Intel Reports Third Quarter Revenue Of $6.5 Billion
Third Quarter Earnings Excluding Acquisition-Related Costs* $0.10 Per Share
Third Quarter Earnings Per Share $0.02
Intel Investor Relations Web site: www.intc.com
Q3 earnings announcement call live on Web site at 2:30 p.m. PDT
Conference call replay number: (719) 457-0820; confirmation code 487977#
Replay available shortly after end of conference call through Oct. 23
* Acquisition-related costs consist of one-time write-offs of purchased in-process research and development and goodwill, and the ongoing amortization of goodwill and other acquisition-related intangibles and costs. Intangibles include, for example, the value of the acquired companies' developed technology, trademarks and workforce-in-place. Earnings excluding acquisition-related costs differ from earnings presented according to generally accepted accounting principles because they exclude these costs.
SANTA CLARA, Calif., Oct. 16, 2001 - Intel Corporation today announced third quarter revenue of $6.5 billion, down 25 percent from the third quarter of 2000 and up 3 percent sequentially.
For the third quarter, net income excluding acquisition-related costs* was $655 million, down 77 percent from the third quarter of 2000 and 23 percent sequentially. Third quarter earnings excluding acquisition-related costs were $0.10 per share, a decrease of 76 percent from $0.41 in the third quarter of 2000 and 17 percent sequentially.
Including acquisition-related costs in accordance with generally accepted accounting principles, third quarter net income was $106 million, down 96 percent from the third quarter of 2000 and 46 percent sequentially. Earnings per share were $0.02, down 94 percent from $0.36 in the third quarter of 2000 and 33 percent sequentially.
Intel reduced its third-quarter tax provision by $100 million due to an increase in the calculated tax benefit related to export sales for 2000, including the impact of a revision in the tax law.
Acquisition-related costs in the third quarter consisted of $609 million of amortization of goodwill and other acquisition-related intangibles and costs.
"Intel delivered solid third quarter results in a turbulent environment, with revenue and microprocessor units up from the second quarter," said Craig R. Barrett, president and chief executive officer. "The actions taken to accelerate our desktop product roadmap have generated strong demand for the Intel® Pentium® 4 processor and the Intel® 845 chipset platform. In addition, the ramp of our 0.13-micron process technology remains ahead of schedule with three fabs currently on line and another expected by the end of the year."
"While economic conditions worldwide remain weak, we continue to strengthen our competitive position and expect to see moderate unit growth in microprocessors and flash memory in the fourth quarter," he continued. "We remain confident that our strategy for supplying the key computing and communications building blocks for the worldwide Internet build-out positions us for higher levels of growth when the economy recovers."
During the quarter, the company paid its quarterly cash dividend of $0.02 per share. The dividend was paid on Sept. 1, 2001 to stockholders of record on Aug. 7, 2001. Intel has paid a regular quarterly cash dividend for nine years.
During the quarter, the company repurchased a total of 34.9 million shares of common stock, at a cost of $1.0 billion, under an ongoing program. Since the program began in 1990, the company has repurchased approximately 1.5 billion shares at a total cost of approximately $25 billion. In September, Intel's board of directors increased the number of shares available under the program by 300 million shares. With this increase, a total of 328 million additional shares can be repurchased under the program.
Beginning with this earnings report, Intel is providing operating segment information for two additional business groups, the Intel Communications Group (ICG) and the Wireless Communications and Computing Group (WCCG). The information can be found in the tables following this release.
BUSINESS OUTLOOK
The following statements are based on current expectations. These statements are forward-looking, and actual results may differ materially. These statements do not include the potential impact of any mergers, acquisitions or other business combinations that may be completed after Sept. 29, 2001.
Intel plans to provide a mid-quarter Business Update to the Outlook provided below on Dec. 6.
Continuing uncertainty in global economic conditions makes it particularly difficult to predict product demand and other related matters.
** Revenue in the fourth quarter of 2001 is expected to be between $6.2 and $6.8 billion.
** Gross margin percentage in the fourth quarter of 2001 is expected to be 47 percent, plus or minus a couple of points, versus 46 percent in the third quarter. Gross margin percentage varies primarily with revenue levels, product mix, product pricing, changes in unit costs, capacity utilization, and the timing of factory ramps and associated costs.
