Intel reports strong performance for Q1 2020, with revenues reaching $19.8 billion, a 23% Y-o-Y increase-- results the company says demonstrate the technology industry is "more essential now than it has ever been."
Chipzilla profits total $5.7bn, a 43% Y-o-Y increase, while gross margins reach 60.6%. Driving such results is the Datacentre Group (DCG), with revenues growing by 43% Y-o-Y to $7bn. The memory business emerges as a surprise champion, with 46% Y-o-Y growth on $1.3bn in revenues, while ADAS adoption leads to a record quarter for the Mobileye business. The rest of the Intel IoT business does see a -3% Y-o-Y drop in revenue, however.
The PC-centric client computing group (CCG) also sees gains, as revenues are up by 14% Y-o-Y following recently "troubled" times. Such results are primarily thanks to notebooks, as ASPs see a 22% Y-o-Y increase, leading to growth despite shipments slipping by -3% Y-o-Y. Intel plans to further improve the supply of Ice Lake laptops, and is shipping the recently launched Comet Lake-H CPUs to OEMs.
The coronavirus (aka Covid-19) pandemic did affect Intel operations, but the company says it still managed to meet 90% of deliver targets. Chipzilla has pledged to support employees with a $100 million investment, as well as $60m in technology to relief effort. In addition, it has joined the Open Covid Pledge for scientific research, and donated 1m PPE items to healthcare workers.
Looking to the future, Chipzilla remains committed to release the first 10nm+ Tiger Lake (TGL) CPUs in H2 2020 before ramping up production lines to th enext generation of CPUs.
