Intel Reports Earnings for Quarter Ending January 1 - Earnings Summary

Quarterly Revenue and Earnings

Intel Corp. reported its financial results for the quarter ending January 1, 2024. The company reported revenue of $14.0 billion, a decrease of 32% year-over-year (YoY). Net income was $2.9 billion, a decrease of 92% YoY. Diluted earnings per share (EPS) were $0.18, a decrease of 89% YoY.

Segment Revenue

The Data Center Group (DCG) reported revenue of $4.3 billion, a decrease of 33% YoY. The Client Computing Group (CCG) reported revenue of $6.3 billion, a decrease of 36% YoY. The Network and Edge Group (NEX) reported revenue of $2.2 billion, a decrease of 17% YoY. The Mobileye Group reported revenue of $341 million, an increase of 59% YoY.

Outlook

For the current quarter, Intel expects revenue to be in the range of $10.5 billion to $11.5 billion. The company expects EPS to be in the range of $0.25 to $0.35. For the full year, Intel expects revenue to be in the range of $52 billion to $54 billion. The company expects EPS to be in the range of $1.10 to $1.30.

Analyst Commentary

"Intel's earnings report was disappointing," said Patrick Moorhead, an analyst at Moor Insights & Strategy. "The company's revenue and earnings were both below expectations. The PC market is in decline, and Intel is struggling to compete with AMD in the server market. I believe that Intel needs to make some changes to its business strategy in order to return to growth."

"I am not surprised by Intel's earnings report," said Stacy Rasgon, an analyst at Bernstein Research. "The PC market is in secular decline, and Intel is facing increasing competition from AMD. I believe that Intel's long-term prospects are still bright, but the company needs to make some changes to its business strategy in order to capitalize on the growth opportunities in the data center and AI markets."