Intel says revenue in current quarter could be higher than previously forecast

Intel raises revenue estimate for current quarter

SANTA CLARA, Calif. — Intel Corp. is raising its third-quarter revenue forecast, citing strong demand for its chips. The news sent its shares up sharply in pre-market trading Friday.

The world’s largest maker of computer microprocessors said it now expects sales of $8.8 billion to $9.2 billion in the current quarter. Its earlier guidance was for revenue in the range of $8.1 billion to $8.9 billion.

Analysts polled by Thomson Reuters had been expecting $8.55 billion in revenue.

Intel shares rose 77 cents, 4 percent, to $20.24 in pre-market trading.

Although Intel said demand for its products is strong, the implications for the struggling personal-computer business are unclear. Intel’s sales exceeded expectations in the last quarter partly because its customers, PC makers, needed to restock their chip inventories after letting them run lower than normal to save money.

And Dell Inc., the world’s No. 2 PC maker, said Thursday as it reported quarterly earnings that while consumers are showing more signs of coming back to stores to buy PCs, corporations are still holding off. Dell said it might not see a significant turnaround in tech spending by businesses until next year.