The beginning of the US result season started with the good news of microchip manufacturer Intel reporting record quarterly profits. The results far exceeded Wall Street forecasts, and helped push up technology share prices across the world.
Richard Wray over at Guardian.co.uk is reporting that many people thought Intel results would show slowing demand due to the economic crisis currently affecting Europe. Intel made a profit of $2.9bn in the three months to 26 June, compared with a loss of $398m last year which was affected by a $1.06bn fine by the European commission.
Profit margins came out at 67%, more than the 64% that was forecast by market analysts, and the company expects the same level of results for the third quarter.
The company’s profits were helped by stronger than expected demand from manufacturers of servers and PC’s for its chips. Following the news technology shares across the US and Asia rose, and pushed British chip designer Arm Holdings to the top of the FTSE 100.
To read more on the article click here.