Intel's Q1 net profit up four-fold, to hire 1,000

By siliconindia   |   Wednesday, 14 April 2010, 22:38 IST
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New York: Chip maker Intel posted a nearly four-fold rise in quarterly net profit and said it plans to hire more than 1,000 employees this year. The company said first-quarter net profit rose to $2.4 billion from $647 million in the same quarter a year ago. Intel's revenue rose 44 percent to $10.3 billion in the quarter that ended on March 27, better than the $9.8 billion expected by Wall Street analysts and the company's own forecast of $9.3 billion to $10.1 billion. While revenue rose year-on-year it was down three percent in the first quarter compared with the previous quarter. Earnings per share of 43 cents were better than the 38 cents expected by analysts. "The industry has nearly fully recovered," Intel President and Chief Executive Paul Otellini said in a conference call with analysts. As the world's top chipmaker, Intel's fortunes are closely linked to those of the computer market and overall technology spending. Otellini said that "demand for higher end PC products was particularly strong and helped strengthen margins and profitability" in the quarter. Intel forecast revenue of $9.8 billion to $10.6 billion for the current quarter. Analysts had forecast $9.69 billion. Intel had cash and short-term investments at the end of March of $10.9 billion and Chief Financial Officer Stacy Smith said the company was looking at "strategic investments."