Intel’s Second Quarter Earnings Report Beat Analysts’ Expectations

Intel’s Second Quarter Earnings Report Beat Analysts’ ExpectationsIntel Corp's second quarter earnings reported surpassed past analyst expectations with earnings of $0.55 a share on $13.2 billion revenue.

On Wednesday, the chipmaker announced the strong results owing to a growth of demand for its data center chips which counterbalanced a drop in the sale of PCs.

Worldwide, Intel is the supplier of PC chips for 80% of the market but is chips supply for cloud computing and the Internet of Things have been the leading growth frontiers of late.

Stacy Smith, the company's chief financial officer said that the chipmaker has noted a 'robust' growth in its investments in cloud computing, memory and the Internet of Things leading.

The analysts, who had lowered expectations in the past weeks, had forecasted earnings of $0.50 a share on revenues of $13.1 billion.

As compared to last year same quarter, Intel's revenue dropped five percent from $13.8 billion. This year the profits generated in the Q2 was $2.706 billion which was a little less than $2.796 billion noted in 2014.

The results which were reported on Wednesday after the market closed made an impact in the afterhours trading and lifted the shares of the company by 6.5%.