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Intel lowers outlook as PC market slows more than expected

2013-07-18 07:58:00| Telecompaper Headlines

(Telecompaper) Intel has lowered its full-year outlook as the PC market slows more than expected. The world's largest chipmaker now expects flat revenues for 2013, after earlier forecasting a small increase, and cut its gross margin forecast to around 59 percent from 60 percent previously. In the second quarter, Intel reported revenues of USD 12.8 billion, up 2 percent on a sequential basis in line with its forecast but down 5 percent from a year earlier. PC Client revenues rose 1.4 percent from Q1, helped by a modest increase in inventory stocking and Haswell-based products, and data centre revenues were up 6.1 percent sequentially. The gross margin improved 2.1 percent compared to the first three months of the year to 56.8 percent. Operating profit fell 29 percent year-on-year to USD 2.7 billion, and net profit was also down 29 percent to USD 2.0 billion or USD 0.39 per share.

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