☑ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | ||||
For the fiscal year ended December | |||||
or | |||||
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | ||||
For the transition period from to . |
Delaware | 94-1672743 | |||||||||||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |||||||||||||
2200 Mission College Boulevard, | Santa Clara, | California | 95054-1549 | |||||||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading symbol | Name of each exchange on which registered | ||||||||||||
Common stock, $0.001 par value | INTC | Nasdaq Global Select Market |
Large Accelerated Filer | Accelerated Filer | Non-Accelerated Filer | Smaller Reporting Company | Emerging Growth Company | |||||||||||||||||||
☑ | ☐ | ☐ | ☐ | ☐ |
Fundamentals of Our Business | Page | |||||||
Availability of Company Information | ||||||||
Introduction to Our Business | ||||||||
A Year in Review | ||||||||
Our Strategy | ||||||||
Our Capital | ||||||||
Management's Discussion and Analysis | ||||||||
Our Products | ||||||||
Segment Trends and Results | ||||||||
Consolidated Results of Operations | ||||||||
Liquidity and Capital Resources | ||||||||
Critical Accounting Estimates | ||||||||
Non-GAAP Financial Measures | ||||||||
Other Key Information | ||||||||
Quantitative and Qualitative Disclosures | ||||||||
Risk Factors | ||||||||
Properties | ||||||||
Market for Our Common Stock | ||||||||
Information | ||||||||
Auditor's Reports | ||||||||
Consolidated Financial Statements | ||||||||
Notes to | ||||||||
Key Terms | ||||||||
Controls and Procedures | ||||||||
Form 10-K Cross-Reference Index |
2 |
A Year in Review | |||||
2022 revenue was $63.1 billion, down $16.0 billion, or 20%, from 2021 as CCG revenue decreased 23%, DCAI revenue decreased 15%, and NEX revenue increased 11%. 2022 results were impacted by an uncertain macroeconomic environment—with slowing consumer demand, persistent inflation, and higher interest rates—that we believe impacts our target markets and creates a high level of uncertainty with our customers. CCG revenue was down on lower notebook and desktop volume in the consumer and education market segments, while notebook and desktop ASPs were higher due to a resulting change in product mix. DCAI server volume decreased, led by enterprise customers, and due to customers tempering purchases to reduce existing inventories in a softening data center market. Server ASPs decreased due to customer and product mix. NEX revenue increased primarily due to Ethernet ASPs and increased demand for 5G products, partially offset by lower demand for Network Xeon. We invested $17.5 billion in R&D, made capital investments of $24.8 billion, and generated $15.4 billion in cash from operations and $(4.1) billion of adjusted free cash flow. |
Revenue | Gross Margin | Diluted EPS Attributable to Intel | ||||||||||||||||||||
■ | ■ GAAP ■ | ■ | ■Operating Cash Flow $B ■ |
$72.0B | $22.0B | $23.8B | $4.71 | $4.87 | $33.1B | $16.9B | |||||||
GAAP | GAAP | non-GAAP1 | GAAP | non-GAAP1 | GAAP | non-GAAP1 | |||||||
Revenue up 2% from 2018; Data-centric up 3% and PC-centric flat | Operating income down $1.3B or 5% from 2018; 2019 operating margin at 31% | Operating income down $797M or 3% from 2018; 2019 operating margin at 33% | Diluted EPS up $0.23 or 5% from 2018 | Diluted EPS up $0.29 or 6% from 2018 | Operating cash flow up $3.7B or 13%; operating cash flow to net income at 157% | Free cash flow up $2.7B or 19%; free cash flow to non-GAAP net income at 78% | |||||||
High-performance product sales in the second half of 2019, partially offset by NAND pricing pressure and decrease in platform2 unit sales | Lower gross margin from decrease in NAND market pricing and lower platform unit sales, partially offset by platform ASP strength | Lower shares outstanding and platform ASP strength, partially offset by a decrease in platform unit sales and lower NAND market pricing | Working capital changes driven by tax and other assets and liabilities, partially offset by lower memory prepayments and inventory build |
$63.1B | 42.6% | 47.3% | $1.94 | $1.84 | $15.4B | $(4.1)B | |||||||||||||||||||||||||||||||||||
GAAP | GAAP | non-GAAP1 | GAAP | non-GAAP1 | GAAP | non-GAAP1 | |||||||||||||||||||||||||||||||||||
Revenue down 16% from 2021 non-GAAP revenue | Gross margin down 12.8 ppts from 2021 | Gross margin down 10.8 ppts from 2021 | Diluted EPS down $2.92 or 60% from 2021 | Diluted EPS down $3.46 or 65% from 2021 | Operating cash flow down $14B or 48% | Adjusted free cash flow down $15B or 137% | |||||||||||||||||||||||||||||||||||
Lower revenue in CCG and DCAI, higher revenue in NEX, and lack of NAND revenue compared to 2021 due to the divestiture in Q1 2022. | Lower gross margin from lower revenue, higher unit cost, lack of NAND gross margin, higher period charges from the ramp of Intel 4, and higher inventory reserves. | Lower EPS from lower gross margin, higher operating expenses from additional investment in R&D, partially offset by higher gains on equity investments and a tax benefit. | Lower operating cash flow driven by lower operating income; partially offset by favorable working capital changes. |
Fundamentals of Our Business | 5 |
Fundamentals of Our Business | 6 |
Our Strategy | |||||
Product Leadership |
Fundamentals of Our Business | 7 |
Open Platforms |
Manufacturing at Scale |
Our People |
Fundamentals of Our Business | 8 |
Fundamentals of Our Business | 9 |
Our Capital | |||||
Strategy | |||||||||||||
Financial | ||||||||||||||
We strategically invest financial capital to create long-term value and provide returns to our | |||||||||||||||
Intellectual | |||||||||||||||
Invest significantly in R&D and IP to on our accelerated process technology roadmap, introduce leading x86 and | We develop IP | ||||||||||||||
Manufacturing | |||||||||||||||
Build manufacturing capacity efficiently to meet | Our geographically balanced manufacturing scope and scale | ||||||||||||||
Build a diverse, inclusive, and safe | Our talented employees | ||||||||||||||
Social and Relationship | |||||||||||||||
Build trusted relationships for both Intel and our stakeholders, including employees, suppliers, customers, local communities, and governments. | We collaborate with stakeholders on programs to empower underserved communities through education and technology, and on initiatives to advance accountability and capabilities across our global supply chain, including accountability for the respect of human rights. | ||||||||||||||
Natural | |||||||||||||||
Strive to reduce our environmental footprint through efficient and responsible use of natural resources and materials used to create our products. |
Fundamentals of Our Business | 10 |
INVEST IN THE BUSINESS | ACQUIRE AND INTEGRATE | RETURN CASH TO STOCKHOLDERS | ||||||
Our first allocation priority is to invest in R&D and capital spending to strengthen our competitive position. We shifted our R&D focus as we began a transformation to a data-centric company, while efficiently maintaining our investment at approximately 20% of revenue. We invested record levels of capital in logic (primarily platform wafer manufacturing) during the last two years to expand our capacity. With that investment, we increased our 14nm wafer capacity while also ramping 10nm production. We expect to further increase our PC client supply on both process nodes in 2020. | Our second allocation priority is to invest in companies around the world that will complement our strategic objectives and stimulate growth of data-centric opportunities. We look for acquisitions that leverage and strengthen our capital and R&D investments. In 2019, we completed various acquisitions, including Habana Labs and Barefoot Networks, to expand our product offerings and the markets we serve. We take action when investments do not meet our criteria, and in 2019 we divested the majority of our 5G smartphone modem business for this reason. | Our third allocation priority is to return cash to stockholders. We achieve this through our dividend and share repurchase programs. During 2019, we paid $5.6 billion in dividends and repurchased $13.6 billion in shares, up from 2018. In October 2019, we announced that we expect to repurchase $20.0 billion in shares over the next 15 to 18 months. Our approach has reduced diluted shares outstanding over time. | ||||||
Dividends Per Share | Diluted Shares Outstanding (In Millions) | |||||||
2019 | $1.26 | 8% CAGR | 4,473 | |||||
2018 | $1.20 | 4,701 | ||||||
2017 | $1.0775 | 4,835 | ||||||
Cash from Operating Activities $B |
■ Cash from Operating Activities | ■ Adjusted Free Cash Flow1 |
R&D and Capital Investments $B | Cash to Stockholders $B |
■ R&D | ■ Logic | ■ Memory2 | ■ Repurchases | ■Dividend |
Intellectual Capital |
Process and packaging. Our leading-edge process and packaging technology and world-class IP portfolio are key to the success of our strategy. This year, we | |||||||
▪Intel 4, taking advantage of ▪We ▪Intel 20A will follow Intel 3 and will introduce two breakthrough technologies that we ▪Intel 18A, our second IFS advanced node offering, improves on Intel 20A by delivering ribbon innovation for design optimization and line width reduction. Intel 18A is on schedule and expected to deliver an additional 10% improvement in performance per watt over Intel 20A. ▪Beyond Intel 18A, we have already initiated definition and development of our next two process ▪Our family of 3D | |||||||
xPU architecture. We believe the future is a diverse mix of |
Fundamentals of Our Business | Our Capital | 12 |
Fundamentals of Our Business | Our Capital |
—Mike Mayberry, | |||
Fundamentals of Our Business | Our Capital |
Human Capital |
Inclusion | |||||||||||
Diversity and inclusion are core elements of Intel's values and instrumental to | |||||||||||
We have committed our scale, expertise, and reach through our comprehensive RISE strategy to work with customers and other stakeholders to accelerate the adoption of inclusive business practices across industries. As part of the Alliance for Global Inclusion, we worked with a coalition of technology companies to create a Global Inclusion Index Survey, which serves as a benchmark for companies to track diversity and inclusion improvements, provide information on current best practices, and highlight opportunities to improve outcomes across industries. The results of the second Global Inclusion Index Survey were published in 2022 and shared with business leaders across industries. The number of companies that completed the |
Fundamentals of Our Business | Our Capital |
Fundamentals of Our Business | Our Capital | 16 |
Fundamentals of Our Business | Our Capital | 17 |
Fundamentals of Our Business | |||||||||||
18 |
—Navin Shenoy, | ||
2019 – 2018 | 2018 – 2017 | ||||||||||||
(Dollars in Millions) | % Growth | $ Impact | % Growth | $ Impact | |||||||||
Platform volume | down | (3)% | $ | (654 | ) | up | 13% | $ | 2,334 | ||||
Platform ASP | up | 5% | 940 | up | 7% | 1,382 | |||||||
Adjacent products | up | 11% | 204 | up | 13% | 211 | |||||||
Total change in revenue | $ | 490 | $ | 3,927 |
(In Millions) | ||||
$ | 10,227 | 2019 Operating Income | ||
(805 | ) | Higher period charges, primarily associated with the initial ramp of 10nm | ||
(510 | ) | Higher operating expenses primarily related to R&D | ||
(140 | ) | Lower gross margin from adjacent businesses | ||
(80 | ) | Higher platform unit cost | ||
370 | Higher gross margin from platform revenue | |||
(84 | ) | Other | ||
$ | 11,476 | 2018 Operating Income | ||
3,445 | Higher gross margin from platform revenue | |||
(350 | ) | Higher platform unit cost | ||
(14 | ) | Other | ||
$ | 8,395 | 2017 Operating Income |
MD&A | 19 |
Overview | |||||||||||||
We are committed to advancing PC experiences by delivering an annual cadence of leadership products and deepening our relationships with industry partners to co-engineer and deliver leading platform innovation. We engage in an intentional effort focused on long-term operating system, system architecture, hardware, and application integration that enables industry-leading PC experiences. We will embrace these opportunities by simplifying and focusing our roadmap, ramping PC capabilities even more aggressively, and designing PC experiences even more deliberately. By doing this, we believe we will continue to fuel innovation across Intel, providing a | |||||||||||||
cash flow. | |||||||||||||
Key Developments | |||||||||||||
■ | COVID-related dynamics like work- and learn-from-home solidified the | ||||||||
We | |||||||||
20 |
—Gregory Bryant, | ||
MD&A | 21 |
CCG Revenue $B | CCG Operating Income $B |
■ |■Notebook | ■ |■Desktop | ■ |■Other |
Revenue Summary |
MD&A | 22 |
Operating Income Summary |
(In Millions) | ||||||||||||||
$ | 6,266 | 2022 Operating Income | ||||||||||||
(3,047) | Lower gross margin from notebook revenue | |||||||||||||
(2,183) | Higher notebook and desktop unit cost primarily from increased mix of Intel 7 products | |||||||||||||
(1,306) | Lower gross margin from desktop revenue | |||||||||||||
(1,284) | Higher operating expenses driven by increased investments in leadership products | |||||||||||||
(969) | Higher period charges primarily driven by inventory reserves taken in 2022 | |||||||||||||
(320) | Lower CCG other product gross margin driven by lower demand for our wireless and connectivity products and the continued ramp down from the exit of our 5G smartphone modem business | |||||||||||||
(262) | Higher period charges primarily associated with the ramp of Intel 4 | |||||||||||||
(162) | Higher period charges related excess capacity charges | |||||||||||||
192 | Lower period charges due to a benefit related to insurance proceeds received for business interruption and property damage that occurred in 2020 | |||||||||||||
(97) | Other | |||||||||||||
$ | 15,704 | 2021 Operating Income | ||||||||||||
(840) | Higher period charges primarily associated with ramp up of Intel 4 and subsequent ramp down of 14nm | |||||||||||||
(675) | Higher operating expenses driven by increased investment in leadership products | |||||||||||||
(290) | Lower gross margin from notebook revenue | |||||||||||||
(140) | Higher period charges driven by less sell-through of reserves on products in 2021 as compared to in 2020, and additional reserves taken in 2021 | |||||||||||||
1,080 | Higher gross margin from desktop revenue | |||||||||||||
660 | Lower unit cost primarily due to cost improvements in 10nm SuperFin | |||||||||||||
165 | Lower period charges primarily driven by a decrease in engineering samples | |||||||||||||
(56) | Other | |||||||||||||
$ | 15,800 | 2020 Operating Income |
MD&A | 23 |
Overview | % Intel Revenue | |||||||
DCAI delivers industry-leading workload-optimized solutions to cloud service providers and enterprise customers, along with silicon devices for communications service providers and high-performance computing customers. We are uniquely positioned to deliver solutions to help solve our customers’ most complex challenges with the depth and breadth of our hardware and software portfolio combined with silicon and platforms, advanced packaging, and at-scale manufacturing made possible by being the world’s only IDM at scale. Our customers and partners include cloud hyperscalers, MNCs, small and medium-sized businesses, independent software vendors, systems integrators, communications service providers, and governments around the world. | ||||||||
Key Developments | ||||||||
■ | Our revenue was $19.2 billion, down 15% in 2022, driven by challenging macroeconomic conditions and industry supply constraints, that both negatively impacted TAM, in addition to competitive pressures and product execution delays. Operating margin was $2.3 billion, down 73% year over year, primarily due to top-line headwinds paired with process node acceleration and increased investments in leadership products. | |||||||
■ | We began high-volume manufacturing of 4th Gen Intel Xeon Scalable processors and started shipping to customers, including Amazon Web Services and Google Cloud. | |||||||
■ | ||||||||
We introduced an innovative service-based security implementation, named Project Amber, which provides customers and partners with a secure foundation for confidential computing, secure and responsible AI, and quantum-resistant crypto in the quantum era. | ||||||||
MD&A | 24 |
