Intel 4Q net income rises 6 pct (Update)

Jan 16, 2014
In this Monday, Jan. 6, 2014, file photo, Mooly Eden, senior vice president and perceptual computing general manager from Intel, talks to the media during the Intel news conference at the International Consumer Electronics Show in Las Vegas. Intel Corp. reports quarterly financial results after the market closes on Thursday, Jan. 16, 2014. (AP Photo/Jack Dempsey)

Intel's fourth-quarter net income rose 6 percent, as the company offset flat demand for its personal computer chips with higher sales of other products.

The world's largest chipmaker earned $2.63 billion, or 51 cents per share, up from $2.47 billion, or 48 cents per share, in the same quarter of 2012. Revenue rose 3 percent to $13.83 billion.

Analysts polled by FactSet expected a profit of 52 cents per share on revenue of $13.72 billion.

Intel supplies chips for the majority of personal computer processors, so the consumer shift away from PCs —and toward tablets and smartphones— continues to hurt sales. The company has tried to offset the decline with higher sales of chips for servers, phones and tablets.

Last week, a pair of research firms said PC sales continued to sink during the holiday shopping season, capping the steepest annual decline in PC shipments in decades.

According to Gartner Inc., worldwide PC sales fell 7 percent during the fourth quarter, marking the seventh-straight quarter of declines. Meanwhile, International Data Corp. said global PC shipments fell 6 percent.

Fourth-quarter revenue from Intel's PC group was $8.6 billion, about the same as a year ago, while data center revenue jumped 8 percent to $3 billion. Revenue from the company's other businesses increased 9 percent to $1.1 billion.

For the full year, the Santa Clara, California-based company earned $9.62 billion, or $1.89 per share, down from $11 billion, or $2.13 per share, in 2012. Revenue fell to $52.71 billion from $53.34 billion.

For the current quarter, Intel projected revenue of $12.3 billion to $13.3 billion, bracketing analysts' expectations of $12.8 billion.

Intel Corp. shares fell 79 cents, or 3 percent, to $25.75 in aftermarket trading. The shares ended the regular session down 13 cents to $26.54.

Explore further: Intel 3Q profit unchanged, but beats predictions (Update)

1 /5 (1 vote)
add to favorites email to friend print save as pdf

Related Stories

Intel cuts sales outlook as PC sales slump

Jul 17, 2013

(AP)—Intel Corp., the world's largest maker of chips for PCs, put a brave face on the decline of the global PC sales earlier this year, saying it expected its own sales to grow. Now, it's backtracking, saying sales will ...

Intel 4Q profit down, beats Street (Update)

Jan 17, 2013

Intel Corp., the world's largest chipmaker, on Thursday said its fourth-quarter net income fell 27 percent from the previous year, as PC sales continued to weaken.

Oracle fiscal 2Q net income falls slightly (Update)

Dec 18, 2013

Oracle's fiscal second-quarter net income edged down slightly, hurt by flat revenue from new software licenses and cloud software subscriptions, but still managed to beat Wall Street predictions.

Texas Instruments 3Q profit drops, outlook weak

Oct 21, 2013

Chipmaker Texas Instruments Inc. said Monday that its net income fell 20 percent in the third quarter. Its outlook for the current period was worse than analysts expected, and shares slipped.

Recommended for you

What's PayPal's first solo move?

13 hours ago

PayPal's impending split from long-time partner eBay Inc. will ratchet up its appeal to online retail competitors such as Amazon.com and give it the freedom to aggressively take on new mobile pay challeng ...

AOL to feed more video, news to Microsoft's MSN

17 hours ago

AOL will provide Microsoft's MSN with more video and additional news stories from popular sites such as The Huffington Post and TechCrunch in an expansion of a deal aimed at selling more digital advertising.

Microsoft to tap $2-trillion Indian cloud market

22 hours ago

Microsoft announced plans Tuesday to offer its commercial cloud services from Indian data centres as it seeks to tap what it calls a $2-trillion market in the country where Internet use is growing rapidly.

User comments : 0