Intel Corporation today reported its fifth consecutive quarter of record revenue, with double-digit revenue growth across all business segments. On a Non-GAAP basis, revenue was $13.1 billion, operating income was $4.2 billion, net income was $3.2 billion, and EPS was 59 cents. On a GAAP basis, the company reported second-quarter revenue of $13.0 billion, operating income of $3.9 billion, net income of $3.0 billion, and EPS of 54 cents. The company generated approximately $4.0 billion in cash from operations, paid cash dividends of $961 million, and used $2.0 billion to repurchase 93 million shares of common stock.

"We achieved a significant new milestone in the second quarter, surpassing $13.0 billion in revenue for the first time," said Paul Otellini, Intel president and CEO. "Strong corporate demand for our most advanced technology, the surge of mobile devices and Internet traffic fueling data center growth, and the rapid rise of computing in emerging markets drove record results. Intel's 23 percent revenue growth in the first half and our increasing confidence in the second half of 2011 position us to grow annual revenue in the mid-20 percent range."Highlights
Non-GAAP Results

• Revenue: A record $13.1 billion, up $2.3 billion, 22 percent year-over-year
• Gross margin: 62 percent, down 5.5 percentage points year-over-year
• Operating income: $4.2 billion, up $221 million, 6 percent year-over-year
• Net income: $3.2 billion, up $290 million, 10 percent year-over-year
• EPS: 59 cents, up 8 cents, 16 percent year-over-year

GAAP Results

• Revenue: A record $13.0 billion, up $2.3 billion, 21 percent year-over-year
• Gross margin: 61 percent, down 6.6 percentage points year-over-year
• Operating income: $3.9 billion, down $46 million, 1 percent year-over-year
• Net income: $3.0 billion, up $67 million, 2 percent year-over-year
• EPS: 54 cents, up 3 cents, 6 percent year-over-year

Q2 2011 Key Financial Information (GAAP)

• Business unit trends:
  o PC Client Group revenue up 11 percent year-over-year.
  o Data Center Group revenue up 15 percent year-over-year.
  o Other Intel architecture group revenue up 84 percent year-over-year, including Embedded & Communications Group revenue up 25 percent year-over-year.
  o Intel Atom microprocessor and chipset revenue of $352 million, down 15 percent year-over-year.
• The acquisitions of McAfee Inc. and Infineon Wireless Solutions (now Intel Mobile Communications) contributed revenue of $1.0 billion in their first full-quarter of results.
• The platform average selling price (ASP) was approximately flat sequentially and up year-over-year.
• Gross margin was 61 percent, consistent with the company's expectation.
• R&D plus MG&A spending was $3.9 billion, consistent with the company's expectation.
• Net loss of $4 million from equity investments and interest and other, versus the company's expectation of a $50 million net gain.
• The effective tax rate was 25 percent, below the company's expectation of 29 percent.
• The company used $2.0 billion to repurchase 93 million shares of common stock.
• The second quarter of 2011 had 13 weeks of business, while the first quarter of 2011 had 14 weeks.

For additional information regarding Intel's results and Business Outlook, please see the CFO commentary at this page.