Industry News

Intel's Q1 Financial Forecast Below Expectations Q4 2023 PC Business Grows 33%

Update time : 2024-02-03 11:26:15

Intel announced its 2024 Q1 financial forecast on Jan. 25, with revenue expected to be between $12.2 billion and $13.2 billion, $2 billion below market expectations, as the company struggles to cope with uncertainty in the traditional server and PC markets.

Intel shares fell about 6% after hours following the news. Intel also expects first-quarter profit of 13 cents per share, compared with analysts' expectations of 33 cents.
Intel said it had revenue of $15.4 billion in the fourth quarter of 2023, higher than the $15.2 billion forecast by analysts, and adjusted earnings per share of $0.54, higher than the $0.44 forecast by analysts. Intel CFO David Zinsner said the company easily achieved its goal of more than $3 billion in cost savings by 2023
The heavy investment in 2023 has caused Intel's gross margin to fall, slipping from a previous high of 60% to 30% at the start of 2023, although adjusted gross margins rebounded slightly in the third quarter at 45.8%; they grew to 48.8% in the fourth quarter.
Analysts believe that 2024 is to determine whether Intel can benefit from artificial intelligence (AI) chips and AI PC "decisive" year. As customer capital expenditure to AI servers, so the demand for traditional server processor chips decline, resulting in Intel 2023 fourth quarter data center revenue fell 10% to $ 4 billion.
Currently Intel is one of the largest chip suppliers in the PC market, a number of data show that the PC market has warmed up signals. Intel's personal computer division revenue in the fourth quarter of 2023 increased by 33% to $8.8 billion. In addition, the foundry services division revenue of $291 million, a 63% jump year-on-year, and is expected to generate more profits in the future.
Intel's autonomous driving unit Mobileye reported lower-than-expected revenue in the fourth quarter of 2023, after the company warned of a reduction in orders due to customers digesting inventory, which could impact full-year results.
Looking ahead, Intel hopes to drive growth in PC sales with its new Core Ultra series of processors, which feature a Neural Processing Unit (NPU) designed for AI computing, allowing users to run certain AI applications locally without having to rely on cloud services to ensure privacy.

Previous : TSMC 2nm process, Apple is expected to be the first to adopt

Next : Supply Chain Channels Confirm Apple to be the First to Use TSMC's 2nm Process Chip

How to Identify Legitimate Sellers When Purchasing Electronic Components Online？

Dec .31.2024

Purchasing electronic components online is different from buying clothes online. One needs to understand various aspects. When shopping online for electronic components, one must have a basic knowledge of electronic components and know how to distinguish

Development Directions and Innovation Trends of the Electronic Components Market in 2025

Dec .31.2024

With the continuous progress of science and technology and the development of the global economy, the electronic components industry has shown a rapid development trend in recent years. From consumer electronics to industrial automation, from automotive e

Resistance Thermometer Temperature Sensors

Dec .31.2024

A resistance thermometer is a common temperature sensor that measures temperature by utilizing the property that the resistance of materials changes with temperature. Resistance thermometers are widely used in various fields, including industrial control,

Say Goodbye to Lag! Three Ways to Speed Up WiFi

Dec .31.2024

Don't worry. By learning the following three methods, your WiFi experience can be greatly improved! Let's improve the home WiFi signal from three aspects: transmission power, wireless channels, and location with the agency of Cirrus Logic. Say goodbye to

About Us

About Us What we do Quality People

Products

CHIP/IC Active devices Passive device Components OTHER

China electronic components supplier----Wah Luen Shing Electronic.----www.wlschip.com

Leave a message