Intel beats expectations: chipmaker delivers strong quarter

The U.S. semiconductor company Intel reported first-quarter 2026 results well above Wall Street expectations, sending a strong signal in its ongoing turnaround. Revenue came in at around 13.6 billion US dollars, clearly exceeding forecasts of roughly 12.4 billion US dollars. The adjusted earnings per share also surprised to the upside at 0.29 US dollars, compared with expectations of about 0.02 US dollars.

The main driver behind this performance is the surge in demand for semiconductors linked to artificial intelligence. In particular, the data center and AI segment recorded strong growth, generating around 5.1 billion US dollars in revenue and outperforming expectations.

Overall, the company shows signs of structural improvement. Revenue increased by around 7 percent year-on-year, while operational performance stabilized significantly. The results continue a recent trend of Intel beating market expectations over several consecutive quarters.

The outlook provides additional support. Intel expects second-quarter revenue in the range of 13.8 to 14.8 billion US dollars, again above analyst estimates. Demand for AI-related chips is seen as a key growth driver, currently rising faster than available production capacity.

Financial markets reacted positively. The stock rose in after-hours trading as investors had previously questioned the sustainability of the company’s recovery. The strong earnings beat reinforces the perception that Intel may be regaining competitiveness in the race for AI hardware.

At the same time, structural challenges remain. High investments in new manufacturing technologies and ongoing losses in the foundry business continue to weigh on overall performance. The company is therefore still in a transition phase, with growth and restructuring taking place in parallel.

Against this backdrop, the quarter paints a clear picture: Intel is currently benefiting from the global AI investment boom, while its long-term success will depend on whether it can sustainably strengthen its technological position against competitors.

SK