Intel, the world's largest chipmaker, says its fourth-quarter net income fell 27 percent from the previous year, as PC sales continued to weaken.
Net income was $2.47 billion, or 48 cents per share, for the October to December period. That was down from $3.36 billion, or 64 cents per share, a year ago.
Intel beat expectations for the quarter. Analysts polled by FactSet were expecting earnings of 45 cents per share.
Revenue fell 3 percent to $13.5 billion, matching analyst expectations.
Intel had warned that the fourth quarter would be lackluster, and that the usual holiday bounce in PC shipments would be cut in half, even though Microsoft launched its new operating system, Windows 8, in the quarter.
The Santa Clara, Calif., company expects about $12.7 billion in first-quarter revenue, below the analyst forecast of $12.9 billion but in line with usual seasonal variations.
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