First-quarter sales will be US$10.5 billion to US$11.5 billion, the chipmaker said in a statement Thursday. That compares with an average analyst estimate of US$14 billion. Intel expects to lose 15 cents in the quarter, excluding some items. Analysts had projected a profit of 25 cents.
To get back on track, the company needs computer makers to quickly work through inventory stockpiles and return to ordering components. That would provide Intel with a revenue boost needed to help shore up its finances, which were already stretched by ambitious plans to regain technological leadership within the chip industry.
In the fourth quarter, Intel posted a net loss of US$664 million, or 16 cents a share, down from a profit in the same period a year ago. Revenue dropped 32 per cent to US$14 billion, hitting its lowest level since 2016.