We knew Intel’s quarterly financial results weren’t going to be great, after the company announced a restructuring plan. But when you lose $16.6 billion in a quarter where you made $13.3 billion in revenue, it’s tough to see everything through rose-tinged glasses.

The good news? Intel appears to have pleased investors, as its financial outlook is expected to outperform what Wall Street had hoped for.

In August, Intel said it would lay off thousands of employees while restructuring the company to cut expenses by $10 billion. Most of the loss is attributable to accountants sloshing red ink over all of the company’s papers: $2.8 billion in restructuring charges and $15.9 billion in depreciation charges, including equipment attached to its Intel 7 manufacturing process. If you look at so-called “non-GAAP” numbers, the company lost $2 billion for the third quarter of 2024.

The division that enthusiasts care about, the Client Computing Group, recorded $7.3 billion in revenue, down 7 percent. “Intel continues to lead the AI PC category and is on track to ship more than 100 million AI PCs by the end of 2025,” the company said.

Intel chief executive Pat Gelsinger said in a statement that the company is making “solid progress” against its plan and that its 18A manufacturing process, part of the company’s efforts to woo customers to its foundry business, is attracting “strong interest.”

Intel’s stock soared after hours, however, because the company expects fourth quarter revenue to be up, between $13.3 billion and $14.3 billion. That’s more than it made in the third quarter, more than Wall Street expected, and apparently signals a return to a healthier Intel and PC market.