Intel Posts $13.58B Q1 Revenue and $0.29 EPS as Mobileye Loss Widens
Intel's Q1 2026 saw Mobileye revenue climb 27% to $558m, but operating loss widened to $3.89bn due to a $3.78bn goodwill impairment and sales outlook midpoint rose 2%. Intel reported Q1 revenue of $13.58bn and non-GAAP EPS of $0.29, outpacing estimates, fueling AI chip demand and stoking valuation debate.
1. Consolidated First-Quarter Results
Intel reported Q1 revenue of $13.58bn and non-GAAP earnings of $0.29 per share, both above analyst consensus. Strength in data center and PC client segments underpinned the beat, reflecting resilient end-market demand and operational execution.
2. Mobileye Q1 Performance
Mobileye delivered $558m in Q1 revenue, up 27% year-over-year, with gross profit rising 33% to $275m. Despite revenue growth, operating loss expanded to $3.89bn driven by a $3.78bn non-cash goodwill impairment, resulting in a net loss of $3.81bn and EPS of –$4.68.
3. Full-Year 2026 Guidance
Mobileye lifted the midpoint of its full-year 2026 revenue guidance by 2% and projects revenue of $1.93bn to $2.01bn. The segment forecasts an operating loss of $4.33bn to $4.28bn alongside adjusted operating income of $185m to $235m, reflecting higher unit shipments and operating leverage.
4. AI Chip Demand and Market Reaction
Intel’s better-than-expected results rekindled AI chip demand optimism across the industry. SK Hynix shares rallied over 7% to record highs on revived expectations, while investors debate Intel’s valuation relative to peers amid strong execution and one-off charges.