Jan Dawson Chief Analyst

(408) 744-6244 jan@jackdawresearch.com

@jandawson

Charts from Intel Q2 2014 earnings

Profit margins

Source: Intel financial reporting, Jackdaw Research analysis

Intel margins

0%

25%

50%

75%

Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

Gross Operating Net

Revenue growth

Source: Intel financial reporting, Jackdaw Research analysis

Year-on-year overall revenue growth, total, Intel

-8%

-6%

-4%

-2%

0%

2%

4%

6%

8%

Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

Revenue by segment

Source: Intel financial reporting, Jackdaw Research analysis

Intel revenue by segment, $m

0

5,000

10,000

15,000

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

PC Client Data Center Internet of Things Mobile and CommsSoftware and Services All other

Revenue by segment

Source: Intel financial reporting, Jackdaw Research analysis

Intel revenue by segment

0%

25%

50%

75%

100%

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

PC Client Data Center Internet of ThingsMobile and Comms Software and Services All other

Profit by segment

Source: Intel financial reporting, Jackdaw Research analysis

Intel operating profit by segment, $m

-3,000

-1,500

0

1,500

3,000

4,500

6,000

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

PC Client Data Center Internet of ThingsMobile and Comms Software and Services All other

Internet of ThingsIntel Internet of Things segment results, $m

0

150

300

450

600

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

Revenue Operating income

Source: Intel financial reporting, Jackdaw Research analysis

Mobile & Comms

Source: Intel financial reporting, Jackdaw Research analysis

Intel Mobile and Communications segment results, $m

-1250

-1000

-750

-500

-250

0

250

500

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

-1124

-929-874-810-761

-703

51156

326353292

404

Revenue Operating income

Unit growth in PCs

Source: Intel financial reporting, Jackdaw Research analysis

Intel reported year on year unit growth in PCs

-10%

-5%

0%

5%

10%

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

Notebook unit volume growth Desktop unit volume growth

ASP change in PCs

Source: Intel financial reporting, Jackdaw Research analysis

Year on year change in average selling prices for PCs, Intel

-8%

-6%

-4%

-2%

0%

2%

4%

6%

Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014

Notebook ASP change Desktop ASP change

Jan Dawson Chief Analyst

(408) 744-6244 jan@jackdawresearch.com

@jandawson

Thank you