Intel fails to achieve its target in Q2 2022, and ends up falling by 17%

The PC market hasn’t been the best for Intel this year, seeing as it faced a loss of 17% with $13.5 Billion as compared to last year.

When looking closely, the non-GAAP per share rate is 29 cents. While the non-GAAP revenue loss is 17%, the per-share loss is 79% from the earlier year. This review is based on the Q2 only. On a GAAP basis, the loss per revenue was 22%.

Intel declares that they’re deeply disappointed by these results. They are far below what Intel had planned for itself and its shareholders. They also commented on how this fall would be the driving force for their betterment. It is an evident reflection of where the company has lacked and gives it a chance to explore where they lack. This will help create better strategies.

This will be a hard blow for Pat Gelsinger, the CEO of Intel, who only got appointed last year after much trial. Another big worry is that their competitor, Advanced Micro Devices (AMD) has been doing better, creating more chips and generating greater revenue.

To combat this fall, the company is taking serious measures. Among them, some were shared by the CFO. These include, smart deployment of the capital, managing the free cash flow, and returning the gross margins by the next quarter. He also claimed that Intel does not plan to change its root models and strategies.

Gelsinger also mentioned how the shortage of supply has been a major factor in Intel's downfall. However, the company is happy because of the recent Chips and Science act which will provide them with huge revenue for upcoming projects. Intel still is investing in creating better opportunities for itself. It plans to invest $20 Billion in Arizona for manufacturing and has already invested $3 Billion in Oregon.

Read next: PC Shipment Sees Its Largest Decline In The Q2 Of 2022, Ever Since Its Lowest Decline In Q2 Of 2013
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