** Expenses (R&D, excluding in-process R&D, plus MG&A) in the fourth quarter of 2001 are expected to be between $2.0 and $2.1 billion, versus $2.0 billion in the third quarter. Expenses may vary from this expectation depending in part on the level of revenue and profits.
** R&D spending, excluding in-process R&D, is expected to be approximately $3.9 billion in 2001, lower than the previous expectation of $4.0 billion, primarily due to reductions in discretionary spending within ongoing programs.
** Capital spending for 2001 is expected to be approximately $7.5 billion.
** Gains or losses from equity investments and interest and other for the fourth quarter of 2001 are expected to be a net loss of $230 million, due to a net loss on equity investments of approximately $280 million, primarily as a result of impairment charges, and will vary depending on equity market levels and volatility, the realization of expected gains or losses on investments, including gains on investments acquired by third parties, determination of impairment charges, losses on equity-method investments, interest rates, cash balances, mark-to-market of derivative instruments and assuming no unanticipated items.
** The tax rate for 2001 is expected to be approximately 25.7 percent, excluding the impact of acquisition-related costs and the one-time adjustment related to export sales for 2000.
** Depreciation is expected to be approximately $1.1 billion in the fourth quarter.
** Amortization of goodwill and other acquisition-related intangibles and costs is expected to be approximately $550 million in the fourth quarter.
The statements by Craig R. Barrett, the above statements contained in this Outlook, and the statements in the Third Quarter and Recent Highlights section referring to plans and expectations for the current quarter and the future, are forward-looking statements that involve a number of risks and uncertainties. In addition to the factors discussed above, other factors that could cause actual results to differ materially include the following: business and economic conditions and trends in the computing and communications industries in various geographic regions; possible disruption in commercial activities occasioned by terrorist activity and armed conflict, such as changes in logistics and security arrangements, and reduced end-user purchases relative to expectations; changes in customer order patterns; changes in the mixes of microprocessor types and speeds, purchased components and other products; competitive factors, such as rival chip architectures and manufacturing technologies, competing software-compatible microprocessors and acceptance of new products in specific market segments; pricing pressures; development and timing of introduction of compelling software applications; excess or obsolete inventory and variations in inventory valuation; continued success in technological advances, including development and implementation of new processes and strategic products for specific market segments; execution of the manufacturing ramp including the transition to 0.13-micron process technology; excess manufacturing capacity; the ability to grow new networking, communications, wireless and other Internet-related businesses and successfully integrate and operate any acquired businesses; impact of events outside the United States, such as the business impact of fluctuating currency rates or unrest or political instability in a locale, such as unrest in Israel; unanticipated costs or other adverse effects associated with processors and other products containing errata (deviations from published specifications); litigation involving antitrust, intellectual property, consumer, stockholder, and other issues; and other risk factors listed from time to time in the company's SEC reports, including but not limited to the report on Form 10-Q for the quarter ended June 30, 2001 (Part I, Item 2, Outlook section).
Status of Business Outlook and Scheduled Business Update:
Intel expects that its corporate representatives will meet privately during the quarter with investors, the media, investment analysts and others. At these meetings, Intel may reiterate the Outlook published in this press release. At the same time, Intel will keep this press release and Outlook publicly available on its Web site (www.intc.com). Prior to the Business Update and related Quiet Periods (described below), the public can continue to rely on the Outlook on the Web site as still being Intel's current expectations on matters covered, unless Intel publishes a notice stating otherwise.
Intel intends to publish a Business Update press release on Dec. 6, 2001. From the close of business on Nov. 30 until publication of the Business Update, Intel will observe a "Quiet Period." During the Quiet Period, the Outlook as provided in this press release and the company's filings with the SEC on Forms 10-K and 10-Q should be considered to be historical, speaking as of prior to the Quiet Period only and not subject to update by the company. During the Quiet Period, Intel representatives will not comment concerning the Outlook or Intel's financial results or expectations.
A Quiet Period operating in similar fashion with regard to the Business Update and the company's SEC filings will begin at the close of business on Dec. 14 and will extend until the day Intel's next quarterly Earnings Release is published, presently scheduled for Jan. 15, 2002.
