5:25 p.m. EST: While we wait, Intel CFO Stacy Smith has published his commentary on the results ahead of the call. He calls 3Q “exceptional” and notes that it was the largest 2Q-to-3Q revenue jump in the company’s history.
“The factories executed particularly well, with inventories down an additional $300M this quarter, improvements in throughput time and yields, and unit costs better than expected across all lines of business. Additionally, spending was in tight control and the number of employees increased only slightly as a result of the Wind River acquisition,” he adds.
5:32: Otellini and Smith start the call. “We are very pleased with the company’s third quarter,” Otellini says, the result of having the right products at the right cost at the right time. Mobile was particularly strong, thanks to notebook processor sales. Regionally, China had a strong quarter. U.S.’s back-to-school cycle also exceeded expectations.
5:37: Intel begins production of its newest process technology, 32-nanometers, this quarter. It will begin refreshing its entire product line as well, Otellini says.
5:38: Smith goes through Intel’s financial metrics — but you read about those 13 minutes ago, right?
5:41: 4Q revenue forecast is $10.1 billion, up 23% from the year-earlier period. “The factories are executing superbly, and we are showing good financial discipline,” Smith says.