Intel(US:INTC)2026-01-22 21:10Financial Performance - Q4 2025 revenue was $13.7 billion, down 4% year-over-year, while full-year revenue was $52.9 billion, flat year-over-year[7]. - Q4 2025 gross margin was 36.1%, down 3.1 percentage points from Q4 2024, and non-GAAP gross margin was 37.9%, down 4.2 percentage points[5]. - Q4 2025 net loss attributable to Intel was $(0.6) billion, compared to a loss of $(0.1) billion in Q4 2024, while non-GAAP net income was $0.8 billion, up 35% year-over-year[5]. - Intel forecasts Q1 2026 revenue between $11.7 billion and $12.7 billion, with expected EPS of $(0.21) and non-GAAP EPS of $0.00[7][13]. - Operating income for the three months ended December 27, 2025, was $580 million, compared to an operating loss of $412 million for the same period in 2024[23]. - For the twelve months ended December 27, 2025, total revenue was $52,853 million, a slight decrease from $53,101 million in 2024, reflecting a decline of 0.5%[29]. - The operating loss for the twelve months ended December 27, 2025, was $2,214 million, an improvement from an operating loss of $11,678 million in 2024[29]. - GAAP net income attributable to Intel for Q4 2025 was a loss of $591 million, while non-GAAP net income was $767 million, indicating a positive trend in core operations[40]. - GAAP earnings per share attributable to Intel for Q4 2025 was $(0.12), compared to $(0.03) in Q4 2024[41]. - Non-GAAP earnings per share attributable to Intel for Q4 2025 was $0.15, up from $0.13 in Q4 2024[41]. Cash Flow and Assets - The company generated $4.3 billion in cash from operations in Q4 2025 and $9.7 billion for the full year[6][9]. - Cash and cash equivalents rose to $14,265 million as of December 27, 2025, compared to $8,249 million a year earlier[25]. - The company reported a net cash provided by operating activities of $9,697 million for the twelve months ended December 27, 2025, compared to $8,288 million in 2024[27]. - Intel's net cash used for investing activities in Q4 2025 was $(6,566) million, compared to $(3,764) million in Q4 2024[41]. - Intel's net cash provided by financing activities for Q4 2025 was $5,849 million, significantly higher than $63 million in Q4 2024[41]. Research and Development - Research and development expenses for the twelve months ended December 27, 2025, were $13,774 million, down 16.9% from $16,546 million in 2024[23]. Strategic Initiatives - The Intel® Core™ Ultra Series 3 processor family was introduced, marking the company's first AI PC platform built on the Intel 18A process technology[15]. - Intel and Cisco announced a collaboration for an integrated platform for distributed AI workloads, enhancing real-time AI inferencing capabilities[15]. - Intel's 18A process technology ramped to high-volume manufacturing, reinforcing its position in advanced semiconductor manufacturing[15]. - The company completed a $5.0 billion common stock sale to NVIDIA, strengthening its balance sheet and strategic flexibility[15]. Liabilities and Assets - Total current assets increased to $63,688 million as of December 27, 2025, from $47,324 million as of December 28, 2024[25]. - Total liabilities decreased to $85,665 million as of December 27, 2025, from $91,453 million as of December 28, 2024[25]. - Intel's total assets increased to $211,429 million as of December 27, 2025, from $196,485 million as of December 28, 2024[25]. Segment Performance - Intel's revenue from CCG (Client Computing Group) for the three months ended December 27, 2025, was $8,193 million, down from $8,769 million in the same period of 2024, a decrease of 6.5%[29]. - The DCAI (Data Center and AI) segment generated revenue of $4,737 million for the three months ended December 27, 2025, compared to $4,351 million in the same period of 2024, an increase of 8.8%[29]. - The Foundry segment reported revenue of $4,507 million for the three months ended December 27, 2025, compared to $4,340 million in the same period of 2024, reflecting a growth of 3.8%[29]. - The "all other" category, which includes operations from non-reportable segments, contributed $574 million in revenue for the three months ended December 27, 2025[29]. Tax and Expenses - The projected non-GAAP tax rate for 2026 is estimated to be 11%, down from 12% for 2025 and 13% for 2024, indicating a strategic adjustment in tax planning[32]. - GAAP operating expenses for full-year 2025 were $20.6 billion, projected to decrease to approximately $18.2 billion in full-year 2026[46]. - Non-GAAP operating expenses for full-year 2025 were $16.5 billion, expected to decrease to approximately $16.0 billion in full-year 2026[46]. Other Financial Metrics - Adjusted free cash flow is referenced as a key non-GAAP measure, providing insights into the company's liquidity and capital resources[36]. - Deferred tax assets valuation allowances were excluded from non-GAAP measures, facilitating a clearer evaluation of core operating performance[36]. - The company experienced gains on equity investments, netting $97 million in Q4 2025, which were excluded from non-GAAP calculations for comparability[40]. - Acquisition-related adjustments contributed $117 million to non-GAAP operating income in Q4 2025, reflecting the impact of strategic acquisitions on financial performance[40].