Intel's best year ever

Chip giant feeling bullish for 2006 after posting 'record' turnover

Intel has dubbed its year-end results the “best in the company’s history” despite failing to hits its predicted targets.

Turnover for the fourth quarter 2005 stood at $10.2bn, compared to Intel’s predictions of between $10.4 and $10.6bn, which the vendor attributed to lower than expected desktop processor unit shipments. Net profit was $2.5bn. For the whole year Intel posted ‘record’ turnover of $38.8bn and net profit of $8.7bn.

Paul Otellini, chief executive of Intel, said in a statement: “2005 was our third consecutive year of double-digit revenue and earnings growth, leading to the best operating results in the company’s history. Although we fell below expectations for the fourth quarter, we enter 2006 with exciting new products like the Intel Core Duo and Viiv.”

Otellini added the chip giant was confident for a positive 2006.

“We expect 2006 will be another year of growth for Intel as we ramp platforms for notebooks, the digital home, the digital office and emerging markets.”

The firm is planning to invest around $6.5bn in R&D and is predicting a six to nine per cent growth in turnover for 2006.

[email protected]