THIRD QUARTER 2001 BUSINESS REVIEW
Intel Architecture Group
** Microprocessor unit shipments were higher than the second quarter.
** Chipset unit shipments were higher than the second quarter.
** Motherboard unit shipments were higher than the second quarter.
Wireless Communications and Computing Group
** Flash memory unit shipments were higher than the second quarter.
Intel Communications Group
** Unit shipments of Ethernet connectivity products were higher than the second quarter.
** Unit shipments of network processing components, which include embedded Intel® Pentium® III processors, network processors and I/O processors, were higher than the second quarter.
Financial Review
** Average selling prices of microprocessors were lower than the second quarter.
** Gross margin percentage in the third quarter was 46 percent, consistent with the revised expectation.
** Expenses (R&D, excluding in-process R&D, plus MG&A) in the third quarter were $2.0 billion, down 5 percent from second quarter expenses of $2.1 billion and at the low end of the revised expectation, primarily due to cost control measures and lower profit-dependent expenses.
** On a year-to-date basis, the tax rate was approximately 25.7 percent, excluding the impact of acquisition-related costs and the effect of the one-time tax adjustment related to export sales for 2000.
** Gains or losses on equity investments and interest and other were a loss of $252 million in the third quarter, $162 million larger than the revised expectation of a loss of $90 million. The net loss on equity investments was $182 million, including the impact of impairment charges of approximately $185 million. In addition, interest and other included a $166 million impairment charge on an equity-method investment.
THIRD QUARTER AND RECENT HIGHLIGHTS
Intel Architecture Group
** In July, Intel introduced five new Intel® Pentium® III processor-M products based on Intel's industry-leading 0.13-micron process technology. Combined with the new Intel® 830 chipset, the processors enable faster, thinner and lighter notebook PCs with extended battery life. Available at speeds up to 1.13 GHz, the new processors feature a larger and more advanced cache memory, faster system bus and enhanced Intel® SpeedStep™ technology.
** In August, Intel introduced the Pentium 4 processor at 2.0 GHz and 1.9 GHz, the world's fastest microprocessors for desktop PCs. At the Intel Developer Forum, the company also demonstrated a future Pentium 4 processor based on 0.13-micron circuitry and running at 3.5 GHz, noting that the Pentium 4 processor's microarchitecture is designed to scale to 10 GHz over its lifetime.
** In August, Intel demonstrated a new processor design breakthrough called Hyper-Threading technology, which can improve system performance by as much as 30 percent. Hyper-Threading technology is expected to be introduced in Intel® Xeon™ processors for servers in 2002 and incorporated into a variety of Intel products over the next few years.
** In August, Intel announced that Intel® Itanium™ processors would be used to build a distributed scientific computing system expected to be the largest of its kind in the world. Dubbed the "TeraGrid," the system is part of a $53 million award by the National Science Foundation (NSF) to four facilities, designed to address complex scientific research. The TeraGrid will link computers powered by more than 3,300 Itanium processors.
** In September, Intel introduced the Intel 845 chipset, which utilizes PC133 SDRAM memory, for Pentium 4 processor-based PCs targeted at the high-volume, mainstream consumer and corporate desktop PC market segment.
** In September, Intel introduced the 2 GHz Intel Xeon processor, the world's fastest processor for dual processor, high-performance and mid-range workstations.
** On October 1, Intel introduced 12 new mobile processors that span all mobile computing market segments. Based on Intel's industry-leading 0.13-micron manufacturing process technology, the new processors include the world's fastest, 1.2 GHz mobile processor as well as the lowest-power-consuming microprocessors for notebook PCs.
Intel Communications Group
** In August, Intel announced the first two products in its Dialogic® brand Integrated (DI) family of multifunction telephony boards that is designed specifically for small-to-medium-sized enterprise switching applications.
** In August, Intel introduced the Intel® AnyPoint™ Wireless II Network family of products that provides high-speed wireless network connectivity and shared Internet access for home, home office and small office environments. The product family is based on the IEEE 802.11b wireless connectivity protocol.
** In August, Intel introduced the latest member of the Intel® Media Switch semiconductor product family. The new Gigabit Ethernet component enables OEMs to build high-bandwidth, highly scalable plug-and-play Ethernet switches.
