Intel Exceeds Expectations with Strong Q1 Earnings

Chip Maker’s Success Bodes Well for PCs

Intel was expected to do well in the first quarter of 2011, but not this well. The company grossed $12.8 billion in revenue, earning $3.16 billion in net income and setting a new all-time record for the company. The gross figure is an increase of 25% percent from the same time last year and a 13% increase from the last quarter of 2010. The company exceeded Wall Street’s expectations by almost 10% percent, spurring a 5.24% stock boost to 20.88.

Intel’s unexpected success is owed to combined efforts from every division of the company, reassuring skeptics that the PC market is not only strong, it’s getting stronger. In particular, almost 70% of revenue came from the Asia-Pacific region, including Japan. Still, some say the company could see signs of weakness in the coming months of 2011 as consumers opt for one of a wide array of tablets flooding the market.