Intel Lowers Expectations For Second Quarter

Intel

The Santa Clara, Calif.-based chip maker said weaker-than-expected sales in Europe were largely to blame and that sales would likely be between $6.2 billion and $6.5 billion for the current quarter. Earlier in the period, Intel said it anticipated sales between $6.4 billion and $7 billion.

Prior to the update, the average of analyst expectations for Intel's sales was $6.7 billion.

Intel also said it now expects its gross margin percentage to register at 49 percent for the quarter, "plus or minus a couple of points," compared with its earlier expectation of 53 percent.

Company executives were expected to provide slightly more detail regarding their projections in a conference call with financial analysts later in the day.