from a blue whale into an orca.
If AMD can do it with a decade+ of garbage, Intel can do it.
Should it not be the case, the consumer DIY space is over... (AMD won't be selling you anything good with no competition).
But the damage to Intel's mindshare? Hard to quantify that.DIY stuff, not relevant.
They didn't have that much outside of Xeons in enterprise dinosaur lands.But the damage to Intel's mindshare? Hard to quantify that.
-15.3% operating margin. Holy smokes.Here's a quick and dirty graphic splicing their Q2 and Q1 results together for comparison. Revenue was basically flat but margins fell hard.
View attachment 104306
No, that's the same as before. I think it might be the first time they publicized that 30% density increase but it hasn't changed.nodes ain't looking too hot either.
downgrade?
I don't know about that. I bet the average Joe still walks into Best Buy and has no problems with buying a computer with an Intel sticker on it. If their reputation is damaged by the 13th/14th gen issues enough where even average Joes ask sales reps in Best Buy to show them non-Intel computers only, that's when it will hurt.They didn't have that much outside of Xeons in enterprise dinosaur lands.
This isn't the Cult of Leather Jacket.
P sure 15% perf over i3 was i20a, but no more I guess.No, that's the same as before
Nah, they don't care about stickers, they buy laptops.I don't know about that. I bet the average Joe still walks into Best Buy and has no problems with buying a computer with an Intel sticker on it. If their reputation is damaged by the 13th/14th gen issues enough where even average Joes ask sales reps in Best Buy to show them non-Intel computers only, that's when it will hurt.
Intel expects further cuts in 2025 and 2026.
Debt has increased to over $48B.
NAND wasn't ever a big and profitable biz for Intel.they are paying for uncautious decisions like abandonning the memory and SSD markets among others.
They are suspending the dividend again in the 4th quarter of this year.
Client group continuing to make the most revenue, but it seems like margins are too low to keep the company profitable.
NAND wasn't ever a big and profitable biz for Intel.