News from Sina Technology in the early morning of July 24, Beijing time,IntelThe financial report for the second quarter of FY2020 was announced today. According to the report, Intel's second-quarter revenue was 19.728 billion US dollars, up 20% from 16.505 billion US dollars in the same period last year; net profit was 5.105 billion US dollars, up 22% from 4.179 billion US dollars in the same period last year.

Intel's second-quarter revenue, adjusted earnings per share, and full-year performance outlook all exceeded Wall Street analysts' previous expectations, but the adjusted earnings per share outlook for the third quarter fell short of expectations, causing its after-hours stock price to drop sharply by more than 7%.

Main performance:

In the fiscal quarter ending June 30, Intel's net profit was $5.105 billion, up 22% from $4.179 billion in the same period last year; earnings per share were $1.19, up 29% from $0.92 in the same period last year.

Excluding certain one-time items (not in accordance with US GAAP), Intel's adjusted net profit for the second quarter was US$5.3 billion, up 10% from US$4.8 billion in the same period last year; adjusted earnings per share were $1.23, up 16% from $1.06 in the same period last year, exceeding analysts' expectations. According to data provided by Yahoo Finance Channel, 34 analysts had previously predicted that Intel's earnings per share for the second quarter would reach 1.11 US dollars.

Intel's second-quarter revenue was US$19.728 billion, up 20% from US$16.505 billion in the same period last year, exceeding analysts' expectations. According to data provided by Yahoo Finance Channel, 35 analysts had previously predicted that Intel's second-quarter revenue would reach 18.55 billion US dollars.

Intel's second-quarter operating profit was 5.7 billion US dollars, up 23% from 4.6 billion US dollars in the same period last year; excluding US GAAP, Intel's adjusted operating profit for the second quarter was 6.1 billion US dollars, up 18% from 5.1 billion US dollars in the same period last year. Intel's second-quarter gross margin was 53.3%, down 6.6 percentage points from 59.8% in the same period last year; excluding US GAAP, Intel's adjusted gross margin for the second quarter was 54.8%, down 6.8 percentage points from 61.6% in the same period last year.

Intel's second-quarter operating expenses (R&D, general affairs, and administration) were $4.8 billion, down 5% from $5.1 billion in the same period last year. Among them, R&D expenditure was US$3.354 billion, compared to US$3.438 billion for the same period last year; marketing, general affairs, and administrative expenses were US$1,447 million, compared to US$1,639 million for the same period last year; and restructuring and other expenses were US$9 million, compared to US$184 million for the same period last year. Without US GAAP, Intel's adjusted operating expenses for the second quarter were US$4.8 billion, down 5% from US$5 billion in the same period last year.

Intel's tax rate for the second quarter was 14.0%, up 2.4 percentage points from 11.5% in the same period last year; without US GAAP, Intel's adjusted effective tax rate for the second quarter was 13.9%, up 2.1 percentage points from 11.8% in the same period last year.

Performance of each department:

According to divisions, Intel Customer Computing Group's net revenue for the second quarter was US$9.496 billion, compared to US$8.841 billion for the same period last year; operating profit was US$2,842 billion, compared to US$3,737 billion for the same period last year. Among them, platform business revenue was US$8.229 billion, compared with US$7.925 billion for the same period last year; other related business revenue was US$1,267 million, compared with US$916 million for the same period last year.

Intel Data Center Group's second-quarter revenue was US$7.117 billion, compared to US$4.983 billion for the same period last year; operating profit was US$3,099 billion, compared to US$1,800 million for the same period last year. Among them, platform business revenue was US$6.181 billion, compared to US$4.553 billion for the same period last year; other business revenue was US$936 million, compared with US$430 million for the same period last year.

Intel IoT Group's second-quarter revenue was US$816 million, compared to US$1,187 million for the same period last year; operating profit was US$66 million, compared to US$347 million for the same period last year. Among them, IOTG business revenue was 670 million US dollars, compared with 986 million US dollars for the same period last year; Mobileye business revenue was 146 million US dollars, compared to the same period last year, 201 million US dollars.

Intel's non-variable storage solutions group revenue for the second quarter was US$1,659 million, compared to US$940 million for the same period last year; operating profit was US$322 million, compared with operating loss of US$284 million for the same period last year.

Intel's Programmable Solutions Group's revenue for the second quarter was US$501 million, compared to US$489 million for the same period last year; operating profit was US$80 million, compared with operating profit of US$52 million for the same period last year.

Intel's second-quarter revenue for all other businesses was $139 million, compared to $65 million for the same period last year; operating loss was $712 million, compared to operating loss of $10.35 million for the same period last year.

Performance outlook:

Intel expects revenue for the third quarter of FY2020 to be about US$18.2 billion, which exceeds expectations; operating profit margin is about 28%, and the adjusted operating profit margin that does not comply with US GAAP is about 30%; tax rates that do not comply with US GAAP are about 15.5%; earnings per share are about 1.02 US dollars; and earnings per share that do not comply with US GAAP are about 1.10 US dollars, which falls short of expectations. According to data provided by Yahoo Finance Channel, the average of 35 analysts expected Intel's third-quarter revenue to reach 17.9 billion US dollars, and the average of 34 analysts predicted that Intel's adjusted earnings per share for the third quarter would reach 1.14 US dollars.

Intel expects revenue for FY2020 to be about 75 billion US dollars, exceeding expectations; operating profit margin is about 30%, operating profit margin that does not comply with US GAAP is about 32%; tax rates that do not comply with US GAAP are about 14.5%; earnings per share are about 4.53 US dollars; earnings per share that do not comply with US GAAP are about 4.85 US dollars, exceeding expectations; cash from business operations is about US$32.5 billion; capital expenditure is about US$15 billion; in non-compliance with US GAAP, free cash flow is expected to be about 17.5 billion dollars US dollars. According to data provided by Yahoo Finance Channel, the average of 39 analysts expected Intel's revenue for FY2020 to reach US$73.86 billion, and the average of 38 analysts expected that Intel's earnings per share after adjustments in FY2020 would reach 4.81 US dollars.

Stock price changes:

On the same day, Intel's stock price wasNASDAQIt fell $0.65 in regular trading to close at $60.40, or 1.06%. In after-hours trading ending at 4:07 p.m. EST on Thursday (4:07 a.m. Beijing time on Friday), Intel's stock price fell again by $4.43 to $55.97, or 7.33%. Over the past 52 weeks, Intel's highest price was $69.29 and the lowest price was $43.63. (Tang Feng)