■ | A portfolio of hardware, including Intel Xeon processors, Intel Agilex and Intel® Stratix® FPGAs, Intel® eASIC™ devices, Habana Gaudi and Habana Greco AI accelerators. | ||||
■ | Platform enabling and validation in partnership with ODMs, OEMs, and independent software vendors. | ||||
■ | Optimized solutions for leading workloads such as AI, cryptography, security, and networking, leveraging differentiated features supporting diverse compute environments. |
MD&A | 25 |
DCAI Revenue $B | DCAI Operating Income $B |
Revenue Summary |
Operating Income Summary |
(In Millions) | ||||||||||||||
$ | 2,288 | 2022 Operating Income | ||||||||||||
(3,330) | Lower gross margin from server revenue | |||||||||||||
(1,139) | Higher period charges primarily associated with the ramp up of Intel 4 | |||||||||||||
(1,001) | Higher operating expenses driven by increased investments in leadership products | |||||||||||||
(671) | Higher server unit cost from increased mix of 10nm SuperFin products | |||||||||||||
(441) | Higher period charges driven by inventory reserves taken in 2022 | |||||||||||||
(305) | Higher other period charges primarily related to product development costs | |||||||||||||
(189) | Higher period charges related to excess capacity charges | |||||||||||||
702 | Higher gross margin from DCAI other product revenue | |||||||||||||
223 | Lower period charges due to a benefit related to insurance proceeds received for business interruption and property damage that occurred in 2020 | |||||||||||||
$ | 8,439 | 2021 Operating Income | ||||||||||||
(1,050) | Higher DCAI server unit cost primarily from increased mix of 10nm SuperFin products | |||||||||||||
(820) | Higher period charges primarily driven by ramp up of Intel 4 and subsequent ramp down of 14nm | |||||||||||||
(725) | Lower gross margin from server revenue | |||||||||||||
(475) | Higher operating expenses driven by investment in leadership products | |||||||||||||
(65) | Higher period charges driven by increased engineering samples | |||||||||||||
375 | Higher gross margin from other DCAI product revenue | |||||||||||||
130 | Lower period charges driven by absence of reserves taken in 2020, partially offset by reserves recorded in 2021 | |||||||||||||
(7) | Other | |||||||||||||
$ | 11,076 | 2020 Operating Income |
MD&A | 26 |
Overview | % Intel Revenue | |||||||
NEX lifts the world's networks and edge compute systems from inflexible fixed-function hardware to general-purpose compute, acceleration, and networking devices running cloud native software on programmable hardware. We work with partners and customers to deliver and deploy intelligent edge platforms that allow software developers to achieve agility and to drive automation using AI for efficient operations while securing the integrity of their data at the edge. We have a broad portfolio of hardware and software platforms, tools, and ecosystem partnerships for the rapid digital transformation happening from the cloud to the edge. We are leveraging our core strengths in process, software, and manufacturing at scale to grow traditional markets and to accelerate entry into emerging ones. | ||||||||
Key Developments | ||||||||
■ | Our revenue was $8.9 billion, up 11% in 2022, driven by the cloud networking and telecommunications market segments. Most notably, we saw strength in our Ethernet ASPs and in 5G product demand. Operating margin was $740 million, down $971 million year over year primarily due to higher investments in product roadmap leadership and process node acceleration, and higher inventory reserves. | |||||||
■ | We announced the Mount Evans IPU, Intel's first dedicated ASIC-based IPU, the Intel Xeon D-1700 series, the Intel Xeon D-2700 series, and the 4th Gen Intel Xeon processor with Intel® vRAN Boost. | |||||||
■ | We continue to update solutions to improve developers' digital strategies and to accelerate market adoption of edge and AI applications. We announced 12thGen Intel Core Processors for Internet of Things Edge and the Intel® Geti™ computer vision platform with OpenVINO toolkit built in. | |||||||
■ | We continue to work with our ecosystem partners like Ericsson, Nokia, Cisco, Dell Technologies, HPE, Lenovo, Amazon, Google, and Microsoft to drive the software defined transformation of the world’s network and edge infrastructure and accelerate AI driven automation of physical operations. |
MD&A | 27 |
MD&A | 28 |
NEX Revenue $B | NEX Operating Income $B |
Revenue Summary |
Operating Income Summary |
(In Millions) | ||||||||||||||
$ | 740 | 2022 Operating Income | ||||||||||||
(530) | Higher operating expenses driven by increased investments in leadership products | |||||||||||||
(461) | Higher period charges primarily associated with the ramp up of Intel 4 | |||||||||||||
(359) | Higher period charges driven by reserves taken in 2022 and lack of sell-through of reserves compared to 2021 | |||||||||||||
(150) | Higher period charges primarily due to other product enhancements | |||||||||||||
(98) | Lower gross margin from Network Xeon revenue | |||||||||||||
522 | Higher gross margin from Ethernet revenue | |||||||||||||
191 | Lower unit cost primarily from10nm SuperFin products | |||||||||||||
(86) | ||||||||||||||
$ | 1,711 | 2021 Operating Income | ||||||||||||
895 | Lower NEX unit cost due to cost improvements in the 10nm SuperFin process | |||||||||||||
285 | Lower period charges due to reserve sell through and a decrease in engineering samples | |||||||||||||
215 | Higher gross margin from NEX revenue, primarily driven by Ethernet and Edge | |||||||||||||
(300) | Higher operating expenses primarily due to roadmap investments | |||||||||||||
(220) | Higher period charges primarily associated with the ramp of Intel 4 | |||||||||||||
(10) | Other | |||||||||||||
$ | 846 | 2020 Operating Income |
MD&A | 29 |
Overview | % Intel Revenue | |||||||
Mobileye is a global leader in driving assistance and self-driving solutions. Our product portfolio is designed to encompass the entire stack required for assisted and autonomous driving, including compute platforms, computer vision, and machine learning-based perception; mapping and localization, driving policy, and active sensors in development. We pioneered ADAS technology more than 20 years ago, and have continuously expanded the scope of our ADAS offerings while leading the evolution to autonomous driving solutions. Our unique assets in ADAS allow for building a scalable self-driving stack that meets the requirements for both robotaxi and consumer-owned autonomous vehicles. Our customers and strategic partners include major global OEMs, Tier 1 automotive system integrators, and public transportation operators. | ||||||||
Key Developments | ||||||||
■ | ||||||||
■ | 2022 was a very active year as we launched EyeQ-based systems into 233 different vehicle models, achieved a record-setting volume of projected future design wins, including wins for our next-generation EyeQ6 chip, and advanced solutions such as Cloud-enhanced ADAS and Mobileye SuperVision*. | |||||||
■ |
2019 – 2018 | 2018 – 2017 | |||||||||||||
(Dollars in Millions) | % | $ Impact | % | $ Impact | ||||||||||
Desktop platform volume | down | (6)% | $ | (705 | ) | down | (6)% | $ | (608 | ) | ||||
Desktop platform ASP | up | 3% | 307 | up | 11% | 1,181 | ||||||||
Notebook platform volume | down | (5)% | (1,080 | ) | up | 4% | 839 | |||||||
Notebook platform ASP | up | 5% | 929 | up | 3% | 677 | ||||||||
Adjacent products and other | 691 | 912 | ||||||||||||
Total change in revenue | $ | 142 | $ | 3,001 |
(In Millions) | ||||
$ | 15,202 | 2019 Operating Income | ||
1,425 | Lower period charges primarily due to lower factory start-up costs and sell-through of previously reserved non-qualified platform product associated with our 10nm process technology | |||
725 | Lower operating expenses primarily driven by lower investment in modem | |||
(1,170 | ) | Higher platform unit cost | ||
(145 | ) | Lower gross margin from platform revenue | ||
145 | Other | |||
$ | 14,222 | 2018 Operating Income | ||
2,080 | Higher gross margin from platform revenue | |||
235 | Lower operating expenses | |||
(690 | ) | Higher platform unit cost due to increased mix to performance products | ||
(225 | ) | Higher period charges, primarily due to reserved non-qualified platform product as we ramp 10nm | ||
(97 | ) | Other | ||
$ | 12,919 | 2017 Operating Income |
Years Ended (In Millions, Except Per Share Amounts) | December 28, 2019 | December 29, 2018 | December 30, 2017 | ||||||||||||||||||
Amount | % of Net Revenue | Amount | % of Net Revenue | Amount | % of Net Revenue | ||||||||||||||||
Net revenue | $ | 71,965 | 100.0 | % | $ | 70,848 | 100.0 | % | $ | 62,761 | 100.0 | % | |||||||||
Cost of sales | 29,825 | 41.4 | % | 27,111 | 38.3 | % | 23,663 | 37.7 | % | ||||||||||||
Gross margin | 42,140 | 58.6 | % | 43,737 | 61.7 | % | 39,098 | 62.3 | % | ||||||||||||
Research and development | 13,362 | 18.6 | % | 13,543 | 19.1 | % | 13,035 | 20.8 | % | ||||||||||||
Marketing, general and administrative | 6,150 | 8.5 | % | 6,750 | 9.5 | % | 7,452 | 11.9 | % | ||||||||||||
Restructuring and other charges | 393 | 0.5 | % | (72 | ) | (0.1 | )% | 384 | 0.6 | % | |||||||||||
Amortization of acquisition-related intangibles | 200 | 0.3 | % | 200 | 0.3 | % | 177 | 0.3 | % | ||||||||||||
Operating income | 22,035 | 30.6 | % | 23,316 | 32.9 | % | 18,050 | 28.8 | % | ||||||||||||
Gains (losses) on equity investments, net | 1,539 | 2.1 | % | (125 | ) | (0.2 | )% | 2,651 | 4.2 | % | |||||||||||
Interest and other, net | 484 | 0.7 | % | 126 | 0.2 | % | (349 | ) | (0.6 | )% | |||||||||||
Income before taxes | 24,058 | 33.4 | % | 23,317 | 32.9 | % | 20,352 | 32.4 | % | ||||||||||||
Provision for taxes | 3,010 | 4.2 | % | 2,264 | 3.2 | % | 10,751 | 17.1 | % | ||||||||||||
Net income | $ | 21,048 | 29.2 | % | $ | 21,053 | 29.7 | % | $ | 9,601 | 15.3 | % | |||||||||
Earnings per share - Diluted | $ | 4.71 | $ | 4.48 | $ | 1.99 |
30 |
MD&A | 31 |
Mobileye Revenue $B | Mobileye Operating Income $B |
Revenue and Operating Income Summary |
MD&A | 32 |
Overview | % Intel Revenue | |||||||
AXG delivers products and technologies designed to help our customers solve the toughest computational problems. Our vision is to enable persistent and immersive computing, at scale and accessible by billions of people within milliseconds, which drives an incredible demand for compute—from endpoints to data centers. Our portfolio includes CPUs for high-performance computing and GPUs targeted for a range of workloads and platforms, from gaming and content creation on client devices to delivering media and gaming in the cloud, and the most demanding high-performance computing and AI workloads on supercomputers. To address new market opportunities and emerging workloads, we also develop solutions such as custom accelerators with blockchain acceleration. | ||||||||
Key Developments | ||||||||
■ | Our revenue was $837 million, up 8% in 2022. Operating loss was $1.7 billion, compared to a loss of $1.2 billion in 2021, primarily due to increased inventory reserves taken and investments in our product roadmap. | |||||||
■ | ||||||||
■ | We launched Ponte Vecchio, the first Xe-based GPU optimized for high-performance computing and AI workloads. |
MD&A | 33 |
MD&A | 34 |
AXG Revenue $B | AXG Operating Income (Loss) $B |
Revenue and Operating Income (Loss) Summary |
MD&A | 35 |
Overview | % Intel Revenue | ||||||||||
As the first Open System Foundry, we offer customers differentiated full stack solutions created from the best of Intel and the foundry industry ecosystem, delivered from a secure and sustainable source of supply with an array of flexible business models to enable customers to lead in their industry. In addition to a world-class foundry offering enabled by a rich ecosystem, customers have access to our expertise and technologies, including cores, accelerators, and advanced packaging such as EMIB. | |||||||||||
Key Developments | |||||||||||
■ | Our revenue was $895 million, up 14% in 2022, primarily driven by higher sales of MBMW tools. Operating loss was $320 million, compared to a loss of $23 million in 2021, primarily due to increased spending to drive strategic growth. | ||||||||||
■ | We have secured anchor customers and are engaged with seven of ten of the industry’s largest foundry customers. Since beginning production in late 2021 with Amazon Web Services as our lead customer, our packaging business expanded to other customers during the year. We expect Mediatek to be a lead silicon customer using Intel 16 process technology to create smart edge devices, with production expected to begin in 2024. | ||||||||||
■ | We launched the IFS Accelerator program, a comprehensive ecosystem alliance designed to help foundry customers seamlessly bring their silicon products from idea to implementation. IFS Accelerator taps the leading capabilities available in the industry to accelerate customer innovation on IFS manufacturing platforms. It features innovative ecosystem partner companies across each of the five alliances of the program: EDA, IP, Design Services, Cloud, and USMAG Alliances. | ||||||||||
■ | In Q1 2022, we entered into a definitive agreement to acquire Tower in a cash-for-stock transaction. The acquisition is expected to advance our IDM 2.0 strategy by accelerating our global end-to-end open systems foundry business. While we continue to work to close within the first quarter of 2023, the transaction may close in the first half of 2023, subject to certain regulatory approvals and customary closing conditions. Tower is a leading foundry for analog semiconductor solutions. | ||||||||||
■ | We continue to grow the Foundry organization and have hired over 50 leaders from the foundry and fabless industry to complement the talent recruited within Intel. The pending acquisition of Tower would further expand our talent pool. This combination of internal and external talent will help us deliver the best of Intel and the foundry industry to our customers. | ||||||||||
MD&A | 36 |
MD&A | 37 |
IFS Revenue $B | IFS Operating Income (Loss) $B |
Revenue and Operating Income (Loss) Summary |
MD&A | 38 |
Consolidated Results of Operations | |||||
Years Ended (In Millions, Except Per Share Amounts) | December 31, 2022 | December 25, 2021 | December 26, 2020 | |||||||||||||||||||||||||||||||||||
Amount | % of Net Revenue | Amount | % of Net Revenue | Amount | % of Net Revenue | |||||||||||||||||||||||||||||||||
Net revenue | $ | 63,054 | 100.0 | % | $ | 79,024 | 100.0 | % | $ | 77,867 | 100.0 | % | ||||||||||||||||||||||||||
Cost of sales | 36,188 | 57.4 | % | 35,209 | 44.6 | % | 34,255 | 44.0 | % | |||||||||||||||||||||||||||||
Gross margin | 26,866 | 42.6 | % | 43,815 | 55.4 | % | 43,612 | 56.0 | % | |||||||||||||||||||||||||||||
Research and development | 17,528 | 27.8 | % | 15,190 | 19.2 | % | 13,556 | 17.4 | % | |||||||||||||||||||||||||||||
Marketing, general and administrative | 7,002 | 11.1 | % | 6,543 | 8.3 | % | 6,180 | 7.9 | % | |||||||||||||||||||||||||||||
Restructuring and other charges | 2 | — | % | 2,626 | 3.3 | % | 198 | 0.3 | % | |||||||||||||||||||||||||||||
Operating income | 2,334 | 3.7 | % | 19,456 | 24.6 | % | 23,678 | 30.4 | % | |||||||||||||||||||||||||||||
Gains (losses) on equity investments, net | 4,268 | 6.8 | % | 2,729 | 3.5 | % | 1,904 | 2.4 | % | |||||||||||||||||||||||||||||
Interest and other, net | 1,166 | 1.8 | % | (482) | (0.6) | % | (504) | (0.6) | % | |||||||||||||||||||||||||||||
Income before taxes | 7,768 | 12.3 | % | 21,703 | 27.5 | % | 25,078 | 32.2 | % | |||||||||||||||||||||||||||||
Provision for (benefit from) taxes | (249) | (0.4) | % | 1,835 | 2.3 | % | 4,179 | 5.4 | % | |||||||||||||||||||||||||||||
Net income | 8,017 | 12.7 | % | 19,868 | 25.1 | % | 20,899 | 26.8 | % | |||||||||||||||||||||||||||||
Less: Net income attributable to non-controlling interests | 3 | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Net income attributable to Intel | $ | 8,014 | — | $ | 19,868 | — | $ | 20,899 | — | |||||||||||||||||||||||||||||
Earnings per share attributable to Intel—diluted | $ | 1.94 | $ | 4.86 | $ | 4.94 |
MD&A | 39 |
Segment Revenue Walk $B |
MD&A | 40 |
Gross Margin $B | |||||
(Percentages in chart indicate gross margin as a percentage of total revenue) |
(In Millions) | ||||
$ | 42,140 | 2019 Gross Margin | ||
(1,360 | ) | Lower gross margin from adjacent businesses primarily due to NAND, DCG adjacencies, and PSG offset by higher gross margin on Mobileye | ||
