Intel Records Quickest Revenue Growth in Over a Decade, Driven by AI
Intel Corporation delivered a stunning financial comeback in its second quarter of 2026, reporting revenue of $16.1 billion — a 25% jump year-over-year and the company’s fastest quarterly growth since 2011. The results blew past Wall Street’s consensus estimate of $14.42 billion and sent the stock soaring in after-hours trading before a volatile reversal.
The standout performer was Intel’s Data Center and AI segment, which surged an extraordinary 59% year-over-year to $6.3 billion, signaling that demand for AI infrastructure is revitalizing the market for high-end server CPUs. The Client Computing Group, which produces chips for PCs, also posted solid growth of 13%, reaching $8.9 billion in revenue.
Adjusted earnings per share hit $0.42, doubling the analyst consensus of $0.21. Non-GAAP gross margin recovered to 41.8%, compared to under 30% just a year ago — a dramatic improvement attributed to higher factory yields and tighter cost controls.
CEO Lip-Bu Tan was bullish in his remarks: “AI is driving unprecedented demand for compute. Our Q2 results represent our strongest revenue growth in more than fifteen years.”
Intel also raised its Q3 2026 revenue guidance to a midpoint of $16.3 billion, well above analyst forecasts, and disclosed it has signed 10 long-term foundry customer agreements. However, shares fell over 5% during intraday trading on July 24 as investors grew concerned about a significant upward revision to capital expenditures.
Source: CNBC — Intel Q2 2026 Earnings Report