Intel ( (INTC) ) has released its Q1 earnings. Here is a breakdown of the information Intel presented to its investors.
Intel Corporation, a leading semiconductor company, reported its first-quarter 2025 financial results, highlighting efforts to enhance operational efficiency amid a challenging macroeconomic environment. The company, known for its innovative technology solutions, operates in the semiconductor industry, focusing on the design and manufacturing of chips that power a wide range of computing devices.
In the first quarter of 2025, Intel’s revenue remained flat year-over-year at $12.7 billion, while the company reported a GAAP loss per share of $0.19. Despite the stagnant revenue, Intel’s CEO, Lip-Bu Tan, emphasized the company’s commitment to improving execution and operational efficiency, with initiatives aimed at streamlining operations and empowering engineering talent.
Key financial metrics from the quarter include a gross margin decrease to 36.9% from 41% in the previous year, and a significant reduction in operating expenses, with R&D and MG&A costs down 19% from the prior year. The Client Computing Group saw an 8% decline in revenue, while the Data Center and AI segment experienced an 8% increase. Intel also announced plans to reduce its operating expenses to $17 billion in 2025 and $16 billion in 2026, alongside a reduction in gross capital expenditures.
Intel’s strategic moves include the launch of new processors and the sale of a majority stake in its Altera business, allowing the company to focus on its core operations. The company also completed the divestiture of its NAND business to SK hynix, further aligning its resources with its strategic priorities.
Looking ahead, Intel forecasts second-quarter 2025 revenue between $11.2 billion and $12.4 billion, with a GAAP loss per share of $0.32. The company remains focused on driving sustainable growth and market share gains, despite the uncertainties in the macroeconomic environment.