** In September, Intel announced several products designed to help accelerate the deployment of wireless local area networking (LAN) solutions for organizations of all sizes. The new family of products, which includes a network access point (or base station) and adapters for notebook and desktop PCs, is based on the 802.11a specification and offers data rates that are five times faster than previous wireless LAN products.
** In October, Intel introduced a new optical networking subsystem designed to deliver 10 Gigabit Ethernet and OC-192 SONET/SDH communications on a single line card. Intel also announced the world's first complete CMOS Physical Medium Dependent (PMD) chipset for 10 Gigabit per second (Gbps) applications.
Wireless Communications and Computing Group
** In August, Intel and Symbian announced they would work together to accelerate software application development for wireless devices based on the Intel® Personal Internet Client Architecture (PCA). Also during the month, Intel and Compaq Computer announced they will collaborate to help speed the development of Intel PCA-based wireless handheld communications devices and applications used to access and transmit data over the Internet.
** In August, the company launched the Intel® PCA Network, which is designed to help developers build and market wireless applications, services and devices that support Intel PCA. More than 200 companies, including AT&T Wireless, Compaq, Hewlett-Packard, Palm and Symbian, are participating in the network.
** In September, Intel introduced a new flash memory chip designed to enhance the performance of cell phones, personal digital assistants (PDAs) and other wireless devices. The 3 Volt Synchronous Intel StrataFlash® Memory is up to four times faster than traditional flash memory, making it an excellent value for executing code and storing data in handheld devices.
** In October, Intel announced that leading makers of PDAs including Casio, Compaq, Hewlett-Packard, NEC, Symbol Technologies and Toshiba have selected the Intel® StrongARM* SA-1110 processor to power their next generation of communications products.
New Business Group
** During the quarter, Intel Online Services announced that it is providing managed hosting services for a version of Sony's online digital imaging community service, the American Stock Exchange* trading information sites, Commerce One's Managed Application Services*, and the U.S. Army e-learning Web site.
Technology and Manufacturing Review
** During the quarter, Intel began 0.13-micron production at two additional facilities: D2 in Santa Clara and Fab 22 in Chandler, Ariz. Later this quarter, Fab 17 in Hudson, Mass. will also begin production on 0.13-micron technology, which enables microprocessors with higher speeds, more features and lower power consumption. In 2002, Intel plans to begin 0.13-micron production on larger, 300 mm wafers at Fab D1C in Hillsboro, Ore. and Fab 11X in Rio Rancho, N.M.
** In October, Intel announced that its researchers have developed a new semiconductor packaging technology that will help the company build processors containing more than 1 billion transistors and running 10 times faster than today's fastest processors. Called Bumpless Build-Up Layer (BBUL), the technology builds the package around the silicon, enabling thinner, higher- performance processors that consume less power.
Intel Capital
Intel Capital, Intel's strategic investment program, focuses on making equity investments and acquisitions to grow the Internet economy in support of Intel's strategic interests. Intel Capital invests in hardware, software and services companies in several market segments, including computing, networking, and wireless communications. For more information, please visit www.intel.com/capital.
As of the end of the quarter, Intel Capital's strategic equity portfolio included over 500 companies worldwide. The portfolio includes securities of both publicly traded and private companies as follows:
Sept. 29, 2001 | Carrying Value (in millions) |
Marketable equity securities | $232 |
Other equity investments | $1,772 |
Total portfolio | $2,004 |
As of Sept. 29, 2001, the total carrying value of the portfolio included approximately $120 million of net unrealized depreciation on the marketable equity securities.
Marketable equity securities include the Intel Capital portfolio holdings classified as trading assets or as marketable strategic equity securities, and they are carried at current market value in the balance sheet. Other equity investments include non-marketable securities carried at the lower of cost or market value, investments accounted for under the equity method, and equity derivatives carried at current market value. They are classified in the balance sheet as other assets, except for derivatives offsetting changes in values of other investments, which are classified as assets or liabilities as appropriate. Total portfolio value will vary based on a number of factors, including market fluctuations, investments, dispositions and changes in the marketable status of securities.
FINANCIAL INFORMATION
The financial review section is in the tables following this release. Along with the income statement and balance sheet information, additional information is available from the Investor Relations Web site at www.intc.com in a spreadsheet format that can be downloaded.
