|
Intel has hot 3Q results
|
 |
October 14, 1996: 5:30 p.m. ET
Chip maker's earnings rise 40.9 pct, while revenues hit new all-time high
|
NEW YORK (CNNfn) -- Intel Corp. reported Wednesday that third-quarter earnings rose 40.9 percent from year-earlier levels, while revenues added 23.3 percent to surpass $5 billion for the first time ever.
Intel reported that third-quarter earnings hit $1.31 billion, or a record $1.48 per share, compared with $931 million, or $1.05 a share, in the same period a year earlier.
Third-quarter revenues for Intel, the world's largest chip maker, hit a record $5.14 billion from $4.17 billion a year earlier.
The results, released after markets had closed, widely surpassed Wall Street's expectations. Traders' consensus estimate had predicted earnings of about $1.24 per share.
The better-than-expected news sent Intel soaring 6-7/8 to 114-1/2 in after-hours trading.
In releasing the results, Intel chief Andrew Grove said: "We are delighted with the excellent acceptance of Pentium and Pentium Pro processor-based PCs and servers, which has produced a stronger third quarter than we had originally expected."
Intel also announced plans to pay a 5-cent-per-share dividend for the quarter.
Santa Clara, Calif.-based Intel added that as part of an ongoing program, the firm repurchased a total of 8 million shares of its common stock during the third quarter, at a cost of $598 million.
As for the future, Intel took the unusual step of declining to release an outlook of upcoming quarters, citing the possible passage of California's Proposition 211.
If voters approve the Proposition 211 state ballot initiative next month, stockholders would have more leeway to sue California-based firms like Intel if company forecasts later prove to be inaccurate.
In a statement, Intel said that while Proposition 211's passage remained uncertain, the firm "does not intend to assume the risk of making forward-looking statements concerning the company's business outlook."
|
|
|
|
|
|
Intel
|
Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney
|
|
|
|
 |
|
