Intel Q1 2026 Earnings Signal Stronger Recovery Amid Manufacturing Challenges Intel reported first-quarter earnings that exceeded Wall Street expectations, marking a potential turning point for the struggling chipmaker. The company’s revenue rose 7.2% year-over-year to $13.58 billion, surpassing analyst forecasts of $12.42 billion. Adjusted earnings per share hit 29 cents, far above the 1 cent expected, as the firm showed signs of rebounding from years of underperformance. Shares of the U.S. chipmaker surged 16% in after-hours trading, reflecting investor optimism. The results highlight a shift in Intel’s fortunes, particularly in its data center business, where revenue grew 22% to $5.1 billion. This growth is driven by increasing demand for central processing units (CPUs) in artificial intelligence (AI) workloads, as agentic tasks move beyond the dominance of Nvidia’s graphics processing units (GPUs). Intel’s recent $14 billion acquisition of a 49% stake in its Ireland chip fab, previously sold to Apollo Global Management, underscores its efforts to secure manufacturing capacity amid rising CPU demand. Despite the positive momentum, Intel still faces significant financial hurdles. The company reported a net loss of $4.28 billion, or 73 cents per share, widening from $887 million, or 19 cents per share, a year earlier. This reflects ongoing challenges in balancing its dual role as both a chip designer and manufacturer. While foundry revenue rose 16% to $5.4 billion, much of this stems from Intel producing its own chips, a model that differs from most competitors who outsource manufacturing to firms like Taiwan Semiconductor Manufacturing Company (TSMC).#elon_musk #wall_street #apollo_global_management #intel #taiwan_semi_conducting_manufacturing_company
