Intel sees no big profit margin gains before 2025, would mull consortium for Arm
At its Investor Day conference on Thursday Intel (NASDAQ:INTC) said it expects its profit margin to drop this year and then be steady for several years as it invests in new technologies and factories to meet rising chip demand, but added it forecasts climbs from 2025.

Intel predicted a revenue increase of 1.7% to $76.0 billion in 2022 vs. consensus of $75.48M, then mid-to-high single digit percentage point growth in 2023-2024, followed by gains of 10-12% for 2025-2026.
Non-GAAP EPS of $3.50 vs. consensus of $2.92; and net capital expenditures of approximately $27 billion. Adjusted free cash flow is expected to be negative $1 billion to $2 billion as the company ramps its investments to accelerate long-term growth.
Intel Chief Executive Pat Gelsinger also said Intel would be interested in participating if a consortium emerges to own the British semiconductor and software design company Arm Ltd.
Gross margins are set to drop to 52% this year from nearly 58% last year on a non-GAAP basis. It saw levels of 51-53% in 2023-2024 before a climb back to 54-58% the following years.
CEO Pat Gelsinger said: "The continued proliferation of technology is driving sustained, long-term demand for semiconductors, creating a $1 trillion market opportunity by 2030. Our goals are ambitious, but I'm confident we have the right strategy and right team to achieve them and to deliver long-term value for our shareholders."
A replay of the livestream of the mainstage sessions at Intelâs 2022 Investor Meeting press kit.
Shares are down 1.20% after hours.