Connect with us

CNBC

Intel revenue and profit drop slightly from last year

Intel CEO Pat Gelsinger announced earlier this month that the company plans to invest $20 billion in new microchip manufacturing plants.

Published

on

Pat Gelsinger, CEO of Intel, speaks in Santa Monica, Calif., on March 9, 2017, in a photo taken when he was CEO of VMware.

Patrick T. Fallon | Bloomberg | Getty Images

Intel sales were essentially flat and profit dropped in the first quarter of 2021 in CEO Pat Gelsinger’s first earnings report at the helm.

Intel’s earnings per share were significantly higher than analyst estimates and the company’s own forecast, but Intel stock was down more than 3% in extended trading. Sales were also above analyst estimates.

Here’s how Intel did versus Refinitiv consensus estimates:

  • Earnings per share (EPS): $1.39 vs $1.15 (adjusted) expected, down 1% year over year
  • Revenue: $18.57 billion vs $17.90 billion (adjusted) expected, flat year over year

For Intel’s second fiscal quarter, it expects $17.8 billion in revenue, slightly higher than analyst expectations of $17.55 billion. The company missed analyst estimates for its second-quarter EPS as analysts expected $1.09 and Intel is guiding for $1.05 as it spends to build additional manufacturing capability.

Gelsinger, who took over in February, announced earlier this month that Intel would invest $20 billion in new microchip manufacturing plants and announced a plan to become a contract chip manufacturer, or a foundry, which would make other company’s chips, in addition to its own chips.

“This is a pivotal year for Intel,” Gelsinger said in a statement.

But that plan will take years to come to completion. In the quarter ended in March, Intel quarterly sales and quarterly earnings were essentially flat compared with the same period last year, even as demand for microchips skyrocketed around the world.

PC sales had their best quarter in years in the first quarter, according to several estimates. They boosted the chipmaker: Intel said that sales of chips for notebook laptops were a record for the company having risen 54% year over year and that total PC volumes were up 38% in the quarter.

In the year-ago quarter, Intel reported $9.78 billion in sales in its client computing group, which includes PC chips versus $10.61 billion in the most recent quarter. The group comprises more than 59% of Intel’s revenue.

However, many of those laptops and desktops are low-cost Chromebooks which use less expensive chips. Apple, an Intel customer, also is increasingly using its own chips, instead of Intel’s, for its Mac line of PCs. Intel CFO George Davis told analysts that Intel’s performance in PCs was despite sales to Apple “ramping down.”

Intel also sells high-performance chips for data centers, and sales were elevated last year as companies bulked up their cloud operations as employees worked from home. A year ago, Intel reported $6.99 billion in revenue in its data center group versus $5.56 billion this quarter.

Mobileye, Intel’s autonomous vehicle subsidiary, reported $377 million in revenue, which was up 48% year-over-year.

Intel has seen setbacks in making its most advanced chips, which use a manufacturing process called 7-nanometers. It also faces increased competition from companies like Nvidia, which announced its own data center chip this year, and AMD, which has boasted that it has passed Intel in some key computing performance metrics.

Gelsinger’s plan to become a foundry and increase manufacturing in the U.S. is not going to be cheap. Intel said it planned to spend between $19 billion and $20 billion on capital expenditures in 2021.

Last month, Intel said it was expecting earnings of $4 per share and revenue of $72 billion for the full year of 2021. Intel raised that guidance on Thursday to earnings of $4.60 per share as well as sales guidance to $72.5 billion.

Intel’s earnings per share were significantly higher than analyst estimates and the company’s own forecast, but Intel stock was down more than 3% in extended trading. Sales were also above analyst estimates.

Source: https://www.cnbc.com/2021/04/22/intel-intc-earnings-q1-2021.html

intel-revenue-and-profit-drop-slightly-from-last-year

CNBC

Earnings

Corporate Company Earnings, Find Earnings Per Share and Earnings History Online

Published

on

© 2021 CNBC LLC. All Rights Reserved. A Division of NBCUniversal

Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes, and Market Data and Analysis.

Market Data Terms of Use and Disclaimers

Data also provided by Reuters

Source: https://www.cnbc.com/earnings/

earnings

Continue Reading

CNBC

Stitch Fix shares surge as online styling service reports surprise profit

Stitch Fix shares jumped after the online shopping and styling service reported a surprise profit for its fiscal fourth quarter.

Published

on

The Stitch Fix application for download in the Apple App Store on a smartphone arranged in Hastings-on-Hudson, New York, U.S., on Saturday, June 5, 2021. Stitch Fix Inc. is scheduled to release earning on June 7.

Tiffany Hagler-Geard | Bloomberg | Getty Images

Stitch Fix shares jumped 14% in extended trading Tuesday after the online shopping and styling service reported a surprise profit for its fiscal fourth quarter.

Sales for the three-month period ended July 31 also came in higher than analysts were expecting, thanks to outsized growth in Stitch Fix’s women’s and kids’ categories. Menswear has been growing more slowly, the company said.

Consumers have been splurging on new outfits in recent months, as many head back to school and return to social gatherings. Some have also citied the need for new clothes after either gaining or losing weight during the Covid pandemic.

