Intel Beats Estimates, Reports Robust Revenues
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Intel Beats Estimates, Reports Robust Revenues
By K.C. Swanson
TheStreet.com Staff Reporter
01/14/2004 04:27 PM EST
Click here for more stories by K.C. Swanson
Intel's (INTC:Nasdaq - commentary - research) fourth-quarter earnings blew past Wall Street estimates by a full 8 cents. The chip giant also reported record fourth-quarter sales of $8.74 billion, up 22% from year-ago levels and above the consensus estimate for $8.66 billion.
Gross margin hit 63.6%, higher than Intel's revised expectation for 62% and well above the prior quarter's 58.2%.
Net income amounted to $2.2 billion, up 107% year-over-year. On a per share basis, earnings amounted to 33 cents, compared to a consensus estimate for 25 cents.
Some of that came from tax benefit that was 6 cents greater than anticipated. The fourth-quarter results also reflected the impact of a $611 million good will write-down related to the wireless communications and computing group.
In the first quarter, Intel said revenue is expected to be between $7.9 billion and $8.5 billion. That compares to a March quarter consensus estimate for $8.24 billion and 28 cents, according to Thomson First Call. Intel doesn't give earnings guidance.
Also, Intel guided for 2004 capital spending in a range between $3.6 billion and $4 billion, compared to $3.7 billion in 2003.
After falling 20 cents, or 0.6%, to $33.39 in Wednesday's regular session, Intel shares were down another 69 cents, or 2.1%, to $32.70 in after-hours trading.
TheStreet.com Staff Reporter
01/14/2004 04:27 PM EST
Click here for more stories by K.C. Swanson
Intel's (INTC:Nasdaq - commentary - research) fourth-quarter earnings blew past Wall Street estimates by a full 8 cents. The chip giant also reported record fourth-quarter sales of $8.74 billion, up 22% from year-ago levels and above the consensus estimate for $8.66 billion.
Gross margin hit 63.6%, higher than Intel's revised expectation for 62% and well above the prior quarter's 58.2%.
Net income amounted to $2.2 billion, up 107% year-over-year. On a per share basis, earnings amounted to 33 cents, compared to a consensus estimate for 25 cents.
Some of that came from tax benefit that was 6 cents greater than anticipated. The fourth-quarter results also reflected the impact of a $611 million good will write-down related to the wireless communications and computing group.
In the first quarter, Intel said revenue is expected to be between $7.9 billion and $8.5 billion. That compares to a March quarter consensus estimate for $8.24 billion and 28 cents, according to Thomson First Call. Intel doesn't give earnings guidance.
Also, Intel guided for 2004 capital spending in a range between $3.6 billion and $4 billion, compared to $3.7 billion in 2003.
After falling 20 cents, or 0.6%, to $33.39 in Wednesday's regular session, Intel shares were down another 69 cents, or 2.1%, to $32.70 in after-hours trading.
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