Rivian lifts delivery forecast as R2 becomes its top-selling model
The electric-vehicle maker reported $2.2 billion in third-quarter revenue and a narrower net loss, while raising its minimum delivery forecast to 67,000 vehicles.
Intel shares fall 23% after hours as cash flow and revenue outlook weaken
The chipmaker forecast fourth-quarter sales below analysts’ estimates and expects an October factory explosion in Israel to cost roughly $600 million in revenue over two quarters.
Intel shares fell 23% in extended trading on October 29 after the company said manufacturing constraints, weak PC demand and expansion spending would prevent it from generating positive cash flow this year. Its revenue forecast for the fourth quarter also missed analysts’ expectations.
The company projected revenue of $15 billion to $16 billion for the quarter, compared with the $17.07 billion average analyst estimate compiled by LSEG. It forecast adjusted earnings of 25 cents per share, against expectations of 43 cents.
Intel said higher memory prices were increasing PC costs and weighing on demand, with that weakness potentially lasting through the first half of 2027. It expects its PC chip business to post a fourth-quarter revenue decline in the mid-20% range, following a 5% decrease to $8.10 billion in the third quarter.
An October explosion at Intel’s Kiryat Gat factory in Israel is expected to reduce revenue by roughly $600 million across two quarters and limit AI server chip supplies to cloud customers, the company said in an interview. Media reports said two people died and one was seriously injured.
Finance chief David Zinsner said the blast prompted a roughly $300 million reduction in the fourth-quarter sales outlook and a cut of about 200 basis points to the gross margin forecast. He anticipated a similar impact in the first quarter. Intel was assessing which wafers could still be used and sold.
Zinsner said capital spending remained on track to reach $20 billion this year and would rise sharply in 2027 as Intel obtains additional chipmaking tools.
For the third quarter, which ended September 26, Intel reported a 21% revenue increase to $16.51 billion, matching estimates. Adjusted earnings reached 52 cents per share, exceeding the 40 cents analysts had expected.