Intel shares slid as much as 20% in extended trading on Thursday after the chipmaker said it would lay off over 15% of its employees as part of a $10 billion cost-reduction plan and reported lighter results than analysts had envisioned.
The company also said that it will not pay its dividend in the fiscal fourth quarter of 2024 and that it will lower full-year capital expenditures by over 20%.
Here’s how the company did, compared to LSEG analyst estimates:
- Earnings per share: 2 cents adjusted vs. 10 cents expected
- Revenue: $12.83 billion vs. $12.94 billion expected
Intel’s revenue declined 1% year over year in the fiscal second quarter, which ended on June 29, according to a statement. The company swung to a $1.61 billion net loss, or 38 cents per share, from net income of $1.48 billion, or 35 cents per share, in the year-earlier period.
A decision to more rapidly produce Core Ultra PC chips that can handle …