Intel net up 25% on laptop-chip sales

Sidney · 20th April 2005, 01:18

SAN FRANCISCO (MarketWatch) - Intel Corp., the world's largest maker of computer chips, said late Tuesday first-quarter net income rose 25%, more than expected, on surging sales of its chips used to power laptops.....

Intel sold more of its newest products, which carry a higher profit margin, as computer makers sold more laptops with wireless Internet connections. Sales in China and India were especially strong, with Asian sales accounting for 47% of total revenue.

"While it is always appropriate to be concerned about the economic outlook, we believe we are on firm footing," CFO Andy Bryant said on a conference call. "The demand we're seeing is real," he said....

The company said average selling prices for its microprocessors, which run more than 80% of the world's personal computers, remained stable in the quarter.

Bryant said Intel's microprocessor factories were "full," which allowed the company to produce more of those products for each dollar it spent on manufacturing. Intel gets 72 percent of its revenue from microprocessor sales.

The company said its gross margin - an important profitability measure -- came in at 59.3% of sales, higher than the 57 percent Intel had projected last month. It raised its 2005 gross margin target to 59%, up from 58%.

http://custom.marketwatch.com/custom...ion=&symb=INTC

Sidney · 20th April 2005, 01:20

Comparing to AMD 38.73% Gross Margin

http://www.marketwatch.com/tools/quo...arketwatch.com

20th April 2005, 01:18	#1
Sidney Member Join Date: Mar 2004 Posts: 15,738	Intel net up 25% on laptop-chip sales SAN FRANCISCO (MarketWatch) - Intel Corp., the world's largest maker of computer chips, said late Tuesday first-quarter net income rose 25%, more than expected, on surging sales of its chips used to power laptops..... Intel sold more of its newest products, which carry a higher profit margin, as computer makers sold more laptops with wireless Internet connections. Sales in China and India were especially strong, with Asian sales accounting for 47% of total revenue. "While it is always appropriate to be concerned about the economic outlook, we believe we are on firm footing," CFO Andy Bryant said on a conference call. "The demand we're seeing is real," he said.... The company said average selling prices for its microprocessors, which run more than 80% of the world's personal computers, remained stable in the quarter. Bryant said Intel's microprocessor factories were "full," which allowed the company to produce more of those products for each dollar it spent on manufacturing. Intel gets 72 percent of its revenue from microprocessor sales. The company said its gross margin - an important profitability measure -- came in at 59.3% of sales, higher than the 57 percent Intel had projected last month. It raised its 2005 gross margin target to 59%, up from 58%. http://custom.marketwatch.com/custom...ion=&symb=INTC __________________ lazyman Opteron 165 (2) @2.85 1.42 vcore AMD Stock HSF + Chill Vent II

20th April 2005, 01:20	#2
Sidney Member Join Date: Mar 2004 Posts: 15,738	Comparing to AMD 38.73% Gross Margin http://www.marketwatch.com/tools/quo...arketwatch.com __________________ lazyman Opteron 165 (2) @2.85 1.42 vcore AMD Stock HSF + Chill Vent II

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