Intel’s quarterly guidance was lower than expected, but the company’s fourth-quarter earnings and revenue exceeded analyst estimates. The chipmaker reported adjusted earnings per share of 13 cents, beating expectations of 12 cents, and revenue of $14.26 billion, surpassing forecasts of $13.81 billion.
The company’s net loss for the quarter was $126 million, or 3 cents per share, compared to a net income of $2.67 billion, or 63 cents per share, in the same period last year. Revenue declined 7% from the previous year, but Intel attributed this decline to seasonality and competition.
Intel’s leadership team made significant changes during the quarter, including the replacement of CEO Pat Gelsinger with two interim co-CEOs, David Zinsner and Michelle Johnston Holthaus. The new leaders expressed their commitment to enhancing Intel’s competitive position and creating shareholder value.
The company has decided to focus on its Jaguar Shores product for servers, rather than its Falcon Shores processor, which was initially planned for sale but is now only being used as a test chip. Intel also expects to report breakeven profit in the first quarter, with revenue of between $11.7 billion and $12.7 billion.
In related news, Intel has finalized a $7.86 billion U.S. government grant to support manufacturing in four states. The company is also expected to launch its next-generation laptop chips carrying the code name Panther Lake in the second half of 2025.
Despite some positive earnings news, Intel’s shares were down 1% for the year before Thursday’s close, while the S&P 500 index was up about 3%.
Source: https://www.cnbc.com/2025/01/30/intel-intc-q4-earnings-report-2024.html