Online delivery of Intel earnings releases, annual reports, press releases and other materials is available via the Internet at www.intc.com.
INTEL CORPORATION |
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
Sept. 29 |
Sept. 30 |
Sept. 29 |
Sept. 30 |
||||||
2001 |
2000 |
2001 |
2000 |
||||||
NET REVENUE |
$ 6,545 |
$ 8,731 |
$ 19,556 |
$25,024 |
|||||
Cost of sales |
3,553 |
3,148 |
10,085 |
9,420 |
|||||
Research and |
|||||||||
development |
930 |
977 |
2,844 |
2,899 |
|||||
Marketing, general |
|||||||||
and administrative |
1,064 |
1,321 |
3,393 |
3,668 |
|||||
Amortization of |
|||||||||
goodwill and other |
|||||||||
acquisition-related |
|||||||||
intangibles and costs |
609 |
420 |
1,788 |
1,127 |
|||||
Purchased in-process |
|||||||||
research and |
|||||||||
development |
- |
8 |
198 |
91 |
|||||
Operating costs and |
|||||||||
expenses |
6,156 |
5,874 |
18,308 |
17,205 |
|||||
OPERATING |
|||||||||
INCOME |
389 |
2,857 |
1,248 |
7,819 |
|||||
Gains (losses) on equity |
|||||||||
investments, net |
(182) |
716 |
(179) |
3,309 |
|||||
Interest and other, net |
(70) |
250 |
320 |
638 |
|||||
INCOME BEFORE |
|||||||||
TAXES |
137 |
3,823 |
1,389 |
11,766 |
|||||
Income taxes |
31 |
1,314 |
602 |
3,424 |
|||||
NET INCOME |
$ 106 |
$ 2,509 |
$ 787 |
$ 8,342 |
|||||
BASIC EARNINGS |
|||||||||
PER SHARE |
$ 0.02 |
$ 0.37 |
$ 0.12 |
$ 1.24 |
|||||
DILUTED EARNINGS |
|||||||||
|
PER SHARE |
$ 0.02 |
$ 0.36 |
$ 0.11 |
$ 1.19 |
||||
COMMON SHARES |
|||||||||
OUTSTANDING |
6,718 |
6,719 |
|
6,721 |
6,704 |
||||
COMMON SHARES |
|||||||||
ASSUMING |
|||||||||
DILUTION |
6,876 |
7,007 |
6,888 |
7,002 |
|||||
|
|||||||||
PRO FORMA INFORMATION EXCLUDING |
|||||||||
The following pro forma supplemental information excludes the effect of acquisition-related costs. This pro forma information is not prepared in accordance with generally accepted accounting principles. |
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
Sept. 29 |
Sept. 30 |
Sept. 29 |
Sept. 30 |
||||||
2001 |
2000 |
2001 |
2000 |
||||||
Pro forma operating |
|||||||||
costs and |
|||||||||
expenses |
$ 5,547 |
$ 5,446 |
$ 16,322 |
$15,987 |
|||||
Pro forma operating |
|||||||||
income |
$ 998 |
$ 3,285 |
$ 3,234 |
$ 9,037 |
|||||
Net income excluding |
|||||||||
acquisition-related |
|||||||||
costs |
$ 655 |
$ 2,899 |
$ 2,608 |
$ 9,455 |
|||||
Basic earnings per |
|||||||||
share excluding |
|||||||||
acquisition-related |
|||||||||
costs |
$ 0.10 | $ 0.43 | $ 0.39 | $ 1.41 | |||||
Diluted earnings per |
|||||||||
share excluding |
|||||||||
acquisition-related |
|||||||||
costs |
$ 0.10 |
$ 0.41 |
$ 0.38 |
$ 1.35 |
|||||
INTEL CORPORATION |
||||||||||
Sept. 29, |
June 30, |
Dec. 30, |
||||||||
2001 |
2001 |
2000 |
||||||||
CURRENT ASSETS |
||||||||||
Cash and short-term |
||||||||||
investments |
$ 9,158 |
$ 9,340 |
$ 13,473 |
|||||||
Trading assets |
1,059 |
1,225 |
350 |
|||||||
Accounts receivable |
3,043 |
2,904 |
4,129 |
|||||||
Inventories: |
||||||||||
Raw materials |
297 |
379 |
384 |
|||||||
Work in process |
1,308 |
1,431 |
1,057 |
|||||||
Finished goods |
746 |
1,016 |
