Intel Boosts Revenue Outlook On Stronger Business PC Demand

(RTTNews) - Intel Corp. (INTC), the world's biggest chipmaker, on Thursday raised its revenue outlook for the second quarter and the full year, citing stronger than expected demand for business PCs.

The Santa Clara, California-based company said it now expects second quarter revenue to be $13.7 billion, plus or minus $300 million, compared to its prior outlook of $13.0 billion, plus or minus $500 million.

Intel also said it now expects some revenue growth for the full year 2014. Previously, the company expected full year 2014 revenue to be approximately flat with full year 2013 revenue of $52.71 billion.

Analysts polled by Thomson Reuters currently expect the company to post revenue of $13.02 billion for the second quarter and $53.06 billion for the full year 2014.

Additionally, the company raised its second quarter gross margin outlook to 64%, plus or minus a couple of percentage points, from its previous outlook of 63%, plus or minus a couple of percentage points, citing higher PC unit volume.

Full year 2014 gross margin is now expected to be in the upper half of the company's prior expectations of 61%, plus or minus a few percentage points, driven mostly by expected improvements in unit cost and volume, the company said.

Intel is the world's largest supplier of microprocessors, the brains of personal computers, with roughly 80% of the global market share.

The company is scheduled to report its second quarter financial results on July 15.

Intel shares, which have traded in a range of $21.89 to $28.42 over the past year, closed Thursday's regular trading session at $27.96, up 3 cents, and are currently gaining $1.29 or 4.61% in after hours trading.