The chipmaker said it expects "some'' revenue growth for the full year, compared with its previous forecast of flat revenue.
The Santa Clara, California, company also raised the mid-point of its gross margin forecast range for the second quarter, which ends at the end of June, by 1 point to 64 percent.
With personal computer shipments falling for eight straight quarters through March, some analysts have suggested the industry's decline is close to hitting bottom, potentially giving Intel breathing room as it struggles to develop better processors for mobile and wearable devices.
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Demand from companies for PCs likely received a boost recently due to Microsoft's winding down of support in April for its Windows XP operating system, analysts say.
"PCs have been getting less bad for a while,'' said Bernstein analyst Stacy Rasgon. "But if it's all business PCs then the question is going to be sustainability.''
Intel is expected to report its second-quarter results on July 15.
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Shares of Intel jumped 4.15 percent in extended trade after closing up 0.11 percent at $27.96 on Nasdaq.