800 |
|||||||
2,351 |
2,826 |
2,241 |
||||||||
Deferred tax assets |
||||||||||
and other |
1,256 |
1,010 |
957 |
|||||||
Total current assets |
16,867 |
17,305 |
21,150 |
|||||||
Property, plant and |
||||||||||
equipment, net |
18,138 |
17,828 |
15,013 |
|||||||
Marketable strategic |
||||||||||
equity securities |
165 |
649 |
1,915 |
|||||||
Other long-term |
||||||||||
investments |
1,249 |
1,094 |
1,797 |
|||||||
Goodwill and other |
||||||||||
acquisition-related |
||||||||||
intangibles |
5,602 |
6,277 |
5,941 |
|||||||
Other assets |
2,210 |
2,471 |
2,129 |
|||||||
TOTAL ASSETS |
$ 44,231 |
$ 45,624 |
$ 47,945 |
|||||||
|
||||||||||
CURRENT |
||||||||||
LIABILITIES |
||||||||||
Short-term debt |
$ 302 |
$ 411 |
$ 378 |
|||||||
Accounts payable and |
||||||||||
accrued liabilities |
4,616 |
4,984 |
6,305 |
|||||||
Deferred income |
||||||||||
on shipments to |
||||||||||
distributors |
507 |
549 |
674 |
|||||||
Income taxes payable |
768 |
869 |
1,293 |
|||||||
Total current liabilities |
6,193 |
6,813 |
8,650 |
|||||||
LONG-TERM DEBT |
972 |
928 |
707 |
|||||||
DEFERRED TAX |
||||||||||
LIABILITIES |
1,164 |
1,145 |
1,266 |
|||||||
STOCKHOLDERS' |
||||||||||
EQUITY |
35,902 |
36,738 |
37,322 |
|||||||
TOTAL LIABILITIES |
||||||||||
AND |
||||||||||
STOCKHOLDERS' |
||||||||||
EQUITY |
$ 44,231 |
$ 45,624 |
$ 47,945 |
INTEL CORPORATION |
|||||||
Q3 2001 |
Q2 2001 |
Q3 2000 |
|||||
GEOGRAPHIC |
|||||||
REVENUES: |
|||||||
Americas |
37% |
37% |
42% |
||||
Asia-Pacific |
31% |
31% |
27% |
||||
Europe |
25% |
22% |
22% |
||||
Japan |
7% |
10% |
9% |
||||
SELECTED CASH |
|||||||
FLOW |
|||||||
INFORMATION: |
|||||||
Depreciation |
$1,054 |
$1,050 |
$802 |
||||
Amortization of |
|||||||
goodwill and other |
|||||||
acquisition-related |
|||||||
intangibles and costs |
$609 |
$594 |
$420 |
||||
Purchased in- |
|||||||
process research |
|||||||
and development |
$0 |
$123 |
$8 |
||||
Capital spending |
($1,365) |
($2,144) |
($1,925) |
||||
Stock repurchase |
|||||||
program |
($1,002) |
($1,002) |
($1,005) |
||||
Proceeds of sales |
|||||||
|
of shares to |
||||||
|
employees, tax |
||||||
benefit & other |
$314 |
$224 |
$452 |
||||
Dividends paid |
($135) |
($135) |
($135) |
||||
Net cash used |
|||||||
for acquisitions |
$0 |
($381) |
($179) |
||||
SHARE INFORMATION |
|||||||
(adjusted for stock splits): |
|||||||
Average common shares |
|||||||
outstanding |
6,718 |
6,725 |
6,719 |
||||
Dilutive effect of: |
|||||||
Stock options |
158 |
164 |
283 |
||||
Convertible notes |
- |
- |
5 |
||||
Common shares |
|||||||
assuming dilution |
6,876 |
6,889 |
7,007 |
||||
STOCK BUYBACK: |
|||||||
BUYBACK ACTIVITY: |
|||||||
Shares repurchased |
34.9 |
34.1 |
14.3 |
||||
Cumulative shares |
|||||||
repurchased |
1,491.7 |
1,456.8 |
1,370.5 |
||||
BUYBACK SUMMARY: |
|||||||
Shares authorized |
|||||||
for buyback |
1,520.0 |
1,520.0 |
1,520.0 |
||||
Increase in |
|||||||
authorization |
300.0 |
- |
- |
||||
Cumulative shares |
|||||||
repurchased |
(1,491.7) |
(1,456.8) |
(1,370.5) |
||||
Shares available |
|||||||
for buyback |
328.3 |
63.2 |
149.5 |
||||
