Intel announced its fourth quarter and annual financial results this week. The company remains strong and profitable, but even such giants are now affected with the downturn of the world’s economics. Their revenue continues to increase, but due to overall market conditions their profit margins slide down. In fact, the fourth quarter was really successful for Intel.

Revenue for the fourth quarter 2002 achieved $7.2 billion, up 10% sequentially and up 3% year-over-year. Fourth quarter net income was $1.0 billion, up 53% sequentially and up 108% year-over-year. Earnings per share were $0.16, up 60% sequentially and up 129% from $0.07 in the fourth quarter of 2001.

What is very interesting, Intel’s revenues exceeded all estimates analysts published. Moreover, it exceeded Intel’s own expectations made in early December. According to Intel, during the quarter it appeared that they had increased the market segment share in microprocessors, chipsets, graphics, mainboards, flash, PDA microprocessors and LAN-on-mainboard Gigabit Ethernet connections.

Revenue for 2002 was $26.8 billion, up 1% from $26.5 billion in 2001. Net income was $3.1 billion, up 141% from $1.3 billion in 2001. Earnings per share were $0.46, up 142% from $0.19 in 2001. Net income for 2002 excluding acquisition-related costs was $3.5 billion, down 4% from $3.6 billion in 2001. Earnings excluding acquisition-related costs were $0.51 per share, down 2% from $0.52 in 2001.