(1,300 | ) | Higher platform unit cost primarily from increased mix of performance products | ||
580 | Higher gross margin from platform revenue | |||
490 | Lower period charges primarily due to lower factory start-up costs and sell-through of previously reserved non-qualified platform product, offset by higher initial production costs associated with our 10nm process technology | |||
(7 | ) | Other | ||
$ | 43,737 | 2018 Gross Margin | ||
5,810 | Higher gross margin from platform revenue | |||
(1,085 | ) | Higher platform unit cost, primarily from increased mix of performance products | ||
(86 | ) | Other, primarily due to impact from divestitures, offset by higher gross margin from adjacent businesses | ||
$ | 39,098 | 2017 Gross Margin |
(In Millions) | ||||||||
$ | 26,866 | 2022 Gross Margin | ||||||
(4,673) | Lower gross margin from CCG revenue, driven by notebook and desktop revenue | |||||||
(3,330) | Lower gross margin from DCAI server revenue | |||||||
(2,663) | Higher unit cost primarily from increased mix of Intel 7 products and 10nm SuperFin | |||||||
(2,159) | Higher period charges primarily driven by inventory reserves taken in 2022 | |||||||
(2,012) | Higher period charges primarily associated with the ramp up of Intel 4 and other product enhancements | |||||||
(1,995) | Lower gross margin related to the divested NAND memory business | |||||||
(723) | Optane inventory impairment related to the wind down of our Intel Optane memory business | |||||||
(584) | Lack of revenue recognized in Q1 2021 from a prepaid customer supply contract | |||||||
(313) | Higher stock-based compensation | |||||||
(423) | Higher period charges due to excess capacity charges | |||||||
(204) | Corporate charges from patent settlement | |||||||
484 | Lower period charges due to a benefit related to insurance proceeds received for business interruption and property damage that occurred in 2020 | |||||||
522 | Higher gross margin from NEX Ethernet revenue | |||||||
702 | Higher gross margin from DCAI other product revenue | |||||||
422 | Other | |||||||
$ | 43,815 | 2021 Gross Margin | ||||||
790 | Higher gross margin from CCG revenue, driven by desktop revenue partially offset by notebook | |||||||
584 | Prepaid customer supply agreement settled and recognized to revenue in Q1 2021 | |||||||
505 | Lower unit cost primarily due to cost improvements in 10nm SuperFin | |||||||
471 | Higher gross margin related to the NAND memory business | |||||||
375 | Higher gross margin from DCAI other product revenue | |||||||
262 | Lower period charges due to reserve sell through, partially offset by reserves taken in 2021 | |||||||
215 | Higher gross margin from NEX revenue, primarily driven by Ethernet and Edge | |||||||
(1,880) | Higher period charges primarily associated with ramp up of Intel 4 and subsequent ramp down of 14nm | |||||||
(725) | Lower gross margin from DCAI server revenue | |||||||
(394) | Other | |||||||
$ | 43,612 | 2020 Gross Margin |
MD&A |
(Percentages indicate expenses as a percentage of total revenue) |
MD&A | 42 |
2022 vs. 2021 | |||||||||||
R&D spending increased by $2.3 billion, or 15%, driven by the following: | |||||||||||
+ | Investments in our process technology | ||||||||||
+ | Increase in corporate spending | ||||||||||
+ | Investments in our businesses to drive strategic growth | ||||||||||
- | Incentive-based cash compensation | ||||||||||
2021 vs. 2020 | |||||||||||
R&D spending increased by $1.6 billion, or 12%, driven by the following: | |||||||||||
+ | Investments in our businesses to drive strategic growth | ||||||||||
+ | Investments in our process technology | ||||||||||
+ | Incentive-based cash compensation | ||||||||||
Marketing, General and Administrative |
2022 vs. 2021 | |||||||||||
MG&A spending increased by $459 million, or 7%, driven by the following: | |||||||||||
+ | Increase in corporate spending | ||||||||||
- | Incentive-based cash compensation | ||||||||||
2021 vs. 2020 | |||||||||||
MG&A spending increased by $363 million, or 6%, driven by the following: | |||||||||||
+ | Increase in corporate spending | ||||||||||
+ | Incentive-based cash compensation | ||||||||||
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Ongoing mark-to-market adjustments on marketable equity securities | $ | 277 | $ | (129 | ) | $ | — | |||||
Observable price adjustments on non-marketable equity securities | 293 | 202 | — | |||||||||
Impairment charges | (122 | ) | (424 | ) | (833 | ) | ||||||
Sale of equity investments and other | 1,091 | 226 | 3,484 | |||||||||
Gains (losses) on equity investments, net | $ | 1,539 | $ | (125 | ) | $ | 2,651 | |||||
Interest and other, net | $ | 484 | $ | 126 | $ | (349 | ) |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||||||||
Employee severance and benefit arrangements | $ | 1,038 | $ | 48 | $ | 124 | ||||||||||||||||||||
Litigation charges and other | (1,187) | 2,291 | 67 | |||||||||||||||||||||||
Asset impairment charges | 151 | 287 | 7 | |||||||||||||||||||||||
Total restructuring and other charges | $ | 2 | $ | 2,626 | $ | 198 |
MD&A |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Ongoing mark-to-market adjustments on marketable equity securities | $ | (787) | $ | (130) | $ | (133) | ||||||||||||||
Observable price adjustments on non-marketable equity securities | 299 | 750 | 176 | |||||||||||||||||
Impairment charges | (190) | (154) | (303) | |||||||||||||||||
Sale of equity investments and other | 4,946 | 2,263 | 2,164 | |||||||||||||||||
Gains (losses) on equity investments, net | $ | 4,268 | $ | 2,729 | $ | 1,904 | ||||||||||||||
Interest and other, net | $ | 1,166 | $ | (482) | $ | (504) |
Years Ended (Dollars in Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Income before taxes | $ | 7,768 | $ | 21,703 | $ | 25,078 | ||||||||||||||
Provision for (benefit from) taxes | $ | (249) | $ | 1,835 | $ | 4,179 | ||||||||||||||
Effective tax rate | (3.2) | % | 8.5 | % | 16.7 | % |
MD&A | 44 |
(Dollars in Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Cash and cash equivalents, short-term investments, and trading assets | $ | 13,123 | $ | 11,650 | ||||
Other long-term investments | $ | 3,276 | $ | 3,388 | ||||
Loans receivable and other | $ | 1,239 | $ | 1,550 | ||||
Reverse repurchase agreements with original maturities greater than three months | $ | 350 | $ | 250 | ||||
Total debt | $ | 29,001 | $ | 26,359 | ||||
Temporary equity | $ | 155 | $ | 419 | ||||
Debt as a percentage of permanent stockholders’ equity | 37.4 | % | 35.4 | % |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||
Cash and cash equivalents | $ | 11,144 | $ | 4,827 | ||||||||||
Short-term investments | 17,194 | 24,426 | ||||||||||||
Loans receivable and other | 463 | 240 | ||||||||||||
Total cash and investments1 | $ | 28,801 | $ | 29,493 | ||||||||||
Total debt | $ | 42,051 | $ | 38,101 | ||||||||||
MD&A | 45 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||||||||||
Net cash provided by operating activities | $ | 33,145 | $ | 29,432 | $ | 22,110 | Net cash provided by operating activities | $ | 15,433 | $ | 29,456 | $ | 35,864 | |||||||||||||||||||
Net cash used for investing activities | (14,405 | ) | (11,239 | ) | (15,762 | ) | Net cash used for investing activities | (10,477) | (24,449) | (21,524) | ||||||||||||||||||||||
Net cash provided by (used for) financing activities | (17,565 | ) | (18,607 | ) | (8,475 | ) | Net cash provided by (used for) financing activities | 1,361 | (6,045) | (12,669) | ||||||||||||||||||||||
Net increase (decrease) in cash and cash equivalents | $ | 1,175 | $ | (414 | ) | $ | (2,127 | ) | Net increase (decrease) in cash and cash equivalents | $ | 6,317 | $ | (1,038) | $ | 1,671 |
MD&A | 46 |
Payments Due by Period | ||||||||||||||||||||
(In Millions) | Total | Less Than 1 Year | 1–3 Years | 3–5 Years | More Than 5 Years | |||||||||||||||
Operating lease obligations1 | $ | 595 | $ | 178 | $ | 232 | $ | 128 | $ | 57 | ||||||||||
Capital purchase obligations2 | 10,918 | 9,300 | 1,595 | 14 | 9 | |||||||||||||||
Other purchase obligations and commitments3 | 2,757 | 1,636 | 947 | 147 | 27 | |||||||||||||||
Tax obligations4 | 4,442 | 10 | 746 | 1,853 | 1,833 | |||||||||||||||
Long-term debt obligations5 | 41,328 | 4,706 | 8,510 | 3,508 | 24,604 | |||||||||||||||
Other long-term liabilities6 | 1,692 | 898 | 640 | 40 | 114 | |||||||||||||||
Total7 | $ | 61,732 | $ | 16,728 | $ | 12,670 | $ | 5,690 | $ | 26,644 |
Non-GAAP adjustment or measure | Definition | Usefulness to management and investors | ||||||
NAND memory business | We completed the first closing of the divestiture of our NAND memory business to SK hynix on December 29, 2021 and fully deconsolidated our ongoing interests in the NAND OpCo Business in the first quarter of 2022. | We exclude the impact of our NAND memory business in certain non-GAAP measures. While the second closing of the sale is still pending and subject to closing conditions, we deconsolidated this business in Q1 2022 and management does not view the historical results of the business as a part of our core operations. We believe these adjustments provide investors with a useful view, through the eyes of management, of our core business model and how management currently evaluates core operational performance. In making these adjustments, we have not made any changes to our methods for measuring and calculating revenue or other financial statement amounts. |
MD&A | 47 |
Non-GAAP adjustment or measure | Definition | Usefulness to management and investors | ||||||
Acquisition-related adjustments | Amortization of acquisition-related intangible assets consists of amortization of intangible assets such as developed technology, brands, and customer relationships acquired in connection with business combinations. Charges related to the amortization of these intangibles are recorded within both cost of sales and MG&A in our US GAAP financial statements. Amortization charges are recorded over the estimated useful life of the related acquired intangible asset, and thus are generally recorded over multiple years. | We exclude amortization charges for our acquisition-related intangible assets for purposes of calculating certain non-GAAP measures because these charges are inconsistent in size and are significantly impacted by the timing and valuation of our acquisitions. These adjustments facilitate a useful evaluation of our current operating performance and comparison to our past operating performance and provide investors with additional means to evaluate cost and expense trends. | ||||||
Share-based compensation | Share-based compensation consists of charges related to our employee equity incentive plans. | We exclude charges related to share-based compensation for purposes of calculating certain non-GAAP measures because we believe these adjustments provide better comparability to peer company results and because these charges are not viewed by management as part of our core operating performance. We believe these adjustments provide investors with a useful view, through the eyes of management, of our core business model, how management currently evaluates core operational performance, and additional means to evaluate expense trends, including in comparison to other peer companies. | ||||||
Patent settlement | A portion of the charge from our IP settlements represents a catch-up of cumulative amortization that would have been incurred for the right to use the related patents in prior periods. This charge related to prior periods is excluded from our non-GAAP results; amortization related to the right to use the patents in the current and ongoing periods is included. | We exclude the catch-up charge related to prior periods for purposes of calculating certain non-GAAP measures because this adjustment facilitates comparison to past operating results and provides a useful evaluation of our current operating performance. | ||||||
Optane inventory impairment | Beginning in 2022, we initiated the wind-down of our Intel Optane memory business. | We exclude these impairments for purposes of calculating certain non-GAAP measures because these charges do not reflect our current operating performance. This adjustment facilitates a useful evaluation of our current operating performance and comparisons to past operating results. | ||||||
Restructuring and other charges | Restructuring charges are costs associated with a formal restructuring plan and are primarily related to employee severance and benefit arrangements. Other charges include a benefit in Q1 2022 related to the annulled EC fine, a charge in Q1 2021 related to the VLSI litigation, periodic goodwill and asset impairments, certain pension charges, and costs associated with restructuring activity. | We exclude restructuring and other charges, including any adjustments to charges recorded in prior periods, for purposes of calculating certain non-GAAP measures because these costs do not reflect our core operating performance. These adjustments facilitate a useful evaluation of our core operating performance and comparisons to past operating results and provide investors with additional means to evaluate expense trends. | ||||||
(Gains) losses on equity investments, net | (Gains) losses on equity investments, net consists of ongoing mark-to-market adjustments on marketable equity securities, observable price adjustments on non-marketable equity securities, related impairment charges, and the sale of equity investments and other. | We exclude these non-operating gains and losses for purposes of calculating certain non-GAAP measures because it provides better comparability between periods. The exclusion reflects how management evaluates the core operations of the business. | ||||||
Gains (losses) from divestiture | Gains (losses) are recognized at the close of a divestiture, or over a specified deferral period when deferred consideration is received at the time of closing. Based on our ongoing obligation under the NAND wafer manufacturing and sale agreement entered into in connection with the first closing of the sale of our NAND memory business on December 29, 2021, a portion of the initial closing consideration was deferred and will be recognized between first and second closing. | We exclude gains or losses resulting from divestitures for purposes of calculating certain non-GAAP measures because they do not reflect our current operating performance. These adjustments facilitate a useful evaluation of our current operating performance and comparisons to past operating results. |
MD&A | 48 |
Non-GAAP adjustment or measure | Definition | Usefulness to management and investors | ||||||
Tax Reform | Adjustments for Tax Reform reflect the impact of a change in tax law from 2017 Tax Reform related to the capitalization of R&D costs. | We exclude the impacts of this 2022 change in US tax treatment of R&D costs for purposes of calculating certain non-GAAP measures as we believe these adjustments facilitate a better evaluation of our current operating performance and comparison to past operating results. | ||||||
We reference a non-GAAP financial measure of adjusted free cash flow, which is used by management when assessing our sources of liquidity, capital resources, and quality of earnings. Adjusted free cash flow is operating cash flow adjusted for (1) additions to property, plant and equipment, net of proceeds from capital grants and partner contributions, (2) payments on finance leases, and (3) proceeds from the McAfee equity sale. |
Years Ended (In Millions, Except Per Share Amounts) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Net revenue | $ | 63,054 | $ | 79,024 | $ | 77,867 | ||||||||||||||
NAND memory business | — | (4,306) | (4,967) | |||||||||||||||||
Non-GAAP net revenue | $ | 63,054 | $ | 74,718 | $ | 72,900 | ||||||||||||||
Gross margin percentage | 42.6 | % | 55.4 | % | 56.0 | % | ||||||||||||||
Acquisition-related adjustments | 2.1 | % | 1.6 | % | 1.6 | % | ||||||||||||||
Share-based compensation | 1.0 | % | 0.4 | % | 0.4 | % | ||||||||||||||
Patent settlement | 0.3 | % | — | % | — | % | ||||||||||||||
Optane inventory impairment | 1.1 | % | — | % | — | % | ||||||||||||||
NAND memory business | — | % | 0.6 | % | 1.8 | % | ||||||||||||||
Non-GAAP gross margin percentage | 47.3 | % | 58.1 | % | 59.8 | % | ||||||||||||||
Earnings per share—diluted1 | $ | 1.94 | $ | 4.86 | $ | 4.94 | ||||||||||||||
