Intel earnings up 20% to US$1.57 billion

Intel has reported a 20% rise in earnings for the third quarter to $US1.57 billion, or 88 cents per share, on revenue of $6.2 billion. This compares to results a year ago of $1.31 billion in earnings, or 74 cents per share, on revenue of $5.1 billion. But a survey of analysts had predicted earnings of 91 cents per share, and Intel stock closed the day down .75, at $91.81.

Intel has reported a 20% rise in earnings for the third quarter to US$1.57 billion, or 88 cents per share, on revenue of $6.2 billion

This compares to results a year ago of $1.31 billion in earnings, or 74 cents per share, on revenue of $5.1 billion.

"The quarter saw a lot of energy going into product conversions as the Pentium processor with MMX technology continued to ramp and we accelerated shipments of the Pentium II processor with its novel high performance bus architecture," said Andrew Grove, Intel chairman and CEO, in a statement.

Also during the quarter the company repurchased 2.5 million shares of Common Stock at a cost of $251 million under an ongoing program.

Intel also boasted shipment of a record number of units of microprocessors during the third quarter, although no figures were released.

Geographically, meanwhile, shipments were up slightly in the Americas, but down slightly in Europe, Asia-Pacific and Japan.

For the fourth quarter, the company expects revenue to be slightly up from the third-quarter, with gross margin percentage to be flat to slightly up from 58 percent in the third quarter.

Intel's stock closed the day at $91.81, down .75 on the Nasdaq market. Investment research firm First Call had predicted earnings of 91 cents per share based on a survey of its analysts.

Intel said its earnings per share in the third quarter were down 4% from 92 cents per share in the second quarter as a result of a decline in flash memory shipments.

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