Sunday 27 July 2014

Intel report Q2 2014

Intel, Q2, 2014, report, front page
I am a little late on the summary of the quarter 2 report from Intel. When I started to look back I also discovered that I have completely missed to write a report concerning Q1 so that is indeed sloppy of me. Lately the share price of Intel has climbed a lot higher so why is that?

If you want to read the full report of Intel Q2 2014 then please click on the link. The reason for the share price increase is simply due to increased sales by Intel as can be seen below. So they have managed to push up their revenue and at the same time decreased their cost of sales. For the half year running they are up with almost 2 billion USD and a net income of 4.7 billion USD which is 0.7 billion higher than last year in the same period.

Intel, Q2, 2014, financial statement

The outlook that the management delivered is also looking very bright for the rest of this year and they have been working hard with their share buy-back program and there is now very little money left for them to buy for.

Below is the revenue based on their units and there we see very clearly that Intels' cash cows have started to deliver once again. PC client pushed up with 0.4 billion during the half year and Data Center with 0.6 billion! They have also created a new unit called Internet of Things. This group have also seen increased revenue but mobile is doing seriously bad still and Q2 was really horrible with only 51 million in sales compared to 292 million one year ago! Software is more or less flat and All Other have also seen a 0.1 billion increase in sales. Good to see that the cash cows are running and I hope that will continue for a while!

Intel, revenue, units, Q2, 2014

Conclusion: Intel has started to do really well with their basic things again and even though the market love to focus on the mobile part now it seems as if they have slightly woken up and discovered that everything in the world is still not mobile based and companies can still make good money on the non fashionable things if you have the superior product as Intel has. I will continue as shareholder in Intel. For more info on Intel please see the last analysis of Intel 2014.

No comments: