Intel's Financial Struggles Continue

Intel Corporation has announced a significant downturn in its financial performance for the fourth quarter of the fiscal year 2024. The company reported a 7% annual decrease in revenue, bringing the total down to $14.3 billion. This decline is accompanied by a GAAP diluted loss per share of $0.03, marking a 105% plunge.

Annual Revenue and Future Projections

For the full year, Intel's revenue stood at $53.1 billion, a 2% decrease compared to the previous year. The GAAP diluted loss per share for 2024 was recorded at $4.38, a stark contrast to $0.40 the year before. Looking ahead, Intel has forecasted its first-quarter 2025 revenue to be between $11.7 billion and $12.7 billion.

Leadership's Perspective on the Results

"The cost reduction plan we announced last year to improve the trajectory of the company is having an impact," stated Intel interim co-CEO David Zinsner. He attributed the Q1 outlook to a combination of seasonal weakness, broader economic uncertainties, ongoing inventory adjustments, and competitive dynamics.

Market Reaction

Despite the challenging quarter, Intel's shares experienced a 1.85% jump in the after-hours session at 4:20 pm ET, signaling a mixed reaction from investors.