Flat Revenue and Lower Net Income for Intel in 2Q21

In the second quarter of 2021, Intel had flat revenue year over year, while net income fell 1 percent. The company CEO Pat Gelsinger said he believes that the chip shortage will hit bottom this year.

Gelsinger predicted it would take the semiconductor industry two years to catch up with demand, but forecast current shortages would level out during the second half of the year. He noted Intel is working on adding more fabrication facilities in the US, Europe and Middle East, and had more than 100 customers in the pipeline.

Intel had $19,6 billion GAAP revenue in the quarter, while Non-GAAP revenue was 2 percent up at $18,5 billion. Gross margin went up by 3.8 percentage points. GAAP net income fell 1 percent to $5.1 billion, while Non-GAAP went up 6 percent to $5.2 billion. “Our second-quarter results show that our momentum is building, our execution is improving, and customers continue to choose us for leadership products,“ Gelsinger said.