Abstract:
On October 30, Intel CEO Chen Liwu said at the third quarter earnings call that customers have begun to release signals of a slowdown in the PC market in recent weeks due to the impact of memory prices and supply conditions. At the same time, demand in the data center and artificial intelligence business was strong, and the segment achieved the fastest revenue growth in 15 years.
陈立武表示，英特尔近期面临制造供应短缺、空前的内存紧缺，以及由此导致的PC需求疲软等挑战。不过，他仍对公司的长期发展前景保持信心。
Intel’s third-quarter revenue was US$16.51 billion, a year-on-year increase of 21%; non-GAAP earnings per share were US$0.52, higher than the company’s previous forecast of US$0.38. Non-GAAP gross profit margin in the third quarter was 44.1%, approximately 2 percentage points higher than both the second quarter and the company's previous guidance.
The data center and artificial intelligence business have become important driving forces for performance growth. The business's revenue in the third quarter reached US$7.3 billion, a year-on-year increase of 78%, and operating profit was US$3 billion, accounting for approximately 42% of the business's revenue, an increase of approximately US$600 million from the previous quarter.
Chen Liwu said that Granite Rapids, which uses the Intel 3 process, has become one of Intel's server products with the fastest ramp-up in production capacity. The company's first server product, Clearwater Forest, which uses Intel's 18A process, has begun shipping and revenue has been recognized. It is expected that demand will be considerable in 2027.
In terms of PC business, Intel’s client computing and physical AI business revenue in the third quarter was US$8.1 billion, a year-on-year decrease of 5%. However, Chief Financial Officer David Zinsner said that AI PC revenue increased by 35% over the same period; shipments of the cost-optimized client processor Wildcat Lake increased by approximately 70% month-on-month and are currently sold out. wsj.com
In terms of product planning, Chen Liwu said that Panther Lake based on Intel's 18A process has completed mass production ramp. Nova Lake, the first client product using Intel's 18A-P process, is ahead of schedule and is expected to receive twice as many design imports as Panther Lake when it is released.
Intel is also promoting advanced manufacturing and foundry business. Chen Liwu said that the yield rates of Intel 3 and Intel 18A increased in the third quarter, with the yield increase of Intel 18A reaching double digits, and the wafer output of both processes exceeded expectations. Intel 18A-P is expected to be used in Intel's internal products before the end of the year, and Intel 14A is also advancing as planned. The company has released version 0.9 process design kit to some customers in October.
In addition to its core x86 business, Intel is investing in specialized custom chips, advanced packaging and external foundries. Zinsner said that the third quarter revenue of specialized customized chips increased by more than 50% month-on-month and more than doubled year-on-year, but the current revenue scale of these three businesses is still relatively small.
Intel expects total capital expenditures to reach $20 billion in 2026, with a significant increase in 2027. The company's revenue forecast for the fourth quarter is $15 billion to $16 billion.
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