Intel's first quarter adjusted earnings per share were 18 cents, exceeding expectations. However, the revenue was $1.272 billion, slightly lower than expected. The second quarter forecast shows that the company is facing challenges, resulting in an 8% drop in the stock price.

First quarter financial report performance

Intel's adjusted earnings per share in the first quarter reached 18 cents, exceeding Wall Street's expectations of 14 cents. However, its revenue was $12.7 billion, slightly lower than the expected $12.78 billion. Compared to last year, Intel's net loss in the first quarter of this year was $400 million, significantly narrowing its loss of $2.8 billion in the same period last year.

Future outlook and market response

Although Intel's revenue forecast for the second quarter was $13 billion, the market response was lukewarm, resulting in an 8% drop in its stock price in after hours trading.

Business department analysis

Intel's customer computing division achieved revenue of $7.5 billion, a year-on-year increase of 31%. The data center and artificial intelligence businesses recorded sales of $3 billion, a year-on-year increase of 5%. In addition, Intel's chip foundry business had a revenue of $4.4 billion this quarter, but an operating loss of $2.5 billion.

Strategy and leadership

Intel CEO Pat Gelsinger emphasized the company's long-term potential during the earnings conference call and looks forward to improving performance through independent operation of chip foundry business.