Intel Reports Strong Q2 Earnings and Revenue Growth Driven by AI Momentum
Intel (NASDAQ:INTC) reported its fastest quarterly revenue growth in over 15 years, with second-quarter earnings of $0.42 per share surpassing expectations of $0.21 per share. Total revenue rose to $16.13 billion from $14.33 billion expected, driven by strong performance across multiple segments including its Data Center and AI division, which saw a 59% year-on-year increase in sales. The company raised its third-quarter guidance with projected revenue between $15.8 billion and $16.8 billion—above the market forecast of $15.1 billion—and expects adjusted earnings per share to reach $0.38 during that period. Intel's performance is being fueled by sustained demand for AI infrastructure, supported by new product launches such as Xeon 6+ server processors and expanded partnerships. Despite long-term challenges in the PC market, capital expenditures are rising with full-year spending now expected above $20 billion due to increased investment in AI manufacturing. The U.S. government is also supporting Intel's role in domestic semiconductor production.
Topics: AI demand semiconductors stock performance