Acquisition-related adjustments | 0.37 | 0.36 | 0.33 | |||||||||||||||||
Share-based compensation | 0.76 | 0.50 | 0.44 | |||||||||||||||||
Patent settlement | 0.05 | — | — | |||||||||||||||||
Optane inventory impairment | 0.18 | — | — | |||||||||||||||||
Restructuring and other charges | — | 0.64 | 0.05 | |||||||||||||||||
(Gains) losses on equity investments, net | (1.04) | (0.67) | (0.45) | |||||||||||||||||
(Gains) losses from divestiture | (0.28) | — | — | |||||||||||||||||
NAND memory business | — | (0.33) | (0.22) | |||||||||||||||||
Tax Reform | (0.20) | — | — | |||||||||||||||||
Income tax effects | 0.06 | (0.06) | (0.03) | |||||||||||||||||
Non-GAAP earnings per share—diluted | $ | 1.84 | $ | 5.30 | $ | 5.06 |
Years Ended (In Millions, Except Per Share Amounts) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Operating income | $ | 22,035 | $ | 23,316 | $ | 18,050 | ||||||
Acquisition-related adjustments | 1,324 | 1,305 | 1,257 | |||||||||
Restructuring and other charges | 393 | (72 | ) | 384 | ||||||||
Non-GAAP operating income | $ | 23,752 | $ | 24,549 | $ | 19,691 | ||||||
Operating margin | 30.6 | % | 32.9 | % | 28.8 | % | ||||||
Acquisition-related adjustments | 1.8 | % | 1.8 | % | 2.0 | % | ||||||
Restructuring and other charges | 0.5 | % | (0.1 | )% | 0.6 | % | ||||||
Non-GAAP operating margin | 33.0 | % | 34.7 | % | 31.4 | % | ||||||
Net income | $ | 21,048 | $ | 21,053 | $ | 9,601 | ||||||
Acquisition-related adjustments | 1,324 | 1,305 | 1,257 | |||||||||
Restructuring and other charges | 393 | (72 | ) | 384 | ||||||||
(Gains) losses from divestiture | (690 | ) | (494 | ) | (387 | ) | ||||||
Ongoing mark-to-market on marketable equity securities | (277 | ) | 129 | — | ||||||||
Tax Reform | — | (294 | ) | 5,444 | ||||||||
Income tax effect | (14 | ) | (102 | ) | 454 | |||||||
Non-GAAP net income | $ | 21,784 | $ | 21,525 | $ | 16,753 | ||||||
Earnings per share—Diluted | $ | 4.71 | $ | 4.48 | $ | 1.99 | ||||||
Acquisition-related adjustments | 0.29 | 0.28 | 0.25 | |||||||||
Restructuring and other charges | 0.09 | (0.02 | ) | 0.08 | ||||||||
(Gains) losses from divestiture | (0.16 | ) | (0.11 | ) | (0.08 | ) | ||||||
Ongoing mark-to-market on marketable equity securities | (0.06 | ) | 0.03 | — | ||||||||
Tax Reform | — | (0.06 | ) | 1.13 | ||||||||
Income tax effect | — | (0.02 | ) | 0.09 | ||||||||
Non-GAAP earnings per share—Diluted | $ | 4.87 | $ | 4.58 | $ | 3.46 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | Dec 31, 2016 | Dec 26, 2015 | |||||||||||||||
Net cash provided by operating activities | $ | 33,145 | $ | 29,432 | $ | 22,110 | $ | 21,808 | $ | 19,018 | ||||||||||
Additions to property, plant and equipment | (16,213 | ) | (15,181 | ) | (11,778 | ) | (9,625 | ) | (7,326 | ) | ||||||||||
Free cash flow | $ | 16,932 | $ | 14,251 | $ | 10,332 | $ | 12,183 | $ | 11,692 | ||||||||||
Net cash used for investing activities | $ | (14,405 | ) | $ | (11,239 | ) | $ | (15,762 | ) | $ | (25,817 | ) | $ | (8,183 | ) | |||||
Net cash provided by (used for) financing activities | $ | (17,565 | ) | $ | (18,607 | ) | $ | (8,475 | ) | $ | (5,739 | ) | $ | 1,912 |
MD&A |
Years Ended (Dollars in Millions, Except Per Share Amounts) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | Dec 31, 2016 | Dec 26, 2015 | |||||||||||||||
Net revenue | $ | 71,965 | $ | 70,848 | $ | 62,761 | $ | 59,387 | $ | 55,355 | ||||||||||
Gross margin1 | $ | 42,140 | $ | 43,737 | $ | 39,098 | $ | 36,233 | $ | 34,679 | ||||||||||
Gross margin percentage1 | 58.6 | % | 61.7 | % | 62.3 | % | 61.0 | % | 62.6 | % | ||||||||||
Research and development1 | $ | 13,362 | $ | 13,543 | $ | 13,035 | $ | 12,685 | $ | 12,128 | ||||||||||
Marketing, general and administrative1 | $ | 6,150 | $ | 6,750 | $ | 7,452 | $ | 8,377 | $ | 7,930 | ||||||||||
R&D and MG&A as a percentage of revenue1 | 27.1 | % | 28.6 | % | 32.6 | % | 35.5 | % | 36.2 | % | ||||||||||
Operating income1 | $ | 22,035 | $ | 23,316 | $ | 18,050 | $ | 13,133 | $ | 14,002 | ||||||||||
Net income2 | $ | 21,048 | $ | 21,053 | $ | 9,601 | $ | 10,316 | $ | 11,420 | ||||||||||
Effective tax rate2 | 12.5 | % | 9.7 | % | 52.8 | % | 20.3 | % | 19.6 | % | ||||||||||
Earnings per share2 | ||||||||||||||||||||
Basic | $ | 4.77 | $ | 4.57 | $ | 2.04 | $ | 2.18 | $ | 2.41 | ||||||||||
Diluted | $ | 4.71 | $ | 4.48 | $ | 1.99 | $ | 2.12 | $ | 2.33 | ||||||||||
Weighted average diluted shares of common stock outstanding | 4,473 | 4,701 | 4,835 | 4,875 | 4,894 | |||||||||||||||
Dividends per share of common stock, declared and paid | $ | 1.26 | $ | 1.20 | $ | 1.0775 | $ | 1.04 | $ | 0.96 | ||||||||||
Net cash provided by operating activities | $ | 33,145 | $ | 29,432 | $ | 22,110 | $ | 21,808 | $ | 19,018 | ||||||||||
Additions to property, plant and equipment | $ | 16,213 | $ | 15,181 | $ | 11,778 | $ | 9,625 | $ | 7,326 | ||||||||||
Repurchase of common stock | $ | 13,576 | $ | 10,730 | $ | 3,615 | $ | 2,587 | $ | 3,001 | ||||||||||
Payment of dividends to stockholders | $ | 5,576 | $ | 5,541 | $ | 5,072 | $ | 4,925 | $ | 4,556 | ||||||||||
(Dollars in Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | Dec 31, 2016 | Dec 26, 2015 | |||||||||||||||
Property, plant and equipment, net | $ | 55,386 | $ | 48,976 | $ | 41,109 | $ | 36,171 | $ | 31,858 | ||||||||||
Total assets | $ | 136,524 | $ | 127,963 | $ | 123,249 | $ | 113,327 | $ | 101,459 | ||||||||||
Debt | $ | 29,001 | $ | 26,359 | $ | 26,813 | $ | 25,283 | $ | 22,670 | ||||||||||
Stockholders’ equity | $ | 77,504 | $ | 74,563 | $ | 69,019 | $ | 66,226 | $ | 61,085 | ||||||||||
Employees (in thousands) | 110.8 | 107.4 | 102.7 | 106.0 | 107.3 |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | Dec 28, 2019 | Dec 29, 2018 | |||||||||||||||||||||||||||
Net cash provided by operating activities | $ | 15,433 | $ | 29,456 | $ | 35,864 | $ | 32,618 | $ | 29,757 | ||||||||||||||||||||||
Net additions to property, plant, and equipment | (23,724) | (18,567) | (14,086) | (15,948) | (14,649) | |||||||||||||||||||||||||||
Payments on finance leases | (345) | — | — | — | — | |||||||||||||||||||||||||||
Sale of equity investment | 4,561 | — | — | — | — | |||||||||||||||||||||||||||
Adjusted free cash flow | $ | (4,075) | $ | 10,889 | $ | 21,778 | $ | 16,670 | $ | 15,108 | ||||||||||||||||||||||
Net cash used for investing activities | $ | (10,477) | $ | (24,449) | $ | (21,524) | $ | (13,579) | $ | (11,638) | ||||||||||||||||||||||
Net cash provided by (used for) financing activities | $ | 1,361 | $ | (6,045) | $ | (12,669) | $ | (17,864) | $ | (18,533) |
MD&A |
Other Key Information | |||||
MD&A | 51 |
Other Key Information |
Other Key Information |
Other Key Information | 54 |
Other Key Information | 55 |
Other Key Information | 56 |
Other Key Information | 57 |
Other Key Information | 58 |
Other Key Information | 59 |
Other Key Information | 60 |
Other Key Information |
Other Key Information | 62 |
Other Key Information |
Other Key Information | 64 |
Other Key Information | 65 |
Other Key Information | 66 |
(Square Feet in Millions) | United States | Other Countries | Total | (Square Feet in Millions) | United States | Other Countries | Total | ||||||||||||||||||||||
Owned facilities | 31.3 | 22.3 | 53.6 | Owned facilities | 34 | 25 | 59 | ||||||||||||||||||||||
Leased facilities | 0.8 | 5.4 | 6.2 | Leased facilities | 1 | 5 | 6 | ||||||||||||||||||||||
Total facilities | 32.1 | 27.7 | 59.8 | Total facilities | 35 | 30 | 65 |
Other Key Information | 67 |
Years Ended | Dec 30, 2017 | Dec 29, 2018 | Dec 28, 2019 | Dec 26, 2020 | Dec 25, 2021 | Dec 31, 2022 | ||||||||||||||||||||||||||||||||
Intel Corporation | $ | 100 | $ | 104 | $ | 137 | $ | 110 | $ | 123 | $ | 66 | ||||||||||||||||||||||||||
S&P 100 Index | $ | 100 | $ | 95 | $ | 128 | $ | 152 | $ | 199 | $ | 158 | ||||||||||||||||||||||||||
S&P 500 Index | $ | 100 | $ | 95 | $ | 126 | $ | 147 | $ | 190 | $ | 157 | ||||||||||||||||||||||||||
S&P 500 IT Index | $ | 100 | $ | 99 | $ | 150 | $ | 214 | $ | 289 | $ | 208 | ||||||||||||||||||||||||||
SOX Index | $ | 100 | $ | 93 | $ | 154 | $ | 232 | $ | 336 | $ | 219 |
Other Key Information |
Years Ended | Dec 27, 2014 | Dec 26, 2015 | Dec 31, 2016 | Dec 30, 2017 | Dec 29, 2018 | Dec 28, 2019 | ||||||||||||||||||
Intel Corporation | $ | 100 | $ | 96 | $ | 103 | $ | 135 | $ | 140 | $ | 184 | ||||||||||||
S&P 100 Index | $ | 100 | $ | 102 | $ | 113 | $ | 137 | $ | 131 | $ | 175 | ||||||||||||
S&P 500 Index | $ | 100 | $ | 101 | $ | 112 | $ | 136 | $ | 129 | $ | 172 | ||||||||||||
S&P 500 IT Index | $ | 100 | $ | 104 | $ | 118 | $ | 163 | $ | 161 | $ | 246 | ||||||||||||
SOX Index | $ | 100 | $ | 99 | $ | 135 | $ | 190 | $ | 177 | $ | 293 |
Period | Total Number of Shares Purchased (In Millions) | Average Price Paid Per Share | Dollar Value of Shares That May Yet Be Purchased Under the Program (In Millions) | ||||||||
December 30, 2018 - March 30, 2019 | 49.5 | $ | 49.49 | $ | 14,883 | ||||||
March 31, 2019 - June 29, 2019 | 67.2 | $ | 46.78 | $ | 11,739 | ||||||
June 30, 2019 - September 28, 2019 | 92.0 | $ | 48.78 | $ | 7,249 | ||||||
September 29, 2019 - December 28, 2019 | 63.0 | $ | 55.32 | $ | 23,768 | ||||||
Total | 271.7 |
Period | Total Number of Shares Purchased (In Millions) | Average Price Paid Per Share | Dollar Value of Shares That May Yet Be Purchased Under the Program (In Millions) | ||||||||
September 29, 2019 - October 26, 2019 | 24.0 | $ | 51.37 | $ | 26,021 | ||||||
October 27, 2019 - November 23, 2019 | 16.2 | $ | 57.67 | $ | 25,088 | ||||||
November 24, 2019 - December 28, 2019 | 22.8 | $ | 57.79 | $ | 23,768 | ||||||
Total | 63.0 |
Other Key Information |
Name Current Title | Age | Experience | |||||||||||||
Patrick P. Gelsinger | 61 | Mr. Gelsinger has been our Chief Executive Officer and a member of our Board of Directors since February 2021. He has also served as a member and Chair of the Board of Directors of Mobileye, a subsidiary of Intel, since September 2022. He joined Intel from VMware, Inc., a provider of cloud computing and virtualization software and services, where he served as Chief Executive Officer from September 2012 to February 2021. Prior to VMware, Mr. Gelsinger served as President and Chief Operating Officer, EMC Information Infrastructure Products at EMC Corp., a data storage, information security, and cloud computing company, from September 2009 to August 2012. Mr. Gelsinger’s career began at Intel, where he spent 30 years before joining EMC Corp. During his initial tenure at Intel, Mr. Gelsinger served in a number of roles, including Senior Vice President and Co-General Manager of the Digital Enterprise Group from 2005 to September 2009, Senior Vice President, Chief Technology Officer from 2002 to 2005, and leader of Desktop Products Group prior to that. | |||||||||||||
Chief Executive Officer | |||||||||||||||
Michelle Johnston Holthaus | 49 | Ms. Johnston Holthaus has been our Executive Vice | |||||||||||||
Executive Vice President and General Manager, Client Computing Group | |||||||||||||||
April Miller Boise | 54 | Ms. Miller Boise has been our Executive Vice | |||||||||||||
Executive Vice | |||||||||||||||
Sandra L. Rivera | 58 | Ms. Rivera is Executive Vice | |||||||||||||
Executive Vice President and General Manager, Data | |||||||||||||||
Other Key Information |
Christoph Schell | 51 | Mr. Schell has been our Executive Vice President and Chief Commercial Officer since March 2022. In his role, he oversees Intel’s global sales, business management, marketing, communications, corporate planning, customer support, and customer success teams, leading the company’s efforts to foster innovative go-to-market approaches that broaden Intel’s business opportunities and deepen customer and partner relationships and outcomes worldwide. Prior to joining Intel, Mr. Schell served as the Chief Commercial Officer of HP Inc., an American multinational information technology company, from November 2019 to March 2022. During his 25 years with HP, Mr. Schell held various senior management roles across the globe, including President of 3D Printing and Digital Manufacturing from November 2018 to October 2019 and President of the Americas region from November 2015 to November 2018. Prior to rejoining HP in 2014, Mr. Schell served as Executive Vice President of Growth Markets for Philips, a lighting solutions company, where he led the lighting business across Asia Pacific, Japan, Africa, Russia, India, Central Asia, and the Middle East. He started his career in his family’s distribution and industrial solutions company before working in brand management at Procter & Gamble. | ||||||||||||
Executive Vice President and Chief Commercial Officer, Sales, Marketing and Communications | ||||||||||||||
David Zinsner | 54 | Mr. Zinsner has been our Executive Vice President and Chief Financial Officer since January 2022, overseeing our global finance organization. He joined Intel from Micron Technology, Inc., a manufacturer of memory and storage products, where he most recently served as Executive Vice President and Chief Financial Officer. From February 2018 to October 2021, he served as Senior Vice President and Chief Financial Officer of Micron. From April 2017 to February 2018, he served as President and Chief Operating Officer of Affirmed Networks, Inc. From January 2009 to April 2017, he served as Senior Vice President of Finance and Chief Financial Officer of Analog Devices, Inc. From July 2005 to January 2009, Mr. Zinsner served as Senior Vice President and Chief Financial Officer of Intersil Corporation. | ||||||||||||
Executive Vice President and Chief Financial Officer | ||||||||||||||
Other Key Information |
Page | |||||||||||
Reports of Independent Registered Public Accounting Firm | (PCAOB ID: 42) | ||||||||||
Consolidated Statements of Income | |||||||||||
Consolidated Statements of Comprehensive Income | |||||||||||
Consolidated Balance Sheets | |||||||||||
Consolidated Statements of Cash Flows | |||||||||||
Consolidated Statements of | |||||||||||
Notes to Consolidated Financial Statements | |||||||||||
Basis | |||||||||||
Note 1: Basis of Presentation | |||||||||||
Note 2: Accounting Policies | |||||||||||
Performance and Operations | |||||||||||
Note 3: | |||||||||||
Note 4: | |||||||||||
Note 5: Earnings Per Share | |||||||||||
Note | |||||||||||
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Note | |||||||||||
Investments, | |||||||||||
Note | |||||||||||
Note | |||||||||||
Note | |||||||||||
Note | |||||||||||
Note | |||||||||||
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Risk Management and Other | |||||||||||
Note | |||||||||||
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Key Terms | |||||||||||
Controls and Procedures | |||||||||||
Form 10-K Cross-Reference Index |
Auditor's Reports | 73 |
Inventory Valuation | ||||||||
Description of the Matter | The | |||||||
Auditing | ||||||||
How We Addressed the Matter in Our Audit | We evaluated and tested the design and operating effectiveness of the | |||||||
Our audit procedures included, among others, testing the significant assumptions (e.g., estimated product costs and selling prices, and product demand forecasts) and the underlying data used in |
Auditor's Reports |
Auditor's Reports |
Years Ended (In Millions, Except Per Share Amounts) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | Years Ended (In Millions, Except Per Share Amounts) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||||||||||
Net revenue | $ | 71,965 | $ | 70,848 | $ | 62,761 | Net revenue | $ | 63,054 | $ | 79,024 | $ | 77,867 | |||||||||||||||||||
Cost of sales | 29,825 | 27,111 | 23,663 | Cost of sales | 36,188 | 35,209 | 34,255 | |||||||||||||||||||||||||
Gross margin | 42,140 | 43,737 | 39,098 | Gross margin | 26,866 | 43,815 | 43,612 | |||||||||||||||||||||||||
Research and development | 13,362 | 13,543 | 13,035 | Research and development | 17,528 | 15,190 | 13,556 | |||||||||||||||||||||||||
Marketing, general and administrative | 6,150 | 6,750 | 7,452 | Marketing, general and administrative | 7,002 | 6,543 | 6,180 | |||||||||||||||||||||||||
Restructuring and other charges | 393 | (72 | ) | 384 | Restructuring and other charges | 2 | 2,626 | 198 | ||||||||||||||||||||||||
Amortization of acquisition-related intangibles | 200 | 200 | 177 | |||||||||||||||||||||||||||||
Operating expenses | 20,105 | 20,421 | 21,048 | Operating expenses | 24,532 | 24,359 | 19,934 | |||||||||||||||||||||||||
Operating income | 22,035 | 23,316 | 18,050 | Operating income | 2,334 | 19,456 | 23,678 | |||||||||||||||||||||||||
Gains (losses) on equity investments, net | 1,539 | (125 | ) | 2,651 | Gains (losses) on equity investments, net | 4,268 | 2,729 | 1,904 | ||||||||||||||||||||||||
Interest and other, net | 484 | 126 | (349 | ) | Interest and other, net | 1,166 | (482) | (504) | ||||||||||||||||||||||||
Income before taxes | 24,058 | 23,317 | 20,352 | Income before taxes | 7,768 | 21,703 | 25,078 | |||||||||||||||||||||||||
Provision for taxes | 3,010 | 2,264 | 10,751 | |||||||||||||||||||||||||||||
Provision for (benefit from) taxes | Provision for (benefit from) taxes | (249) | 1,835 | 4,179 | ||||||||||||||||||||||||||||
Net income | $ | 21,048 | $ | 21,053 | $ | 9,601 | Net income | 8,017 | 19,868 | 20,899 | ||||||||||||||||||||||
Earnings per share—Basic | $ | 4.77 | $ | 4.57 | $ | 2.04 | ||||||||||||||||||||||||||
Earnings per share—Diluted | $ | 4.71 | $ | 4.48 | $ | 1.99 | ||||||||||||||||||||||||||
Less: Net income attributable to non-controlling interests | Less: Net income attributable to non-controlling interests | 3 | — | — | ||||||||||||||||||||||||||||
Net income attributable to Intel | Net income attributable to Intel | $ | 8,014 | $ | 19,868 | $ | 20,899 | |||||||||||||||||||||||||
Earnings per share attributable to Intel—basic | Earnings per share attributable to Intel—basic | $ | 1.95 | $ | 4.89 | $ | 4.98 | |||||||||||||||||||||||||
Earnings per share attributable to Intel—diluted | Earnings per share attributable to Intel—diluted | $ | 1.94 | $ | 4.86 | $ | 4.94 | |||||||||||||||||||||||||
Weighted average shares of common stock outstanding: | Weighted average shares of common stock outstanding: | |||||||||||||||||||||||||||||||
Basic | 4,417 | 4,611 | 4,701 | Basic | 4,108 | 4,059 | 4,199 | |||||||||||||||||||||||||
Diluted | 4,473 | 4,701 | 4,835 | Diluted | 4,123 | 4,090 | 4,232 |
Financial Statements | Consolidated Statements of Income | 76 |
Consolidated Statements of Comprehensive Income | |||||
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Net income | $ | 8,017 | $ | 19,868 | $ | 20,899 | ||||||||||||||
Changes in other comprehensive income, net of tax: | ||||||||||||||||||||
Net unrealized holding gains (losses) on derivatives | (510) | (520) | 677 | |||||||||||||||||
Actuarial valuation and other pension benefits (expenses), net | 855 | 451 | (183) | |||||||||||||||||
Translation adjustments and other | (27) | (60) | 35 | |||||||||||||||||
Other comprehensive income (loss) | 318 | (129) | 529 | |||||||||||||||||
Total comprehensive income | 8,335 | 19,739 | 21,428 | |||||||||||||||||
Less: Comprehensive income attributable to non-controlling interests | 3 | — | — | |||||||||||||||||
Total comprehensive income attributable to Intel | $ | 8,332 | $ | 19,739 | $ | 21,428 |
Financial Statements | Consolidated Statements of Comprehensive Income |
Consolidated Balance Sheets | |||||
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Net income | $ | 21,048 | $ | 21,053 | $ | 9,601 | ||||||
Changes in other comprehensive income, net of tax: | ||||||||||||
Net unrealized holding gains (losses) on available-for-sale equity investments | — | — | (434 | ) | ||||||||
Net unrealized holding gains (losses) on derivatives | 177 | (253 | ) | 365 | ||||||||
Actuarial valuation and other pension benefits (expenses), net | (564 | ) | 210 | 317 | ||||||||
Translation adjustments and other | 81 | (3 | ) | 508 | ||||||||
Other comprehensive income (loss) | (306 | ) | (46 | ) | 756 | |||||||
Total comprehensive income | $ | 20,742 | $ | 21,007 | $ | 10,357 |
(In Millions, Except Par Value) | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||
Assets | ||||||||||||||
Current assets: | ||||||||||||||
Cash and cash equivalents | $ | 11,144 | $ | 4,827 | ||||||||||
Short-term investments | 17,194 | 24,426 | ||||||||||||
Accounts receivable, net | 4,133 | 9,457 | ||||||||||||
Inventories | 13,224 | 10,776 | ||||||||||||
Assets held for sale | 45 | 6,942 | ||||||||||||
Other current assets | 4,667 | 2,130 | ||||||||||||
Total current assets | 50,407 | 58,558 | ||||||||||||
Property, plant and equipment, net | 80,860 | 63,245 | ||||||||||||
Equity investments | 5,912 | 6,298 | ||||||||||||
Goodwill | 27,591 | 26,963 | ||||||||||||
Identified intangible assets, net | 6,018 | 7,270 | ||||||||||||
Other long-term assets | 11,315 | 6,072 | ||||||||||||
Total assets | $ | 182,103 | $ | 168,406 | ||||||||||
Liabilities and stockholders' equity | ||||||||||||||
Current liabilities: | ||||||||||||||
Short-term debt | $ | 4,367 | $ | 4,591 | ||||||||||
Accounts payable | 9,595 | 5,747 | ||||||||||||
Accrued compensation and benefits | 4,084 | 4,535 | ||||||||||||
Income taxes payable | 2,251 | 1,076 | ||||||||||||
Other accrued liabilities | 11,858 | 11,513 | ||||||||||||
Total current liabilities | 32,155 | 27,462 | ||||||||||||
Debt | 37,684 | 33,510 | ||||||||||||
Long-term income taxes payable | 3,796 | 4,305 | ||||||||||||
Deferred income taxes | 202 | 2,667 | ||||||||||||
Other long-term liabilities | 4,980 | 5,071 | ||||||||||||
Commitments and Contingencies (Note 19) | ||||||||||||||
Stockholders' equity: | ||||||||||||||
Preferred stock, $0.001 par value, 50 shares authorized; none issued | — | — | ||||||||||||
Common stock, $0.001 par value, 10,000 shares authorized; 4,137 shares issued and outstanding (4,070 issued and outstanding in 2021) and capital in excess of par value | 31,580 | 28,006 | ||||||||||||
Accumulated other comprehensive income (loss) | (562) | (880) | ||||||||||||
Retained earnings | 70,405 | 68,265 | ||||||||||||
Total Intel stockholders' equity | 101,423 | 95,391 | ||||||||||||
Non-controlling interests | 1,863 | — | ||||||||||||
Total stockholders’ equity | 103,286 | 95,391 | ||||||||||||
Total liabilities and stockholders' equity | $ | 182,103 | $ | 168,406 |
Financial Statements | Consolidated |
(In Millions, Except Par Value) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 4,194 | $ | 3,019 | ||||
Short-term investments | 1,082 | 2,788 | ||||||
Trading assets | 7,847 | 5,843 | ||||||
Accounts receivable, net of allowance for doubtful accounts | 7,659 | 6,722 | ||||||
Inventories | 8,744 | 7,253 | ||||||
Other current assets | 1,713 | 3,162 | ||||||
Total current assets | 31,239 | 28,787 | ||||||
Property, plant and equipment, net | 55,386 | 48,976 | ||||||
Equity investments | 3,967 | 6,042 | ||||||
Other long-term investments | 3,276 | 3,388 | ||||||
Goodwill | 26,276 | 24,513 | ||||||
Identified intangible assets, net | 10,827 | 11,836 | ||||||
Other long-term assets | 5,553 | 4,421 | ||||||
Total assets | $ | 136,524 | $ | 127,963 | ||||
Liabilities, temporary equity, and stockholders’ equity | ||||||||
Current liabilities: | ||||||||
Short-term debt | $ | 3,693 | $ | 1,261 | ||||
Accounts payable | 4,128 | 3,824 | ||||||
Accrued compensation and benefits | 3,853 | 3,622 | ||||||
Other accrued liabilities | 10,636 | 7,919 | ||||||
Total current liabilities | 22,310 | 16,626 | ||||||
Debt | 25,308 | 25,098 | ||||||
Contract liabilities | 1,368 | 2,049 | ||||||
Income taxes payable, non-current | 4,919 | 4,897 | ||||||
Deferred income taxes | 2,044 | 1,665 | ||||||
Other long-term liabilities | 2,916 | 2,646 | ||||||
Commitments and Contingencies (Note 20) | ||||||||
Temporary equity | 155 | 419 | ||||||
Stockholders’ equity: | ||||||||
Preferred stock, $0.001 par value, 50 shares authorized; none issued | — | — | ||||||
Common stock, $0.001 par value, 10,000 shares authorized; 4,290 shares issued and outstanding (4,516 issued and outstanding in 2018) and capital in excess of par value | 25,261 | 25,365 | ||||||
Accumulated other comprehensive income (loss) | (1,280 | ) | (974 | ) | ||||
Retained earnings | 53,523 | 50,172 | ||||||
Total stockholders’ equity | 77,504 | 74,563 | ||||||
Total liabilities, temporary equity, and stockholders’ equity | $ | 136,524 | $ | 127,963 |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Cash and cash equivalents, beginning of period | $ | 4,827 | $ | 5,865 | $ | 4,194 | ||||||||||||||
Cash flows provided by (used for) operating activities: | ||||||||||||||||||||
Net income | 8,017 | 19,868 | 20,899 | |||||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation | 11,128 | 9,953 | 10,482 | |||||||||||||||||
Share-based compensation | 3,128 | 2,036 | 1,854 | |||||||||||||||||
Restructuring and other charges | 1,074 | 2,626 | 198 | |||||||||||||||||
Amortization of intangibles | 1,907 | 1,839 | 1,757 | |||||||||||||||||
(Gains) losses on equity investments, net | (4,254) | (1,458) | (1,757) | |||||||||||||||||
(Gains) losses on divestitures | (1,059) | — | (30) | |||||||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Accounts receivable | 5,327 | (2,674) | 883 | |||||||||||||||||
Inventories | (2,436) | (2,339) | (687) | |||||||||||||||||
Accounts payable | (29) | 1,190 | 405 | |||||||||||||||||
Accrued compensation and benefits | (1,533) | 515 | 348 | |||||||||||||||||
Prepaid customer supply agreements | (24) | (1,583) | (181) | |||||||||||||||||
Income taxes | (4,535) | (441) | 1,620 | |||||||||||||||||
Other assets and liabilities | (1,278) | (76) | 73 | |||||||||||||||||
Total adjustments | 7,416 | 9,588 | 14,965 | |||||||||||||||||
Net cash provided by operating activities | 15,433 | 29,456 | 35,864 | |||||||||||||||||
Cash flows provided by (used for) investing activities: | ||||||||||||||||||||
Additions to property, plant and equipment | (24,844) | (18,733) | (14,259) | |||||||||||||||||
Additions to held for sale NAND property, plant and equipment | (206) | (1,596) | (194) | |||||||||||||||||
Purchase of short-term investments | (43,647) | (40,554) | (29,239) | |||||||||||||||||
Maturities and sales of short-term investments | 48,730 | 35,299 | 22,158 | |||||||||||||||||
Purchases of equity investments | (510) | (613) | (720) | |||||||||||||||||
Sales of equity investments | 4,961 | 581 | 910 | |||||||||||||||||
Proceeds from divestitures | 6,579 | — | 123 | |||||||||||||||||
Other investing | (1,540) | 1,167 | (303) | |||||||||||||||||
Net cash used for investing activities | (10,477) | (24,449) | (21,524) | |||||||||||||||||
Cash flows provided by (used for) financing activities: | ||||||||||||||||||||
Issuance of commercial paper, net of issuance costs | 3,945 | — | — | |||||||||||||||||
Payments on finance leases | (345) | — | — | |||||||||||||||||
Partner contributions | 874 | — | — | |||||||||||||||||
Proceeds from Mobileye IPO | 1,032 | — | — | |||||||||||||||||
Issuance of term debt, net of issuance costs | 6,548 | 4,974 | 10,247 | |||||||||||||||||
Repayment of term debt and debt conversions | (4,984) | (2,500) | (4,525) | |||||||||||||||||
Proceeds from sales of common stock through employee equity incentive plans | 977 | 1,020 | 897 | |||||||||||||||||
Repurchase of common stock | — | (2,415) | (14,229) | |||||||||||||||||
Payment of dividends to stockholders | (5,997) | (5,644) | (5,568) | |||||||||||||||||
Other financing | (689) | (1,480) | 509 | |||||||||||||||||
Net cash provided by (used for) financing activities | 1,361 | (6,045) | (12,669) | |||||||||||||||||
Net increase (decrease) in cash and cash equivalents | 6,317 | (1,038) | 1,671 | |||||||||||||||||
Cash and cash equivalents, end of period | $ | 11,144 | $ | 4,827 | $ | 5,865 | ||||||||||||||
Supplemental disclosures: | ||||||||||||||||||||
Acquisition of property, plant and equipment included in accounts payable and accrued liabilities | $ | 5,431 | $ | 1,619 | $ | 2,973 | ||||||||||||||
Cash paid during the year for: | ||||||||||||||||||||
Interest, net of capitalized interest | $ | 459 | $ | 545 | $ | 594 | ||||||||||||||
Income taxes, net of refunds | $ | 4,282 | $ | 2,263 | $ | 2,436 | ||||||||||||||
Financial Statements | Consolidated |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Cash and cash equivalents, beginning of period | $ | 3,019 | $ | 3,433 | $ | 5,560 | ||||||
Cash flows provided by (used for) operating activities: | ||||||||||||
Net income | 21,048 | 21,053 | 9,601 | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||
Depreciation | 9,204 | 7,520 | 6,752 | |||||||||
Share-based compensation | 1,705 | 1,546 | 1,358 | |||||||||
Amortization of intangibles | 1,622 | 1,565 | 1,377 | |||||||||
(Gains) losses on equity investments, net | (892 | ) | 155 | (2,583 | ) | |||||||
(Gains) losses on divestitures | (690 | ) | (497 | ) | (387 | ) | ||||||
Changes in assets and liabilities: | ||||||||||||
Accounts receivable | (935 | ) | (1,714 | ) | (781 | ) | ||||||
Inventories | (1,481 | ) | (214 | ) | (1,300 | ) | ||||||
Accounts payable | 696 | 211 | 191 | |||||||||
Accrued compensation and benefits | 91 | (260 | ) | 311 | ||||||||
Customer deposits and prepaid supply agreements | (782 | ) | 1,367 | 1,105 | ||||||||
Income taxes | 885 | (1,601 | ) | 6,778 | ||||||||
Other assets and liabilities | 2,674 | 301 | (312 | ) | ||||||||
Total adjustments | 12,097 | 8,379 | 12,509 | |||||||||
Net cash provided by operating activities | 33,145 | 29,432 | 22,110 | |||||||||
Cash flows provided by (used for) investing activities: | ||||||||||||
Additions to property, plant and equipment | (16,213 | ) | (15,181 | ) | (11,778 | ) | ||||||
Acquisitions, net of cash acquired | (1,958 | ) | (190 | ) | (14,499 | ) | ||||||
Purchases of available-for-sale debt investments | (2,268 | ) | (3,843 | ) | (2,746 | ) | ||||||
Sales of available-for-sale debt investments | 238 | 195 | 1,833 | |||||||||
Maturities of available-for-sale debt investments | 3,988 | 2,968 | 3,687 | |||||||||
Purchases of trading assets | (9,162 | ) | (9,503 | ) | (13,700 | ) | ||||||
Maturities and sales of trading assets | 7,178 | 12,111 | 13,970 | |||||||||
Purchases of equity investments | (522 | ) | (874 | ) | (1,619 | ) | ||||||
Sales of equity investments | 2,688 | 2,802 | 5,236 | |||||||||
Proceeds from divestitures | 911 | 548 | 3,124 | |||||||||
Other investing | 715 | (272 | ) | 730 | ||||||||
Net cash used for investing activities | (14,405 | ) | (11,239 | ) | (15,762 | ) | ||||||
Cash flows provided by (used for) financing activities: | ||||||||||||
Issuance of long-term debt, net of issuance costs | 3,392 | 423 | 7,716 | |||||||||
Repayment of debt and debt conversion | (2,627 | ) | (3,026 | ) | (8,080 | ) | ||||||
Proceeds from sales of common stock through employee equity incentive plans | 750 | 555 | 770 | |||||||||
Repurchase of common stock | (13,576 | ) | (10,730 | ) | (3,615 | ) | ||||||
Payment of dividends to stockholders | (5,576 | ) | (5,541 | ) | (5,072 | ) | ||||||
Other financing | 72 | (288 | ) | (194 | ) | |||||||
Net cash provided by (used for) financing activities | (17,565 | ) | (18,607 | ) | (8,475 | ) | ||||||
Net increase (decrease) in cash and cash equivalents | 1,175 | (414 | ) | (2,127 | ) | |||||||
Cash and cash equivalents, end of period | $ | 4,194 | $ | 3,019 | $ | 3,433 | ||||||
Supplemental disclosures: | ||||||||||||
Acquisition of property, plant and equipment included in accounts payable and accrued liabilities | $ | 1,761 | $ | 2,340 | $ | 1,417 | ||||||
Cash paid during the year for: | ||||||||||||
Interest, net of capitalized interest | $ | 469 | $ | 448 | $ | 624 | ||||||
Income taxes, net of refunds | $ | 2,110 | $ | 3,813 | $ | 3,824 |
Common Stock and Capital in Excess of Par Value | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Non-Controlling Interests | Total | ||||||||||||||||||||||||||||||||||
(In Millions, Except Per Share Amounts) | Number of Shares | Amount | ||||||||||||||||||||||||||||||||||||
Balance as of December 28, 2019 | 4,290 | $ | 25,261 | $ | (1,280) | $ | 53,523 | — | $ | 77,504 | ||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | 20,899 | — | 20,899 | ||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | 529 | — | — | 529 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 21,428 | |||||||||||||||||||||||||||||||||||||
Employee equity incentive plans and other | 55 | 1,018 | — | — | — | 1,018 | ||||||||||||||||||||||||||||||||
Share-based compensation | — | 1,854 | — | — | — | 1,854 | ||||||||||||||||||||||||||||||||
Temporary equity reduction | — | 155 | — | — | — | 155 | ||||||||||||||||||||||||||||||||
Convertible debt | — | (750) | — | — | — | (750) | ||||||||||||||||||||||||||||||||
Repurchase of common stock | (275) | (1,628) | — | (12,481) | — | (14,109) | ||||||||||||||||||||||||||||||||
Restricted stock unit withholdings | (8) | (354) | — | (140) | — | (494) | ||||||||||||||||||||||||||||||||
