Intel Corp. recorded a record annual revenue, but kept on providing a full-year forecast for this year before the arrival of a new executive at a time when the semiconductor giant seems to be defending competitive pressures and rebuild their technological leadership.
The company on Thursday recorded sales of $ 77.9 billion for 2020, up from $ 72 billion the previous year and up from $ 75.4 billion forecast on Wall Street. While Intel has benefited from a boom in PC demand in the work-from-home economy, much of the added purchase has focused on low-cost laptops that aren’t as cost-effective. Net income for 2020 stood at $ 20.9 billion, down from $ 21.1 billion in the previous period.
Shares of Intel rose more than 6% Thursday afternoon after they also raised their cash dividend.
The gains mark the end of a challenging and lucrative year for the semiconductor giant that saw it outperformed in market valuation by rival Nvidia Corp., abandoned by Apple Inc. as a supplier of Mac chips, suffering market share losses and facing activist investor Third Point LLC is driving strategic changes.
Bob Swan, CEO, said, “Intel is in a strong strategic and financial position as we make this leadership transition and take Intel to the next level.”