Summary
Intel Corporation's 2009 10-K filing reveals a company navigating the aftermath of a significant economic downturn, showing resilience and strategic adjustments. Despite a year-over-year revenue decrease, the company demonstrated strong sequential growth in the fourth quarter, driven by demand in the PC client market and successful product ramps, particularly with its 32nm process technology. Intel's focus on product innovation, energy efficiency, and platform integration remains central to its strategy. The company is investing heavily in R&D to maintain its technology leadership and is strategically positioned to capitalize on growth areas like mobile computing and the digital home. Financial highlights include a record-setting gross margin percentage in Q4 2009 and a substantial generation of operating cash flow, even after significant legal settlement payments. The company's commitment to returning capital to shareholders through dividends and share repurchases underscores its financial strength.
Financial Highlights
54 data points| Revenue | $35.13B |
| Cost of Revenue | $15.57B |
| Gross Profit | $19.56B |
| R&D Expenses | $5.65B |
| SG&A Expenses | $7.93B |
| Operating Expenses | $13.85B |
| Operating Income | $5.71B |
| Interest Expense | $1.00M |
| Net Income | $4.37B |
| EPS (Basic) | $0.79 |
| EPS (Diluted) | $0.77 |
| Shares Outstanding (Basic) | 5.56B |
| Shares Outstanding (Diluted) | 5.64B |
Key Highlights
- 1Revenue for 2009 was $35.1 billion, a decrease from $37.6 billion in 2008, reflecting the economic environment and business divestitures.
- 2The company achieved a record gross margin percentage of 64.7% in Q4 2009, driven by higher average selling prices and unit sales.
- 3Intel generated $11.2 billion in cash from operations in 2009, demonstrating strong cash flow generation despite significant one-time expenses.
- 4A major legal settlement with AMD was completed in Q4 2009 for $1.25 billion, resolving all outstanding litigation.
- 5The company continued to advance its manufacturing technology, with a strong ramp of its 32nm process technology and new microprocessor products.
- 6Intel announced plans to increase capital spending in 2010, reflecting confidence in future growth and continued investment in manufacturing capabilities.
- 7Despite a challenging year, Intel returned $3.1 billion to stockholders through dividends and repurchased $1.8 billion of its common stock.