Cash dividends declared ($1.32 per share of common stock) | — | — | — | (5,568) | — | (5,568) | ||||||||||||||||||||||||||||||||
Balance as of December 26, 2020 | 4,062 | 25,556 | (751) | 56,233 | — | 81,038 | ||||||||||||||||||||||||||||||||
Adjustment to opening balance from change in accounting principle | 35 | 35 | ||||||||||||||||||||||||||||||||||||
Opening balance as of December 27, 2020 | 4,062 | 25,556 | (751) | 56,268 | — | 81,073 | ||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | 19,868 | — | 19,868 | ||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | (129) | — | — | (129) | ||||||||||||||||||||||||||||||||
Total comprehensive income | 19,739 | |||||||||||||||||||||||||||||||||||||
Employee equity incentive plans and other | 54 | 1,022 | — | — | — | 1,022 | ||||||||||||||||||||||||||||||||
Share-based compensation | — | 2,036 | — | — | — | 2,036 | ||||||||||||||||||||||||||||||||
Repurchase of common stock | (40) | (249) | — | (2,166) | — | (2,415) | ||||||||||||||||||||||||||||||||
Restricted stock unit withholdings | (6) | (359) | — | (61) | — | (420) | ||||||||||||||||||||||||||||||||
Cash dividends declared ($1.39 per share of common stock) | — | — | — | (5,644) | — | (5,644) | ||||||||||||||||||||||||||||||||
Balance as of December 25, 2021 | 4,070 | 28,006 | (880) | 68,265 | — | 95,391 | ||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | 8,014 | 3 | 8,017 | ||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | 318 | — | — | 318 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 8,335 | |||||||||||||||||||||||||||||||||||||
Net proceeds received from IPO and partner contributions | — | 75 | — | — | 1,831 | 1,906 | ||||||||||||||||||||||||||||||||
Employee equity incentive plans and other | 79 | 1,009 | — | — | — | 1,009 | ||||||||||||||||||||||||||||||||
Share-based compensation | — | 3,099 | — | — | 29 | 3,128 | ||||||||||||||||||||||||||||||||
Restricted stock unit withholdings | (12) | (609) | — | 123 | — | (486) | ||||||||||||||||||||||||||||||||
Cash dividends declared ($1.46 per share of common stock) | — | — | — | (5,997) | — | (5,997) | ||||||||||||||||||||||||||||||||
Balance as of December 31, 2022 | 4,137 | $ | 31,580 | $ | (562) | $ | 70,405 | $ | 1,863 | $ | 103,286 |
Financial Statements | Consolidated Statements of |
Common Stock and Capital in Excess of Par Value | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Total | ||||||||||||||||
(In Millions, Except Per Share Amounts) | Number of Shares | Amount | |||||||||||||||||
Balance as of December 31, 2016 | 4,730 | $ | 25,373 | $ | 106 | $ | 40,747 | $ | 66,226 | ||||||||||
Components of comprehensive income, net of tax: | |||||||||||||||||||
Net income | — | — | — | 9,601 | 9,601 | ||||||||||||||
Other comprehensive income (loss) | — | — | 756 | — | 756 | ||||||||||||||
Total comprehensive income | 10,357 | ||||||||||||||||||
Employee equity incentive plans and other ¹ | 70 | 1,172 | — | (1 | ) | 1,171 | |||||||||||||
Share-based compensation | — | 1,296 | — | — | 1,296 | ||||||||||||||
Convertible debt | — | (894 | ) | — | — | (894 | ) | ||||||||||||
Repurchase of common stock | (101 | ) | (552 | ) | — | (3,057 | ) | (3,609 | ) | ||||||||||
Restricted stock unit withholdings | (12 | ) | (321 | ) | — | (135 | ) | (456 | ) | ||||||||||
Cash dividends declared ($1.0775 per share of common stock) | — | — | — | (5,072 | ) | (5,072 | ) | ||||||||||||
Balance as of December 30, 2017 | 4,687 | 26,074 | 862 | 42,083 | 69,019 | ||||||||||||||
Adjustment to opening balance for change in accounting principle | — | — | (1,790 | ) | 2,424 | 634 | |||||||||||||
Opening balance as of December 31, 2017 | 4,687 | 26,074 | (928 | ) | 44,507 | 69,653 | |||||||||||||
Components of comprehensive income, net of tax: | |||||||||||||||||||
Net income | — | — | — | 21,053 | 21,053 | ||||||||||||||
Other comprehensive income (loss) | — | — | (46 | ) | — | (46 | ) | ||||||||||||
Total comprehensive income | 21,007 | ||||||||||||||||||
Employee equity incentive plans and other ¹ | 56 | 424 | — | — | 424 | ||||||||||||||
Share-based compensation | — | 1,548 | — | — | 1,548 | ||||||||||||||
Temporary equity reduction | — | 447 | — | 447 | |||||||||||||||
Convertible debt | — | (1,591 | ) | — | — | (1,591 | ) | ||||||||||||
Repurchase of common stock | (217 | ) | (1,208 | ) | — | (9,650 | ) | (10,858 | ) | ||||||||||
Restricted stock unit withholdings | (10 | ) | (329 | ) | — | (197 | ) | (526 | ) | ||||||||||
Cash dividends declared ($1.20 per share of common stock) | — | — | — | (5,541 | ) | (5,541 | ) | ||||||||||||
Balance as of December 29, 2018 | 4,516 | 25,365 | (974 | ) | 50,172 | 74,563 | |||||||||||||
Components of comprehensive income, net of tax: | |||||||||||||||||||
Net income | — | — | — | 21,048 | 21,048 | ||||||||||||||
Other comprehensive income (loss) | — | — | (306 | ) | — | (306 | ) | ||||||||||||
Total comprehensive income | 20,742 | ||||||||||||||||||
Employee equity incentive plans and other | 55 | 892 | — | — | 892 | ||||||||||||||
Share-based compensation | — | 1,705 | — | — | 1,705 | ||||||||||||||
Temporary equity reduction | — | 265 | — | — | 265 | ||||||||||||||
Convertible debt | — | (1,032 | ) | — | — | (1,032 | ) | ||||||||||||
Repurchase of common stock | (272 | ) | (1,592 | ) | — | (11,973 | ) | (13,565 | ) | ||||||||||
Restricted stock unit withholdings | (9 | ) | (342 | ) | — | (146 | ) | (488 | ) | ||||||||||
Cash dividends declared ($1.26 per share of common stock) | — | — | — | (5,578 | ) | (5,578 | ) | ||||||||||||
Balance as of December 28, 2019 | 4,290 | $ | 25,261 | $ | (1,280 | ) | $ | 53,523 | $ | 77,504 |
Notes to Consolidated Financial Statements |
Note 1 : |
Financial Statements | Notes to Consolidated Financial Statements | 81 |
Financial Statements | Notes to Consolidated Financial Statements | 82 |
Financial Statements | Notes to Consolidated Financial Statements | 83 |
▪Level 1. Quoted prices in active markets for identical assets or liabilities. We evaluate security-specific market data when determining whether a market is active. |
Notes to | 84 |
Financial Statements | Notes to Consolidated Financial Statements |
Financial Statements | Notes to Consolidated Financial Statements | 86 |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 and Thereafter | Total | |||||||||||||||||||||
Lease payments | $ | 178 | $ | 135 | $ | 97 | $ | 74 | $ | 54 | $ | 57 | $ | 595 | ||||||||||||||
Present value of lease payments | $ | 549 |
(In Millions) | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 and Thereafter | Total | |||||||||||||||||||||
Minimum rental commitments under all non-cancelable leases | $ | 229 | $ | 181 | $ | 133 | $ | 101 | $ | 70 | $ | 121 | $ | 835 |
▪historical results of operations from divested businesses; ▪results of operations of start-up businesses that support our initiatives; ▪amounts included within restructuring and other charges; ▪employee benefits, compensation, impairment charges, and other expenses not allocated to the operating segments (beginning the first quarter of 2022, this includes all of our stock-based compensation); and ▪acquisition-related costs, including amortization and any impairment of acquisition-related intangibles and goodwill. |
Financial Statements | Notes to Consolidated Financial Statements |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Operating segment revenue: | ||||||||||||||||||||
Client Computing | ||||||||||||||||||||
Desktop | $ | 10,661 | $ | 12,437 | $ | 11,179 | ||||||||||||||
Notebook | 18,783 | 25,443 | 24,897 | |||||||||||||||||
Other | 2,264 | 3,187 | 4,459 | |||||||||||||||||
31,708 | 41,067 | 40,535 | ||||||||||||||||||
Data Center and AI | 19,196 | 22,691 | 23,413 | |||||||||||||||||
Network and Edge | 8,873 | 7,976 | 7,132 | |||||||||||||||||
Mobileye | 1,869 | 1,386 | 967 | |||||||||||||||||
Accelerated Computing Systems and Graphics | 837 | 774 | 651 | |||||||||||||||||
Intel Foundry Services | 895 | 786 | 715 | |||||||||||||||||
All other | 196 | 5,019 | 5,091 | |||||||||||||||||
Total operating segment revenue | $ | 63,574 | $ | 79,699 | $ | 78,504 | ||||||||||||||
Operating income (loss): | ||||||||||||||||||||
Client Computing | $ | 6,266 | $ | 15,704 | $ | 15,800 | ||||||||||||||
Data Center and AI | 2,288 | 8,439 | 11,076 | |||||||||||||||||
Network and Edge | 740 | 1,711 | 846 | |||||||||||||||||
Mobileye | 690 | 554 | 323 | |||||||||||||||||
Accelerated Computing Systems and Graphics | (1,716) | (1,207) | (403) | |||||||||||||||||
Intel Foundry Services | (320) | (23) | 45 | |||||||||||||||||
All other | (5,614) | (5,722) | (4,009) | |||||||||||||||||
Total operating income | $ | 2,334 | $ | 19,456 | $ | 23,678 |
Total operating segment revenue | $ | 63,574 | $ | 79,699 | $ | 78,504 | ||||||||||||||
Less: Accelerated Computing Systems and Graphics intersegment revenue | (520) | (675) | (637) | |||||||||||||||||
Total net revenue | $ | 63,054 | $ | 79,024 | $ | 77,867 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Net revenue: | ||||||||||||
Data Center Group | ||||||||||||
Platform | $ | 21,441 | $ | 21,155 | $ | 17,439 | ||||||
Adjacent | 2,040 | 1,836 | 1,625 | |||||||||
23,481 | 22,991 | 19,064 | ||||||||||
Internet of Things | ||||||||||||
IOTG | 3,821 | 3,455 | 3,169 | |||||||||
Mobileye | 879 | 698 | 210 | |||||||||
4,700 | 4,153 | 3,379 | ||||||||||
Non-Volatile Memory Solutions Group | 4,362 | 4,307 | 3,520 | |||||||||
Programmable Solutions Group | 1,987 | 2,123 | 1,902 | |||||||||
Client Computing Group | ||||||||||||
Platform | 32,681 | 33,234 | 31,226 | |||||||||
Adjacent | 4,465 | 3,770 | 2,777 | |||||||||
37,146 | 37,004 | 34,003 | ||||||||||
All other | 289 | 270 | 893 | |||||||||
Total net revenue | $ | 71,965 | $ | 70,848 | $ | 62,761 | ||||||
Operating income (loss): | ||||||||||||
Data Center Group | $ | 10,227 | $ | 11,476 | $ | 8,395 | ||||||
Internet of Things | ||||||||||||
IOTG | 1,097 | 980 | 650 | |||||||||
Mobileye | 245 | 143 | (28 | ) | ||||||||
1,342 | 1,123 | 622 | ||||||||||
Non-Volatile Memory Solutions Group | (1,176 | ) | (5 | ) | (260 | ) | ||||||
Programmable Solutions Group | 318 | 466 | 458 | |||||||||
Client Computing Group | 15,202 | 14,222 | 12,919 | |||||||||
All other | (3,878 | ) | (3,966 | ) | (4,084 | ) | ||||||
Total operating income | $ | 22,035 | $ | 23,316 | $ | 18,050 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Platform revenue | ||||||||||||
DCG platform | $ | 21,441 | $ | 21,155 | $ | 17,439 | ||||||
IOTG platform | 3,440 | 3,065 | 2,645 | |||||||||
CCG desktop platform | 11,822 | 12,220 | 11,647 | |||||||||
CCG notebook platform | 20,779 | 20,930 | 19,414 | |||||||||
Other platform1 | 80 | 84 | 165 | |||||||||
57,562 | 57,454 | 51,310 | ||||||||||
Adjacent revenue2 | 14,403 | 13,394 | 10,917 | |||||||||
ISecG divested business | — | — | 534 | |||||||||
Total revenue | $ | 71,965 | $ | 70,848 | $ | 62,761 |
Financial Statements | Notes to Consolidated Financial Statements | 89 |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
China | $ | 17,125 | $ | 22,961 | $ | 20,257 | ||||||||||||||
Singapore | 9,664 | 18,096 | 17,845 | |||||||||||||||||
United States | 16,529 | 14,322 | 16,573 | |||||||||||||||||
Taiwan | 8,287 | 11,418 | 11,605 | |||||||||||||||||
Other regions | 11,449 | 12,227 | 11,587 | |||||||||||||||||
Total net revenue | $ | 63,054 | $ | 79,024 | $ | 77,867 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
China (including Hong Kong) | $ | 20,026 | $ | 18,824 | $ | 14,796 | ||||||
Singapore | 15,650 | 15,409 | 14,285 | |||||||||
United States | 15,617 | 14,303 | 12,543 | |||||||||
Taiwan | 10,058 | 10,646 | 10,518 | |||||||||
Other countries | 10,614 | 11,666 | 10,619 | |||||||||
Total net revenue | $ | 71,965 | $ | 70,848 | $ | 62,761 |
Note 4 : | Non-Controlling Interests |
Notes to Consolidated Financial Statements | 90 |
Note 5 : | Earnings Per Share |
Years Ended (In Millions, Except Per Share Amounts) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Net income | $ | 8,017 | $ | 19,868 | $ | 20,899 | ||||||||||||||
Less: Net income attributable to non-controlling interests | 3 | — | — | |||||||||||||||||
Net income attributable to Intel | $ | 8,014 | $ | 19,868 | $ | 20,899 | ||||||||||||||
Weighted average shares of common stock outstanding—basic | 4,108 | 4,059 | 4,199 | |||||||||||||||||
Dilutive effect of employee incentive plans | 15 | 31 | 33 | |||||||||||||||||
Weighted average shares of common stock outstanding—diluted | 4,123 | 4,090 | 4,232 | |||||||||||||||||
Earnings per share attributable to Intel—basic | $ | 1.95 | $ | 4.89 | $ | 4.98 | ||||||||||||||
Earnings per share attributable to Intel—diluted | $ | 1.94 | $ | 4.86 | $ | 4.94 |
Years Ended (In Millions, Except Per Share Amounts) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Net income available to common stockholders | $ | 21,048 | $ | 21,053 | $ | 9,601 | ||||||
Weighted average shares of common stock outstanding—Basic | 4,417 | 4,611 | 4,701 | |||||||||
Dilutive effect of employee incentive plans | 41 | 50 | 47 | |||||||||
Dilutive effect of convertible debt | 15 | 40 | 87 | |||||||||
Weighted average shares of common stock outstanding—Diluted | 4,473 | 4,701 | 4,835 | |||||||||
Earnings per share—Basic | $ | 4.77 | $ | 4.57 | $ | 2.04 | ||||||
Earnings per share—Diluted | $ | 4.71 | $ | 4.48 | $ | 1.99 |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Prepaid supply agreements | $ | 1,805 | $ | 2,587 | ||||
Other | 236 | 122 | ||||||
Total contract liabilities | $ | 2,041 | $ | 2,709 |
(In Millions) | ||||
Prepaid supply agreements balance as of December 29, 2018 | $ | 2,587 | ||
Prepaids utilized | (782 | ) | ||
Prepaid supply agreements balance as of December 28, 2019 | $ | 1,805 |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||
Raw materials | $ | 1,517 | $ | 1,441 | ||||||||||
Work in process | 7,565 | 6,656 | ||||||||||||
Finished goods | 4,142 | 2,679 | ||||||||||||
Total inventories | $ | 13,224 | $ | 10,776 |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||
Land and buildings | $ | 44,808 | $ | 40,039 | ||||||||||
Machinery and equipment | 92,711 | 86,955 | ||||||||||||
Construction in progress | 36,727 | 21,545 | ||||||||||||
Total property, plant and equipment, gross | 174,246 | 148,539 | ||||||||||||
Less: Accumulated depreciation | (93,386) | (85,294) | ||||||||||||
Total property, plant and equipment, net | $ | 80,860 | $ | 63,245 |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Raw materials | $ | 840 | $ | 813 | ||||
Work in process | 6,225 | 4,511 | ||||||
Finished goods | 1,679 | 1,929 | ||||||
Total inventories | $ | 8,744 | $ | 7,253 |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Land and buildings | $ | 37,743 | $ | 30,954 | ||||
Machinery and equipment | 74,901 | 66,721 | ||||||
Construction in progress | 16,063 | 16,643 | ||||||
Total property, plant and equipment, gross | 128,707 | 114,318 | ||||||
Less: accumulated depreciation | (73,321 | ) | (65,342 | ) | ||||
Total property, plant and equipment, net | $ | 55,386 | $ | 48,976 |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
United States | $ | 35,262 | $ | 27,512 | ||||
Israel | 8,463 | 8,861 | ||||||
China | 5,315 | 6,417 | ||||||
Ireland | 3,854 | 3,947 | ||||||
Other countries | 2,492 | 2,239 | ||||||
Total property, plant and equipment, net | $ | 55,386 | $ | 48,976 |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||||||||
United States | $ | 53,681 | $ | 43,428 | ||||||||||||||||
Ireland | 13,179 | 7,503 | ||||||||||||||||||
Israel | 7,908 | 7,754 | ||||||||||||||||||
Other countries | 6,092 | 4,560 | ||||||||||||||||||
Total property, plant and equipment, net | $ | 80,860 | $ | 63,245 |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Non-current deferred tax assets | $ | 1,209 | $ | 1,122 | ||||
Pre-payments for property, plant and equipment | 1,641 | 1,507 | ||||||
Loans receivable | 554 | 479 | ||||||
Other | 2,149 | 1,313 | ||||||
Total other long-term assets | $ | 5,553 | $ | 4,421 |
Financial Statements | Notes to Consolidated Financial Statements | 92 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Interest income | $ | 483 | $ | 438 | $ | 441 | ||||||
Interest expense | (489 | ) | (468 | ) | (646 | ) | ||||||
Other, net | 490 | 156 | (144 | ) | ||||||||
Total interest and other, net | $ | 484 | $ | 126 | $ | (349 | ) |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Interest income | $ | 589 | $ | 144 | $ | 272 | ||||||||||||||
Interest expense | (496) | (597) | (629) | |||||||||||||||||