Here’s how Stitch Fix did compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:

  • Earnings per share: 19 cents vs. a loss of 13 cents expected
  • Revenue: $571.2 million vs. $548 million expected

Net income attributable to shareholders was $28 million, or 19 cents per share, in the latest period. A year ago, it posted a net loss of $44.5 million, or 44 cents a share. Analysts had been looking for the company to book a loss of 13 cents per share.

Revenue grew to $571.2 million from $443.4 million a year earlier. That was better than analysts’ expectations for $548 million.

Stitch Fix reported nearly 4.2 million active clients, up 18% from a year earlier. The company said net revenue per active client was $505, surpassing the $500 threshold for the first time ever. Customers have been purchasing more items to keep at home, Stitch Fix said, as they have more brands and price points to choose from.

Stitch Fix defines active clients as people who either ordered a “Fix” subscription or bought an item directly from its website in the preceding 52 weeks from the final day of the quarter.

The company also said it had its lowest ever churn rate at the end of the period, meaning its customers are sticking around.

Last month, Stitch Fix finally opened up its direct-buy option, which is now known as “Freestyle,” to the public. This allows people to shop Stitch Fix for individual items of clothing, without needing to sign up for a subscription.

CEO Elizabeth Spaulding said this should help Stitch Fix grow its addressable market in the year ahead. The company’s next initiative will be to market and raise broader awareness around the offering, she said. Stitch Fix is preparing to roll out a national advertising campaign on the debut.

Early indications are that “Freestyle” is meaningfully accretive to the company’s revenue per active client metric, Spaulding told analysts on a conference call.

“Clients have agency, flexibility and choice while also experiencing a highly personalized shopping experience,” Spaulding said.

For its fiscal first quarter, Stitch Fix said it sees sales in a range of $560 million to $575 million. That’s below analysts’ expectations for $588 million.

For the upcoming fiscal year, Stitch Fix anticipates sales rising 15% or more from the prior year. Analysts polled by Refinitiv had been looking for an 18% increase.

While the entire retail industry is working through supply chain complications, Stitch Fix said it is seeing a small impact, but nothing that will hurt the business in the fall and winter months. The company said it is less reliant on Vietnam, where manufacturing has largely come to a standstill due to ongoing pandemic lockdowns in the region.

As of Tuesday’s market close, Stitch Fix shares have fallen nearly 39% this year. The company has a market cap of $3.8 billion.

Find the full press release from Stitch Fix here.

Sales for the three-month period ended July 31 also came in higher than analysts were expecting, thanks to outsized growth in Stitch Fix’s women’s and kids’ categories. Menswear has been growing more slowly, the company said.

Source: https://www.cnbc.com/2021/09/21/stitch-fix-sfix-q4-2021-earnings.html

stitch-fix-shares-surge-as-online-styling-service-reports-surprise-profit

Continue Reading

CNBC

Earnings

Corporate Company Earnings, Find Earnings Per Share and Earnings History Online

Published

on

© 2021 CNBC LLC. All Rights Reserved. A Division of NBCUniversal

Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes, and Market Data and Analysis.

Market Data Terms of Use and Disclaimers

Data also provided by Reuters

Source: https://www.cnbc.com/earnings/

earnings

Continue Reading

Title

Reuters19 hours ago

Eco-friendly sneaker maker Allbirds aims for $2 bln valuation in U.S. IPO

Eco-friendly sneaker maker Allbirds Inc said on Monday it aims to be valued at over $2 billion in its New...

ZDNET2 days ago

Comcast gave me good, precise news. The truth was precisely the opposite

Many companies believe that technology is perfect for customer service communication. Often, though, it just isn't.

Bioengineer5 days ago

Sex differences in COVID-19 outcomes

Credit: Mary Ann Liebert, Inc., publishers In a study of more than 10,600 adult patients hospitalized with COVID-19, women had

Techcrunch6 days ago

Resistant AI scores $16.6M for its anti-fraud fintech tools – TechCrunch

Resistant AI, which uses artificial intelligence to help financial services companies combat fraud and financial crime — selling tools to...

Techcrunch6 days ago

Facebook reportedly plans to change its name to focus on the metaverse – TechCrunch

Facebook is planning to rebrand the company with a new name to focus on building the metaverse, according to a...

Bioengineer1 week ago

UTHSC awarded $1.5 million HRSA grant for sexual assault nurse examiner training

Credit: UTHSC Memphis, Tenn. (June 16, 2021) - The University of Tennessee Health Science Center's College of Nursing has received

Techcrunch1 week ago

Does the NFT craze actually matter? – TechCrunch

Hello friends, and welcome back to Week in Review! Last week, we talked about Apple’s subscription addiction. This week, I’m...

CNBC2 weeks ago

Earnings

Corporate Company Earnings, Find Earnings Per Share and Earnings History Online

ZDNET2 weeks ago

Even computer experts think ending human oversight of AI is a very bad idea

The UK government is thinking of scrapping the right to ask for a human to review decisions made entirely by...

Crunchbase2 weeks ago

The Briefing: Hailo Lands $136M Series C

Crunchbase News' top picks of the news to stay current in the VC and startup world.

Review

    Select language

    Trending