Intel Revenue Up 3% During the Fourth Quarter
Intel this week revealed its fourth quarter earnings, showing that the company took in $13.8 billion in revenue during the holiday season. This represents a 3% increase over its fourth quarter 2012 earnings. Operating income for the fourth quarter was up 12% year-over-year to $3.5 billion and earning per share increased $0.51, a 6% increase over the fourth quarter 2012.
“We had a solid fourth quarter with signs of stabilization in the PC segment and financial growth from a year ago,” said Brian Krzanich, CEO of Intel. “We’ve built a strong foundation for our business by bringing innovation to the market more quickly across a wide range of computing platforms. For example, at CES, we demonstrated multiple devices that weren’t on our roadmap six months ago.”
Despite these encouraging fourth quarter numbers, the company’s annual results show that even Intel is not immune to the continuing downturn in the PC market. Intel’s 2013 revenue topped $52.7 billion, down 1% from the $53.3 billion it posted for the year 2012. Operating income for 2013 fell 16% year-over-year to just $12.3 billion and earning per share fell 11% to just $1.89.
Despite the overall slowed growth for 2013, Intel did post some encouraging numbers for the year. Though the company’s PC Client Group revenue declined 4% to just $33 billion, Intel’s Data Center Group revenue was up 7% from 2012 to $11.2 billion. This could mean that Intel is well-placed within the computing industry to weather a long-term shift from traditional PCs to mobile devices – both in the consumer market and for enterprise. Other traditional PC companies such as Dell and HP have also begun to re-focus their company efforts on enterprise software and security.