Intel management cites AI-driven server demand as driver of Q3 2026 revenue beat
INTC•Intel reported third-quarter 2026 revenue of $16.5 billion, with data center and AI revenue up nearly 80% year over year to $7.3 billion. Non-GAAP earnings were $0.52 per share, above $0.38 guidance, while client revenue fell 9% sequentially to $8.1 billion.
1. Server demand lifts revenue
Intel management attributed third-quarter 2026 revenue of $16.5 billion to strong server demand, partly offset by weaker PC sales. Data center and AI revenue rose nearly 80% year over year to $7.3 billion as increased supply supported higher shipments.
2. PC sales and earnings
Client revenue fell 9% sequentially to $8.1 billion as memory shortages and limited IT budgets weakened PC demand. Non-GAAP gross margin reached 44.1%, reflecting lower manufacturing costs and a more favorable product mix. Non-GAAP earnings were $0.52 per share, above $0.38 guidance, driven by higher revenue, stronger gross margin and disciplined spending.
