Intel Corporation (NASDAQ:INTC) announced financial results for recently concluded 3Q2015. As per the reports, company’s net income was recorded as $3.1 billion whereas the revenues were $14.5 billion.
Insights of The Matter
If taken into account the outlook given by the company in the past, one can see that the top-line performance of Intel was better than the estimates. The gross margin for the quarter was 63%, well in line with the outlook. Some of the major driving forces that pushed the company to achieve great revenues included market growth in the internet of things, data center, and non-volatile memory business.
The cash generated from operations was around $5.7 billion. After deducting all the miscellaneous expenses, the net operating income was $4.2 billion. Intel paid $1.1 billion worth of dividends and spent another $1 billion in repurchasing of 36 million shares. When it comes to Client Computing Group segment, Intel reported $8.5 billion revenue, 13% higher than the previous year and 7% lesser than the numbers announced during the same period in the last year.
Other data comprised of data center group revenues of $4.1 billion, internet of things group revenue of $581 million, and software & service related revenue of $566 million.
Management Call
The senior management team of the company was delighted to announce these financial updates and expected to improve financial performance continuously in the future. According to Brian Krzanich, CEO, Intel Corporation (NASDAQ:INTC), the economic environment had been throwing multiple challenges over the past few quarters, yet Intel executed its plans well and managed to perform well financially and operationally.
Intel’s prime objective has always been to transform innovation into action, and the third quarter proved to be a landmark three-month period in this direction. Its 6th Gen Intel Core processor and 3D XPoint™ technology have already created a sensation in the market. The responses received so far are excellent, which has inspired Intel to pursue its path with innovations in the coming months.