Other, net | 1,073 | (29) | (147) | |||||||||||||||||
Total interest and other, net | $ | 1,166 | $ | (482) | $ | (504) |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
2019 Restructuring Program | $ | 393 | $ | — | $ | — | ||||||
2016 Restructuring Program | — | (72 | ) | 135 | ||||||||
ISecG separation costs and other charges | — | — | 249 | |||||||||
Total restructuring and other charges | $ | 393 | $ | (72 | ) | $ | 384 |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Employee severance and benefit arrangements | $ | 1,038 | $ | 48 | $ | 124 | ||||||||||||||
Litigation charges and other | (1,187) | 2,291 | 67 | |||||||||||||||||
Asset impairment charges | 151 | 287 | 7 | |||||||||||||||||
Total restructuring and other charges | $ | 2 | $ | 2,626 | $ | 198 |
Years Ended (In Millions) | Dec 28, 2019 | |||
Employee severance and benefit arrangements | $ | 280 | ||
Asset impairment and other charges | 113 | |||
Total restructuring and other charges | $ | 393 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Income before taxes: | ||||||||||||
U.S. | $ | 13,729 | $ | 14,753 | $ | 11,141 | ||||||
Non-U.S. | 10,329 | 8,564 | 9,211 | |||||||||
Total income before taxes | 24,058 | 23,317 | 20,352 | |||||||||
Provision for taxes: | ||||||||||||
Current: | ||||||||||||
Federal | 1,391 | 2,786 | 8,307 | |||||||||
State | 37 | (11 | ) | 27 | ||||||||
Non-U.S. | 1,060 | 1,097 | 899 | |||||||||
Total current provision for taxes | 2,488 | 3,872 | 9,233 | |||||||||
Deferred: | ||||||||||||
Federal | 597 | (1,389 | ) | 1,680 | ||||||||
Other | (75 | ) | (219 | ) | (162 | ) | ||||||
Total deferred provision for taxes | 522 | (1,608 | ) | 1,518 | ||||||||
Total provision for taxes | $ | 3,010 | $ | 2,264 | $ | 10,751 | ||||||
Effective tax rate | 12.5 | % | 9.7 | % | 52.8 | % |
Financial Statements | Notes to Consolidated Financial Statements |
Note 8 : | Income Taxes |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Income before taxes: | ||||||||||||||||||||
US | $ | (1,161) | $ | 9,361 | $ | 15,452 | ||||||||||||||
Non-US | 8,929 | 12,342 | 9,626 | |||||||||||||||||
Total income before taxes | 7,768 | 21,703 | 25,078 | |||||||||||||||||
Provision for (benefit from) taxes: | ||||||||||||||||||||
Current: | ||||||||||||||||||||
Federal | 4,106 | 1,304 | 1,120 | |||||||||||||||||
State | 68 | 75 | 46 | |||||||||||||||||
Non-US | 735 | 1,198 | 1,244 | |||||||||||||||||
Total current provision for (benefit from) taxes | 4,909 | 2,577 | 2,410 | |||||||||||||||||
Deferred: | ||||||||||||||||||||
Federal | (5,806) | (863) | 1,369 | |||||||||||||||||
State | (40) | (25) | 25 | |||||||||||||||||
Non-US | 688 | 146 | 375 | |||||||||||||||||
Total deferred provision for (benefit from) taxes | (5,158) | (742) | 1,769 | |||||||||||||||||
Total provision for (benefit from) taxes | $ | (249) | $ | 1,835 | $ | 4,179 | ||||||||||||||
Effective tax rate | (3.2) | % | 8.5 | % | 16.7 | % |
Years Ended | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | ||||||
Statutory federal income tax rate | 21.0 | % | 21.0 | % | 35.0 | % | |||
Increase (reduction) in rate resulting from: | |||||||||
Non-U.S. income taxed at different rates | (3.7 | ) | (3.6 | ) | (7.6 | ) | |||
Research and development tax credits | (2.3 | ) | (2.7 | ) | (2.3 | ) | |||
Domestic manufacturing deduction benefit | — | — | (1.3 | ) | |||||
Foreign derived intangible income benefit | (3.2 | ) | (3.7 | ) | — | ||||
Tax Reform | — | (1.3 | ) | 26.8 | |||||
ISecG divestiture | — | — | 3.3 | ||||||
Other | 0.7 | (0.1 | ) | (1.1 | ) | ||||
Effective tax rate | 12.5 | % | 9.7 | % | 52.8 | % |
Years Ended | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Statutory federal income tax rate | 21.0 | % | 21.0 | % | 21.0 | % | ||||||||||||||
Increase (reduction) in rate resulting from: | ||||||||||||||||||||
Non-US income taxed at different rates | (13.4) | (5.9) | (3.7) | |||||||||||||||||
Research and development tax credits | (11.4) | (2.4) | (2.1) | |||||||||||||||||
Foreign derived intangible income benefit | (9.7) | (2.2) | (1.9) | |||||||||||||||||
Unrecognized tax benefits and settlements | 4.5 | 1.1 | 0.6 | |||||||||||||||||
Restructuring of certain non-US subsidiaries | — | (3.4) | — | |||||||||||||||||
Change in permanent reinvestment assertion | — | — | 1.6 | |||||||||||||||||
Other | 5.8 | 0.3 | 1.2 | |||||||||||||||||
Effective tax rate | (3.2) | % | 8.5 | % | 16.7 | % |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Deferred tax assets: | ||||||||
Accrued compensation and other benefits | $ | 740 | $ | 570 | ||||
Share-based compensation | 294 | 273 | ||||||
Inventory | 760 | 517 | ||||||
State credits and net operating losses | 1,511 | 1,297 | ||||||
Other, net | 515 | 512 | ||||||
Gross deferred tax assets | 3,820 | 3,169 | ||||||
Valuation allowance | (1,534 | ) | (1,302 | ) | ||||
Total deferred tax assets | 2,286 | 1,867 | ||||||
Deferred tax liabilities: | ||||||||
Property, plant and equipment | (1,807 | ) | (878 | ) | ||||
Licenses and intangibles | (720 | ) | (744 | ) | ||||
Convertible debt | (88 | ) | (204 | ) | ||||
Unrealized gains on investments and derivatives | (292 | ) | (266 | ) | ||||
Other, net | (214 | ) | (318 | ) | ||||
Total deferred tax liabilities | (3,121 | ) | (2,410 | ) | ||||
Net deferred tax assets (liabilities) | $ | (835 | ) | $ | (543 | ) | ||
Reported as: | ||||||||
Deferred tax assets | 1,209 | 1,122 | ||||||
Deferred tax liabilities | (2,044 | ) | (1,665 | ) | ||||
Net deferred tax assets (liabilities) | $ | (835 | ) | $ | (543 | ) |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||
Deferred tax assets: | ||||||||||||||
R&D expenditures capitalization | $ | 5,067 | $ | 519 | ||||||||||
State credits and net operating losses | 2,259 | 2,010 | ||||||||||||
Inventory | 1,788 | 914 | ||||||||||||
Accrued compensation and other benefits | 1,031 | 1,019 | ||||||||||||
Share-based compensation | 557 | 477 | ||||||||||||
Litigation charge | 470 | 467 | ||||||||||||
Other, net | 709 | 819 | ||||||||||||
Gross deferred tax assets | 11,881 | 6,225 | ||||||||||||
Valuation allowance | (2,586) | (2,259) | ||||||||||||
Total deferred tax assets | 9,295 | 3,966 | ||||||||||||
Deferred tax liabilities: | ||||||||||||||
Property, plant and equipment | (4,776) | (4,213) | ||||||||||||
Licenses and intangibles | (386) | (486) | ||||||||||||
Unrealized gains on investments and derivatives | (415) | (819) | ||||||||||||
Other, net | (470) | (241) | ||||||||||||
Total deferred tax liabilities | (6,047) | (5,759) | ||||||||||||
Net deferred tax assets (liabilities) | $ | 3,248 | $ | (1,793) | ||||||||||
Reported as: | ||||||||||||||
Deferred tax assets | 3,450 | 874 | ||||||||||||
Deferred tax liabilities | (202) | (2,667) | ||||||||||||
Net deferred tax assets (liabilities) | $ | 3,248 | $ | (1,793) |
Years Ended (In Millions) | Balance at Beginning of Year | Additions Charged to Expenses/ Other Accounts | Net (Deductions) Recoveries | Balance at End of Year | ||||||||||||
Valuation allowance for deferred tax assets | ||||||||||||||||
December 28, 2019 | $ | 1,302 | $ | 239 | $ | (7 | ) | $ | 1,534 | |||||||
December 29, 2018 | $ | 1,171 | $ | 185 | $ | (54 | ) | $ | 1,302 | |||||||
December 30, 2017 | $ | 953 | $ | 237 | $ | (19 | ) | $ | 1,171 |
Years Ended (In Millions) | Balance at Beginning of Year | Additions Charged to Expenses/ Other Accounts | Net (Deductions) Recoveries | Balance at End of Year | ||||||||||||||||||||||
Valuation allowance for deferred tax assets | ||||||||||||||||||||||||||
December 31, 2022 | $ | 2,259 | $ | 401 | $ | (74) | $ | 2,586 | ||||||||||||||||||
December 25, 2021 | $ | 1,963 | $ | 442 | $ | (146) | $ | 2,259 | ||||||||||||||||||
December 26, 2020 | $ | 1,534 | $ | 378 | $ | 51 | $ | 1,963 |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Beginning gross unrecognized tax benefits | $ | 1,020 | $ | 828 | $ | 548 | ||||||||||||||
Settlements and effective settlements with tax authorities | (18) | (25) | (142) | |||||||||||||||||
Changes in balances related to tax position taken during prior periods | (120) | (26) | 165 | |||||||||||||||||
Changes in balances related to tax position taken during current period | 347 | 243 | 257 | |||||||||||||||||
Ending gross unrecognized tax benefits | $ | 1,229 | $ | 1,020 | $ | 828 |
December 28, 2019 | December 29, 2018 | |||||||||||||||||||||||||||||||
(In Millions) | Adjusted Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | Adjusted Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||||||||||||||
Corporate debt | $ | 2,914 | $ | 44 | $ | — | $ | 2,958 | $ | 3,068 | $ | 2 | $ | (28 | ) | $ | 3,042 | |||||||||||||||
Financial institution instruments | 3,007 | 15 | (1 | ) | 3,021 | 3,076 | 3 | (11 | ) | 3,068 | ||||||||||||||||||||||
Government debt | 560 | 4 | — | 564 | 1,069 | 1 | (9 | ) | 1,061 | |||||||||||||||||||||||
Total available-for-sale debt investments | $ | 6,481 | $ | 63 | $ | (1 | ) | $ | 6,543 | $ | 7,213 | $ | 6 | $ | (48 | ) | $ | 7,171 |
(In Millions) | Fair Value | |||||||
Due in 1 year or less | $ | 12,680 | ||||||
Due in 1–2 years | 1,844 | |||||||
Due in 2–5 years | 4,139 | |||||||
Due after 5 years | 665 | |||||||
Instruments not due at a single maturity date | 7,095 | |||||||
Total | $ | 26,423 |
Financial Statements | Notes to Consolidated Financial Statements | 96 |
(In Millions) | Fair Value | |||
Due in 1 year or less | $ | 2,203 | ||
Due in 1–2 years | 1,065 | |||
Due in 2–5 years | 2,171 | |||
Due after 5 years | 40 | |||
Instruments not due at a single maturity date | 1,064 | |||
Total | $ | 6,543 |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | (In Millions) | Dec 31, 2022 | Dec 25, 2021 | |||||||||||||||||
Marketable equity securities | $ | 450 | $ | 1,440 | ||||||||||||||||||
Marketable equity securities1 | Marketable equity securities1 | $ | 1,341 | $ | 2,171 | |||||||||||||||||
Non-marketable equity securities | 3,480 | 2,978 | Non-marketable equity securities | 4,561 | 4,111 | |||||||||||||||||
Equity method investments | 37 | 1,624 | Equity method investments | 10 | 16 | |||||||||||||||||
Total | $ | 3,967 | $ | 6,042 | Total | $ | 5,912 | $ | 6,298 |
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Ongoing mark-to-market adjustments on marketable equity securities | $ | (787) | $ | (130) | $ | (133) | ||||||||||||||
Observable price adjustments on non-marketable equity securities | 299 | 750 | 176 | |||||||||||||||||
Impairment charges | (190) | (154) | (303) | |||||||||||||||||
Sale of equity investments and other 1 | 4,946 | 2,263 | 2,164 | |||||||||||||||||
Total gains (losses) on equity investments, net | $ | 4,268 | $ | 2,729 | $ | 1,904 |
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Ongoing mark-to-market adjustments on marketable equity securities1 | $ | 277 | $ | (129 | ) | — | ||||||
Observable price adjustments on non-marketable equity securities1 | 293 | 202 | — | |||||||||
Impairment charges | (122 | ) | (424 | ) | (833 | ) | ||||||
Sale of equity investments and other 2 | 1,091 | 226 | 3,484 | |||||||||
Total gains (losses) on equity investments, net | $ | 1,539 | $ | (125 | ) | $ | 2,651 |
Sale of equity investments and other includes |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Net gains (losses) recognized during the period on equity securities | $ | 734 | $ | 298 | ||||
Less: Net (gains) losses recognized during the period on equity securities sold during the period | (424 | ) | (445 | ) | ||||
Unrealized gains (losses) recognized during the period on equity securities still held at the reporting date | $ | 310 | $ | (147 | ) |
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||||||||||||||||||||
Net unrealized gains (losses) recognized during the period on equity securities | $ | (314) | $ | 1,210 | $ | 1,679 | |||||||||||||||||
Less: Net (gains) losses recognized during the period on equity securities sold during the period | 1 | (259) | (254) | ||||||||||||||||||||
Net unrealized gains (losses) recognized during the period on equity securities still held at the reporting date | $ | (313) | $ | 951 | $ | 1,425 |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | Dec 29, 2021 | |||||||
Inventories | $ | 941 | ||||||
Property, plant and equipment, net | 6,018 | |||||||
Total assets | $ | 6,959 |
Financial Statements | Notes to Consolidated Financial Statements | 98 |
Note 11 : | Goodwill |
(In Millions) | Dec 25, 2021 | Acquisitions | Other | Dec 31, 2022 | ||||||||||||||||||||||||||||
Client Computing | $ | 4,237 | $ | 17 | $ | — | $ | 4,254 | ||||||||||||||||||||||||
Data Center and AI | 8,595 | 418 | — | 9,013 | ||||||||||||||||||||||||||||
Network and Edge | 2,774 | 35 | — | 2,809 | ||||||||||||||||||||||||||||
Mobileye | 10,928 | — | (9) | 10,919 | ||||||||||||||||||||||||||||
Accelerated Computing Systems and Graphics | 429 | 167 | — | 596 | ||||||||||||||||||||||||||||
All other | — | — | — | — | ||||||||||||||||||||||||||||
Total | $ | 26,963 | $ | 637 | $ | (9) | $ | 27,591 |
(In Millions) | Dec 26, 2020 | Acquisitions | Other | Dec 25, 2021 | ||||||||||||||||||||||||||||
Client Computing | $ | 4,164 | $ | 73 | $ | — | $ | 4,237 | ||||||||||||||||||||||||
Data Center and AI | 8,476 | 85 | 34 | 8,595 | ||||||||||||||||||||||||||||
Network and Edge | 2,774 | — | — | 2,774 | ||||||||||||||||||||||||||||
Mobileye | 10,928 | — | — | 10,928 | ||||||||||||||||||||||||||||
Accelerated Computing Systems and Graphics | 391 | 38 | — | 429 | ||||||||||||||||||||||||||||
All other | 238 | — | (238) | — | ||||||||||||||||||||||||||||
Total | $ | 26,971 | $ | 196 | $ | (204) | $ | 26,963 |
(In Millions) | Dec 25, 2021 | Transfers Out | Transfers In | Dec 25, 2021 | ||||||||||||||||||||||||||||
Client Computing | $ | 4,433 | $ | (275) | $ | 79 | $ | 4,237 | ||||||||||||||||||||||||
Data Center Group | 7,355 | (7,355) | — | — | ||||||||||||||||||||||||||||
Data Center and AI | — | — | 8,595 | 8,595 | ||||||||||||||||||||||||||||
Internet of Things Group | 1,591 | (1,591) | — | — | ||||||||||||||||||||||||||||
Network and Edge | — | — | 2,774 | 2,774 | ||||||||||||||||||||||||||||
Mobileye | 10,928 | — | — | 10,928 | ||||||||||||||||||||||||||||
Accelerated Computing Systems and Graphics | — | — | 429 | 429 | ||||||||||||||||||||||||||||
Programmable Solutions Group | 2,656 | (2,656) | — | — | ||||||||||||||||||||||||||||
Total | $ | 26,963 | $ | (11,877) | $ | 11,877 | $ | 26,963 |
(In Millions) | Dec 29, 2018 | Acquisitions | Transfers | Other | Dec 28, 2019 | |||||||||||||||
Data Center Group | $ | 5,424 | $ | 1,758 | $ | — | $ | — | $ | 7,155 | ||||||||||
Internet of Things Group | 1,579 | — | — | — | 1,579 | |||||||||||||||
Mobileye | 10,290 | — | — | — | 10,290 | |||||||||||||||
Programmable Solutions Group | 2,579 | 67 | — | 8 | 2,681 | |||||||||||||||
Client Computing Group | 4,403 | — | — | (70 | ) | 4,333 | ||||||||||||||
All other | 238 | — | — | — | 238 | |||||||||||||||
Total | $ | 24,513 | $ | 1,825 | $ | — | $ | (62 | ) | $ | 26,276 |
(In Millions) | Dec 30, 2017 | Acquisitions | Transfers | Other | Dec 29, 2018 | |||||||||||||||
Data Center Group | $ | 5,421 | $ | 3 | $ | — | $ | — | $ | 5,424 | ||||||||||
Internet of Things Group | 1,126 | 16 | 480 | (43 | ) | 1,579 | ||||||||||||||
Mobileye | 10,278 | 7 | — | 5 | 10,290 | |||||||||||||||
Programmable Solutions Group | 2,490 | 89 | — | — | 2,579 | |||||||||||||||
Client Computing Group | 4,356 | 47 | — | — | 4,403 | |||||||||||||||
All other | 718 | — | (480) | — | 238 | |||||||||||||||
Total | $ | 24,389 | $ | 162 | $ | — | $ | (38 | ) | $ | 24,513 |
Financial Statements | Notes to Consolidated Financial Statements |
December 31, 2022 | December 25, 2021 | |||||||||||||||||||||||||||||||||||||
(In Millions) | Gross Assets | Accumulated Amortization | Net | Gross Assets | Accumulated Amortization | Net | ||||||||||||||||||||||||||||||||
Developed technology | $ | 10,964 | $ | (7,216) | $ | 3,748 | $ | 11,102 | $ | (6,026) | $ | 5,076 | ||||||||||||||||||||||||||
Customer relationships and brands | 1,986 | (1,114) | 872 | 2,110 | (1,063) | 1,047 | ||||||||||||||||||||||||||||||||
Licensed technology and patents | 3,219 | (1,821) | 1,398 | 2,893 | (1,746) | 1,147 | ||||||||||||||||||||||||||||||||
Total identified intangible assets | $ | 16,169 | $ | (10,151) | $ | 6,018 | $ | 16,105 | $ | (8,835) | $ | 7,270 |
December 28, 2019 | December 29, 2018 | |||||||||||||||||||||||
(In Millions) | Gross Assets | Accumulated Amortization | Net | Gross Assets | Accumulated Amortization | Net | ||||||||||||||||||
