In an announcement that high-tech watchers hope will spark a new momentum for 2002, chipmaker Intel beat Wall Street expectations for its fourth quarter of 2001, with revenue of $7 billion and a profit of 15 cents per share.
The performance outperformed analyst expectations, which were 11 cents per share.
While revenue for the quarter was up 7 percent sequentially, it was still down 20 percent year over year. Profit was $998 million, up 52 percent from the previous quarter but down 62 percent year over year.
For the year, revenue was $26.5 billion, down from $33.7 billion in 2000, while net income was $3.6 billion, down from $12.1 billion in 2000. Earnings for the full year were 52 cents per share, down 70 percent from $1.73 in 2000.
Intel president and CEO Craig Barrett, in a statement, called 2001 a "terrible year for our industry," but said the company still managed to introduce new products like the industry's first 2-GHz processor, while also gaining market segment share and earning over $1 billion. In the Intel Architecture Group, highlights included record sales of Pentium 4 processors, as well as sequentially higher chipset and motherboard unit shipments.
While the company says continuing uncertainty in the market makes it difficult to predict future demand, the company expects its revenue for the first quarter of 2002 to be between $6.4 billion and $7 billion.