Intel's Q2 profits fall 76 percent
TUESDAY, JULY 17, 2001 4:27 PM
- Reuters
SAN FRANCISCO, July 17 (Reuters) - Intel Corp. (NASDAQ NM:INTC) on Tuesday reported second-quarter profits that plunged 76 percent as the world's largest microchip maker was hit by the triple whammy of a slowing economy, slack PC sales, and stinging price competition from rival Advanced Micro Devices Inc. (NYSE:AMD).
Santa Clara, California-based Intel also forecast that sales in the third quarter would be $6.2 billion to $6.8 billion, compared with $6.3 billion in the second quarter.
For the quarter ended June 30, Intel said on Tuesday that net income, excluding acquisition-related costs, fell to $854 million, or 12 cents per share, from $3.5 billion, or 50 cents a year ago. Year-ago results include a $2.1 billion gain from the sale of investments.
Sales fell to $6.3 billion, down 24 percent from the year-ago $8.3 billion.
The results at the high end of the range of per-share net income for 8 cents to 13 cents expected by 24 analysts surveyed by Thomson Financial/First Call. The mean per-share forecast was for net income excluding one-time costs of 10 cents.
REUTERS
Rtr 16:27 07-17-01