Intel shares rise after encouraging quarterly report

Intel recently drew attention with its third-quarter report, prompting a 7.8% surge in trading, while the stock had previously recorded an even higher increase of 9.6%. The chip giant's unexpectedly positive results exceeded Wall Street expectations, once adjusted for one-time impairments, both in terms of profit and revenue. Additionally, the company revealed an optimistic outlook for the future. In the third quarter, Intel reported a non-GAAP loss of $0.46 per share on revenue of $13.28 billion. However, adjusted impairments amounted to $0.63 per share. Analysts had initially expected a smaller adjusted loss of $0.02 per share on revenue of $13.02 billion. After accounting for the impairment, Intel achieved an adjusted earnings per share of $0.17 for the quarter. The company's cost reductions significantly contributed to a better-than-expected adjusted result, while revenues also surpassed Wall Street forecasts. For the fourth quarter, Intel predicts revenues between $13.3 billion and $14.3 billion and expects an adjusted gross margin of 39.5% along with adjusted earnings per share of $0.12. These forecasts were significantly above average Wall Street targets. In a Bloomberg interview, CEO Pat Gelsinger also stated that he does not intend to separate Intel's chip design and manufacturing business.