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Intel had predicted Q3 2016’s revenue to be of $14.4 billion to $15.4 billion, but it seems like the company has hit gold with PC sales improving. The company said today that the new predicted revenue stands at $15.3 billion to $15.9 billion.

The company was previously in the middle of cutting 12,000 jobs from its payroll seeing a stagnation in the PC market. But the tables seem to have turned now with a somewhat replenishment of PC supply chain inventory. Apparently, the world’s leading chipmaker is also seeing improved PC demands. All this adds up to the fact that the revenue of the company for this quarter will go up by a fairly large amount.

Intel writes in a press release:

The company is forecasting the mid-point of the third-quarter GAAP gross margin range at 62 percent, plus or minus a couple of points, up 2 points versus the prior third-quarter GAAP outlook gross margin midpoint of 60 percent, driven mostly by higher PC unit volume. The midpoint of the third-quarter non-GAAP gross margin range is now forecasted at 63 percent, plus or minus a couple of points, up 1 point versus the prior third-quarter non-GAAP outlook gross margin midpoint of 62 percent.

The same increase in spending stands good in the R&D plus MG&A sector too. Apparently, Intel had predicted the costs to be around $5.1 billion, but the actual value comes in to be $100 million more. Third-quarter gains and losses from equity investments and interest and other income are expected to be a net loss of approximately $125 million. Previously this number was expected to be $75 million. The tax rate for the third quarter is expected to be 22 percent, as compared to the prior expectation of 21 percent.

The Q3 earning report will be out on October 18. Until then, all other expectations have been withdrawn. Overall, the new numbers seem to pave the way for the release of Intel’s Kaby Lake processors, commonly known as 7th Generation Core processors.

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