OTHER INFORMATION: |
|||||||
Employees (in thousands) |
86.2 |
88.2 |
82.2 |
||||
Days sales outstanding |
38 |
39 |
37 |
||||
INTEL CORPORATION |
||||||
9 Months |
9 Months |
|||||
|
|
Q3 2001 |
Q2 2001 |
2001 |
Q3 2000 |
2000 |
|
||||||
Intel Architecture |
||||||
Group |
||||||
Revenues |
5,393 |
5,127 |
15,653 |
7,039 |
20,450 |
|
Operating profit |
1,328 |
1,446 |
4,436 |
3,347 |
9,292 |
|
|
||||||
Intel Communications |
||||||
Group |
||||||
|
Revenues |
580 |
635 |
1,990 |
948 |
2,559 |
Operating |
||||||
profit (loss) |
(218) |
(235) |
(606) |
102 |
252 |
|
|
||||||
Wireless |
||||||
Communications |
||||||
and Computing |
||||||
Group |
||||||
Revenues |
509 |
510 |
1,714 |
667 |
1,850 |
|
Operating |
||||||
profit (loss) |
(59) |
(158) |
(236) |
149 |
447 |
|
|
||||||
All other |
||||||
Revenues |
63 |
62 |
199 |
77 |
165 |
|
Operating loss |
(662) |
(836) |
(2,346) |
(741) |
(2,172) |
|
|
||||||
Total |
||||||
Revenues |
6,545 |
6,334 |
19,556 |
8,731 |
25,024 |
|
Operating profit |
389 |
217 |
1,248 |
2,857 |
7,819 |
|
|
||||||
In addition to the Intel Architecture Group, Intel is reporting two new operating segments that represent its communications businesses, beginning with Q3 2001. Prior period information has been restated to conform to the new presentation. The Intel Architecture Group's products include microprocessors, motherboards and board-level products, including chipsets. The Intel Communications Group's products include Ethernet connectivity products, network processing components, embedded microcontrollers, computer telephony boards and optical networking modules and components. The Wireless Communications and Computing Group's products include flash memory, high-performance/lower-power processors and baseband chipsets for wireless and handheld devices. The "all other" category includes acquisition-related costs, including amortization of goodwill and identified intangibles, in-process research and development, and write-offs of acquisition-related intangibles, as well as the revenues and earnings or losses of the New Business Group. "All other" also includes certain corporate-level operating expenses, including a portion of profit-dependent bonus and other expenses that are not allocated to the operating segments. |
INTEL CORPORATION |
||||||
9 Months |
Full Year |
Full Year |
||||
|
|
2001 |
|
2000 |
|
1999 |
|
||||||
Intel Architecture |
||||||
Group |
||||||
Revenues |
15,653 |
27,301 |
25,463 |
|||
Operating profit |
4,436 |
12,504 |
11,122 |
|||
|
||||||
Intel Communications |
||||||
Group |
||||||
|
Revenues |
1,990 |
3,483 |
2,380 |
||
Operating profit (loss) |
(606) |
319 |
437 |
|||
|
||||||
Wireless |
||||||
Communications |
||||||
and Computing |
||||||
Group |
||||||
Revenues |
1,714 |
2,669 |
1,264 |
|||
Operating profit (loss) |
(236) |
608 |
(96) |
|||
|
||||||
All other |
||||||
Revenues |
199 |
273 |
282 |
|||
Operating loss |
(2,346) |
(3,036) |
(1,696) |
|||
|
||||||
Total |
||||||
Revenues |
19,556 |
33,726 |
29,389 |
|||
Operating profit |
1,248 |
10,395 |
9,767 |
|||
|
Released Oct 16, 2001 • 12:00 AM EDT