Intel profits surge as of Q1 2017
Intel's earnings report for the first quarter of this year has slightly exceeded analyst expectations with an overall operating profit of 3.6 billion USD to represent a 40 percent increase YoY. Revenue rose by 8 percent from 13.7 billion USD to 14.8 billion USD during the same time frame.
Net profits climbed 45 percent from 2 billlion USD in Q1 2016 to 3 billion USD as of Q1 2017. The lion's share of Intel's revenue stream came from its Client Computing Group (CCG) responsible for components found in consumer notebooks, 2-in-1 convertibles, desktops, AiOs, and workstations. Sales in this segment increased from 7.55 billion USD to 7.98 billion USD with operating profits from the PC division jumping significantly from 1.88 billion USD to 3.03 billion USD. The Intel Data Center Group (DCG) experienced a small revenue growth of 6 percent to 4.2 billion USD.
Intel's solid performance in the notebook and desktop PC space is a surprise. The chipmaker recently axed its decades-long IDF conventions in China and California as the company now wants to shift focus away from consumer hardware and more into A.I. systems, automotive, wireless communications, and the overarching idea of the Internet of Things (IoT).