Intel Q2 Revenue Jumps 25% to $16.1B, Non-GAAP EPS Hits $0.42; Q3 Outlook Tops Street
INTC has more than doubled off its 52-week low of $18.965.
Summary
Intel reported Q2 revenue of $16.1B (+25% YoY), non-GAAP EPS of $0.42, and guided Q3 above consensus. A $12.5B non-cash mark-to-market loss on government escrowed shares drove a GAAP net loss of $11.0B.
Key Events · Earnings and Guidance · INTC
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Revenue Surges 25% to $16.1B
Q2 2026 revenue of $16.1 billion, up 25% year-over-year, driven by Data Center and AI (up 59%) and Intel Foundry (up 31%).
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Non-GAAP EPS of $0.42 Beats Estimates
Non-GAAP EPS of $0.42 compared to a loss of $0.10 a year ago, reflecting strong operational execution and higher factory yields.
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GAAP Loss Driven by Non-Cash Mark-to-Market
GAAP net loss of $11.0 billion includes a $12.5 billion non-cash charge from the change in fair value of Escrowed Shares related to the U.S. government's CHIPS Act equity stake — a paper loss tied to Intel's rising stock price, not operational cash outflows.
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Q3 Guidance Above Consensus
Intel guided Q3 revenue to $15.8–16.8 billion and non-GAAP EPS of $0.38, both above current analyst expectations, signaling continued momentum.
Analysis · INTC · Manufacturing
Intel delivered its strongest revenue growth in over fifteen years, with Q2 revenue of $16.1 billion, up 25% year-over-year and well above the $14.42 billion consensus. The GAAP net loss of $11.0 billion is entirely attributable to a $12.5 billion non-cash mark-to-market loss on Escrowed Shares tied to the U.S. government's CHIPS Act equity stake — a paper loss driven by Intel's surging stock price, not operational weakness. On a non-GAAP basis, which excludes this and other one-time items, Intel earned $0.42 per share, a dramatic swing from a loss of $0.10 a year ago. The company guided Q3 revenue to $15.8–16.8 billion and non-GAAP EPS of $0.38, both above current analyst estimates. Intel Foundry revenue jumped 31% to $5.8 billion, though the segment remains unprofitable. With $7.0 billion in cash from operations and a strong balance sheet, Intel is investing heavily in capacity to meet AI-driven demand. This report validates the strategic pivot under CEO Lip-Bu Tan and the recent Apple and Google manufacturing wins, but the massive non-cash GAAP loss requires careful communication to avoid misinterpretation.
At the time of this filing, INTC was trading at $105.35 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $503.8B. The 52-week trading range was $18.97 to $142.35. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.