Developed technology | $ | 9,407 | $ | (3,801 | ) | $ | 5,606 | $ | 9,611 | $ | (3,021 | ) | $ | 6,590 | ||||||||||
Customer relationships and brands | 2,160 | (708 | ) | 1,452 | 2,179 | (527 | ) | 1,652 | ||||||||||||||||
Licensed technology and patents | 2,975 | (1,455 | ) | 1,520 | 2,932 | (1,406 | ) | 1,526 | ||||||||||||||||
In-process R&D | 1,664 | — | 1,664 | 1,497 | — | 1,497 | ||||||||||||||||||
Other non-amortizing intangibles | 585 | — | 585 | 571 | — | 571 | ||||||||||||||||||
Total identified intangible assets | $ | 16,791 | $ | (5,964 | ) | $ | 10,827 | $ | 16,790 | $ | (4,954 | ) | $ | 11,836 |
Years Ended (In Millions) | Location | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | Weighted Average Useful Life1 | |||||||||||||||||||||||||||
Developed technology | Cost of sales | $ | 1,341 | $ | 1,283 | $ | 1,211 | 9 years | ||||||||||||||||||||||||
Customer relationships and brands | Marketing, general and administrative | 185 | 209 | 205 | 12 years | |||||||||||||||||||||||||||
Licensed technology and patents | Cost of sales | 381 | 347 | 341 | 12 years | |||||||||||||||||||||||||||
Total amortization expenses | $ | 1,907 | $ | 1,839 | $ | 1,757 |
Years Ended (In Millions) | Location | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | Weighted Average Useful Life1 | |||||||||||
Developed technology | Cost of sales | $ | 1,124 | $ | 1,105 | $ | 912 | 9 years | ||||||||
Customer relationships and brands | Amortization of acquisition-related intangibles | 200 | 200 | 177 | 11 years | |||||||||||
Licensed technology and patents | Cost of sales | 298 | 260 | 288 | 12 years | |||||||||||
Total amortization expenses | $ | 1,622 | $ | 1,565 | $ | 1,377 |
2020 | 2021 | 2022 | 2023 | 2024 | Thereafter | Total | ||||||||||||||||||||||
Future amortization expenses | $ | 1,652 | $ | 1,567 | $ | 1,443 | $ | 1,344 | $ | 996 | $ | 1,576 | $ | 8,578 |
(In Millions) | 2023 | 2024 | 2025 | 2026 | 2027 | Thereafter | Total | |||||||||||||||||||||||||||||||||||||
Future amortization expenses | $ | 1,730 | $ | 1,297 | $ | 883 | $ | 680 | $ | 511 | $ | 917 | $ | 6,018 |
Financial Statements | Notes to Consolidated Financial Statements |
Dec 28, 2019 | Dec 29, 2018 | |||||||||
(In Millions) | Effective Interest Rate | Amount | Amount | |||||||
Floating-rate senior notes: | ||||||||||
Three-month LIBOR plus 0.08%, due May 2020 | 2.56% | $ | 700 | $ | 700 | |||||
Three-month LIBOR plus 0.35%, due May 2022 | 2.82% | 800 | 800 | |||||||
Fixed-rate senior notes: | ||||||||||
3.25%, due December 20191 | —% | — | 177 | |||||||
1.85%, due May 2020 | 1.89% | 1,000 | 1,000 | |||||||
2.45%, due July 2020 | 2.49% | 1,750 | 1,750 | |||||||
1.70%, due May 2021 | 1.79% | 500 | 500 | |||||||
3.30%, due October 2021 | 3.71% | 2,000 | 2,000 | |||||||
2.35%, due May 2022 | 2.74% | 750 | 750 | |||||||
3.10%, due July 2022 | 3.50% | 1,000 | 1,000 | |||||||
4.00%, due December 20221 | 2.97% | 382 | 389 | |||||||
2.70%, due December 2022 | 3.09% | 1,500 | 1,500 | |||||||
4.10%, due November 2023 | 3.22% | 400 | 400 | |||||||
2.88%, due May 2024 | 3.07% | 1,250 | 1,250 | |||||||
2.70%, due June 2024 | 2.84% | 600 | 600 | |||||||
3.70%, due July 2025 | 4.44% | 2,250 | 2,250 | |||||||
2.60%, due May 2026 | 2.91% | 1,000 | 1,000 | |||||||
3.15%, due May 2027 | 3.48% | 1,000 | 1,000 | |||||||
2.45%, due November 2029 | 2.48% | 1,250 | — | |||||||
4.00%, due December 2032 | 3.56% | 750 | 750 | |||||||
4.80%, due October 2041 | 4.31% | 802 | 802 | |||||||
4.25%, due December 2042 | 3.74% | 567 | 567 | |||||||
4.90%, due July 2045 | 4.41% | 772 | 772 | |||||||
4.70%, due December 2045 | —% | — | 915 | |||||||
4.10%, due May 2046 | 3.68% | 1,250 | 1,250 | |||||||
4.10%, due May 2047 | 3.64% | 1,000 | 1,000 | |||||||
4.10%, due August 2047 | 3.20% | 640 | 640 | |||||||
3.73%, due December 2047 | 4.07% | 1,967 | 1,967 | |||||||
3.25%, due November 2049 | 3.26% | 1,500 | — | |||||||
Oregon and Arizona bonds: | ||||||||||
2.40% - 2.70%, due December 2035 - 2040 | 2.48% | 423 | 423 | |||||||
5.00%, due March 2049 | 2.88% | 138 | — | |||||||
5.00%, due June 2049 | 2.48% | 438 | — | |||||||
Junior subordinated convertible debentures: | ||||||||||
3.25%, due August 20392 | 3.37% | 372 | 988 | |||||||
Total senior notes and other borrowings | 28,751 | 27,140 | ||||||||
Unamortized premium/discount and issuance costs | (529 | ) | (891 | ) | ||||||
Hedge accounting fair value adjustments | 781 | (390 | ) | |||||||
Long-term debt | 29,003 | 25,859 | ||||||||
Current portion of long-term debt | (3,695 | ) | (761 | ) | ||||||
Total long-term debt | $ | 25,308 | $ | 25,098 |
Dec 31, 2022 | Dec 25, 2021 | |||||||||||||||||||||||||||||||||||||
(In Millions) | Effective Interest Rate | Amount | Amount | |||||||||||||||||||||||||||||||||||
Floating-rate senior note: | ||||||||||||||||||||||||||||||||||||||
Three-month LIBOR plus 0.35%, due May 2022 | —% | $ | — | $ | 800 | |||||||||||||||||||||||||||||||||
Fixed-rate senior notes: | ||||||||||||||||||||||||||||||||||||||
2.35%, due May 2022 | —% | — | 750 | |||||||||||||||||||||||||||||||||||
3.10%, due July 2022 | —% | — | 1,000 | |||||||||||||||||||||||||||||||||||
4.00%, due December 2022 | —% | — | 398 | |||||||||||||||||||||||||||||||||||
2.70%, due December 2022 | —% | — | 1,500 | |||||||||||||||||||||||||||||||||||
4.10%, due November 2023 | —% | — | 400 | |||||||||||||||||||||||||||||||||||
2.88%, due May 2024 | 2.34% | 1,250 | 1,250 | |||||||||||||||||||||||||||||||||||
2.70%, due June 2024 | 2.14% | 600 | 600 | |||||||||||||||||||||||||||||||||||
3.40%, due March 2025 | 3.44% | 1,500 | 1,500 | |||||||||||||||||||||||||||||||||||
3.70%, due July 2025 | 3.83% | 2,250 | 2,250 | |||||||||||||||||||||||||||||||||||
2.60%, due May 2026 | 2.25% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
3.75%, due March 2027 | 3.78% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
3.15%, due May 2027 | 2.84% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
3.75%, due August 2027 | 3.80% | 1,250 | — | |||||||||||||||||||||||||||||||||||
1.60%, due August 2028 | 1.67% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
4.00%, due August 2029 | 4.05% | 850 | — | |||||||||||||||||||||||||||||||||||
2.45%, due November 2029 | 2.38% | 2,000 | 2,000 | |||||||||||||||||||||||||||||||||||
3.90%, due March 2030 | 3.92% | 1,500 | 1,500 | |||||||||||||||||||||||||||||||||||
2.00%, due August 2031 | 2.02% | 1,250 | 1,250 | |||||||||||||||||||||||||||||||||||
4.15%, due August 2032 | 4.17% | 1,250 | — | |||||||||||||||||||||||||||||||||||
4.00%, due December 2032 | 2.20% | 750 | 750 | |||||||||||||||||||||||||||||||||||
4.60%, due March 2040 | 4.59% | 750 | 750 | |||||||||||||||||||||||||||||||||||
2.80%, due August 2041 | 2.81% | 750 | 750 | |||||||||||||||||||||||||||||||||||
4.80%, due October 2041 | 3.70% | 802 | 802 | |||||||||||||||||||||||||||||||||||
4.25%, due December 2042 | 2.32% | 567 | 567 | |||||||||||||||||||||||||||||||||||
4.90%, due July 2045 | 3.80% | 772 | 772 | |||||||||||||||||||||||||||||||||||
4.10%, due May 2046 | 3.03% | 1,250 | 1,250 | |||||||||||||||||||||||||||||||||||
4.10%, due May 2047 | 3.00% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
4.10%, due August 2047 | 2.54% | 640 | 640 | |||||||||||||||||||||||||||||||||||
3.73%, due December 2047 | 3.31% | 1,967 | 1,967 | |||||||||||||||||||||||||||||||||||
3.25%, due November 2049 | 3.19% | 2,000 | 2,000 | |||||||||||||||||||||||||||||||||||
4.75%, due March 2050 | 4.73% | 2,250 | 2,250 | |||||||||||||||||||||||||||||||||||
3.05%, due August 2051 | 3.06% | 1,250 | 1,250 | |||||||||||||||||||||||||||||||||||
4.90%, due August 2052 | 4.88% | 1,750 | — | |||||||||||||||||||||||||||||||||||
3.10%, due February 2060 | 3.10% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
4.95%, due March 2060 | 4.98% | 1,000 | 1,000 | |||||||||||||||||||||||||||||||||||
3.20%, due August 2061 | 3.20% | 750 | 750 | |||||||||||||||||||||||||||||||||||
5.05%, due August 2062 | 5.03% | 900 | — |
Financial Statements | Notes to Consolidated Financial Statements |
Dec 31, 2022 | Dec 25, 2021 | |||||||||||||||||||||||||
(In Millions) | Effective Interest Rate | Amount | Amount | |||||||||||||||||||||||
Oregon and Arizona bonds: | ||||||||||||||||||||||||||
2.40% - 2.70%, due December 2035 - 2040 | 2.49% | $ | 423 | $ | 423 | |||||||||||||||||||||
5.00%, due September 2042 | 3.41% | 131 | — | |||||||||||||||||||||||
5.00%, due March 2049 | —% | — | 138 | |||||||||||||||||||||||
5.00%, due June 2049 | 2.15% | 438 | 438 | |||||||||||||||||||||||
5.00%, due September 2052 | 3.17% | 445 | — | |||||||||||||||||||||||
Total senior notes and other borrowings | 39,285 | 37,695 | ||||||||||||||||||||||||
Unamortized premium/discount and issuance costs | (417) | (405) | ||||||||||||||||||||||||
Hedge accounting fair value adjustments | (761) | 811 | ||||||||||||||||||||||||
Long-term debt | 38,107 | 38,101 | ||||||||||||||||||||||||
Current portion of long-term debt | (423) | (4,591) | ||||||||||||||||||||||||
Total long-term debt | $ | 37,684 | $ | 33,510 |
2009 Debentures | ||||||||
(In Millions, Except Per Share Amounts) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Outstanding principal | $ | 372 | $ | 988 | ||||
Unamortized discount1 | $ | 155 | $ | 419 | ||||
Net debt carrying amount | $ | 217 | $ | 569 | ||||
Conversion rate (shares of common stock per $1,000 principal amount of debentures) | 49.69 | 49.01 | ||||||
Effective conversion price (per share of common stock) | $ | 20.13 | $ | 20.40 |
(In Millions) | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 and thereafter | Total | |||||||||||||||||||||
$ | 3,450 | $ | 2,500 | $ | 4,432 | $ | 400 | $ | 1,850 | $ | 16,119 | $ | 28,751 |
(In Millions) | 2023 | 2024 | 2025 | 2026 | 2027 | 2028 and thereafter | Total | |||||||||||||||||||||||||||||||||||||
$ | 423 | $ | 2,288 | $ | 3,750 | $ | 1,000 | $ | 3,826 | $ | 27,998 | $ | 39,285 |
Financial Statements | Notes to Consolidated Financial Statements |
December 28, 2019 | December 29, 2018 | |||||||||||||||||||||||||||||||
Fair Value Measured and Recorded at Reporting Date Using | Total | Fair Value Measured and Recorded at Reporting Date Using | Total | |||||||||||||||||||||||||||||
(In Millions) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Cash equivalents: | ||||||||||||||||||||||||||||||||
Corporate debt | $ | — | $ | 713 | $ | — | $ | 713 | $ | — | $ | 262 | $ | — | $ | 262 | ||||||||||||||||
Financial institution instruments1 | 1,064 | 408 | — | 1,472 | 550 | 183 | — | 733 | ||||||||||||||||||||||||
Reverse repurchase agreements | — | 1,500 | — | 1,500 | — | 1,850 | — | 1,850 | ||||||||||||||||||||||||
Short-term investments: | ||||||||||||||||||||||||||||||||
Corporate debt | — | 347 | — | 347 | — | 937 | — | 937 | ||||||||||||||||||||||||
Financial institution instruments1 | — | 724 | — | 724 | — | 1,423 | — | 1,423 | ||||||||||||||||||||||||
Government debt2 | — | 11 | — | 11 | — | 428 | — | 428 | ||||||||||||||||||||||||
Trading assets: | ||||||||||||||||||||||||||||||||
Corporate debt | — | 2,848 | — | 2,848 | — | 2,635 | — | 2,635 | ||||||||||||||||||||||||
Financial institution instruments1 | 87 | 1,578 | — | 1,665 | 67 | 1,273 | — | 1,340 | ||||||||||||||||||||||||
Government debt2 | — | 3,334 | — | 3,334 | — | 1,868 | — | 1,868 | ||||||||||||||||||||||||
Other current assets: | ||||||||||||||||||||||||||||||||
Derivative assets | 50 | 230 | — | 280 | — | 180 | — | 180 | ||||||||||||||||||||||||
Loans receivable3 | — | — | — | — | — | 354 | — | 354 | ||||||||||||||||||||||||
Marketable equity securities | 450 | — | — | 450 | 1,440 | — | — | 1,440 | ||||||||||||||||||||||||
Other long-term investments: | ||||||||||||||||||||||||||||||||
Corporate debt | — | 1,898 | — | 1,898 | — | 1,843 | — | 1,843 | ||||||||||||||||||||||||
Financial institution instruments1 | — | 825 | — | 825 | — | 912 | — | 912 | ||||||||||||||||||||||||
Government debt2 | — | 553 | — | 553 | — | 633 | — | 633 | ||||||||||||||||||||||||
Other long-term assets: | ||||||||||||||||||||||||||||||||
Derivative assets | — | 690 | 16 | 706 | — | 100 | — | 100 | ||||||||||||||||||||||||
Loans receivable3 | — | 554 | — | 554 | — | 229 | — | 229 | ||||||||||||||||||||||||
Total assets measured and recorded at fair value | $ | 1,651 | $ | 16,213 | $ | 16 | $ | 17,880 | $ | 2,057 | $ | 15,110 | $ | — | $ | 17,167 | ||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||
Other accrued liabilities: | ||||||||||||||||||||||||||||||||
Derivative liabilities | $ | 3 | $ | 287 | $ | — | $ | 290 | $ | — | $ | 412 | $ | — | $ | 412 | ||||||||||||||||
Other long-term liabilities: | ||||||||||||||||||||||||||||||||
Derivative liabilities | — | 13 | — | 13 | — | 415 | 68 | 483 | ||||||||||||||||||||||||
Total liabilities measured and recorded at fair value | $ | 3 | $ | 300 | $ | — | $ | 303 | $ | — | $ | 827 | $ | 68 | $ | 895 |
Financial Statements | Notes to Consolidated Financial Statements | 103 |
(In Millions) | Unrealized Holding Gains (Losses) on Available-for-Sale Equity Investments | Unrealized Holding Gains (Losses) on Derivatives | Actuarial Valuation and Other Pension Expenses | Translation Adjustments and Other | Total | |||||||||||||||
December 31, 2016 | $ | 2,179 | $ | (259 | ) | $ | (1,280 | ) | $ | (534 | ) | $ | 106 | |||||||
Other comprehensive income (loss) before reclassifications | 2,765 | 605 | 275 | (2 | ) | 3,643 | ||||||||||||||
Amounts reclassified out of accumulated other comprehensive income (loss) | (3,433 | ) | (69 | ) | 103 | 509 | (2,890 | ) | ||||||||||||
Tax effects | 234 | (171 | ) | (61 | ) | 1 | 3 | |||||||||||||
Other comprehensive income (loss) | (434 | ) | 365 | 317 | 508 | 756 | ||||||||||||||
December 30, 2017 | 1,745 | 106 | (963 | ) | (26 | ) | 862 | |||||||||||||
Impact of change in accounting standards | (1,745 | ) | 24 | (65 | ) | (4 | ) | (1,790 | ) | |||||||||||
Opening Balance as of December 31, 2017 | — | 130 | (1,028 | ) | (30 | ) | (928 | ) | ||||||||||||
Other comprehensive income (loss) before reclassifications | — | (310 | ) | 157 | (16 | ) | (169 | ) | ||||||||||||
Amounts reclassified out of accumulated other comprehensive income (loss) | — | 9 | 109 | 8 | 126 | |||||||||||||||
Tax effects | — | 48 | (56 | ) | 5 | (3 | ) | |||||||||||||
Other comprehensive income (loss) | — | (253 | ) | 210 | (3 | ) | (46 | ) | ||||||||||||
December 29, 2018 | — | (123 | ) | (818 | ) | (33 | ) | (974 | ) | |||||||||||
Other comprehensive income (loss) before reclassifications | — | (11 | ) | (753 | ) | 109 | (655 | ) | ||||||||||||
Amounts reclassified out of accumulated other comprehensive income (loss) | — | 195 | 67 | (6 | ) | 256 | ||||||||||||||
Tax effects | — | (7 | ) | 122 | (22 | ) | 93 | |||||||||||||
Other comprehensive income (loss) | — | 177 | (564 | ) | 81 | (306 | ) | |||||||||||||
December 28, 2019 | $ | — | $ | 54 | $ | (1,382 | ) | $ | 48 | $ | (1,280 | ) |
(In Millions) | Unrealized Holding Gains (Losses) on Derivatives | Actuarial Valuation and Other Pension Expenses | Translation Adjustments and Other | Total | ||||||||||||||||||||||||||||||||||||||||
December 28, 2019 | $ | 54 | $ | (1,382) | $ | 48 | $ | (1,280) | ||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | 806 | (323) | 55 | 538 | ||||||||||||||||||||||||||||||||||||||||
Amounts reclassified out of accumulated other comprehensive income (loss) | (8) | 89 | (11) | 70 | ||||||||||||||||||||||||||||||||||||||||
Tax effects | (121) | 51 | (9) | (79) | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | 677 | (183) | 35 | 529 | ||||||||||||||||||||||||||||||||||||||||
December 26, 2020 | 731 | (1,565) | 83 | (751) | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | (434) | 476 | (58) | (16) | ||||||||||||||||||||||||||||||||||||||||
Amounts reclassified out of accumulated other comprehensive income (loss) | (226) | 101 | (19) | (144) | ||||||||||||||||||||||||||||||||||||||||
Tax effects | 140 | (126) | 17 | 31 | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | (520) | 451 | (60) | (129) | ||||||||||||||||||||||||||||||||||||||||
December 25, 2021 | 211 | (1,114) | 23 | (880) | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | (910) | 923 | (28) | (15) | ||||||||||||||||||||||||||||||||||||||||
Amounts reclassified out of accumulated other comprehensive income (loss) | 410 | 82 | (6) | 486 | ||||||||||||||||||||||||||||||||||||||||
Tax effects | (10) | (150) | 7 | (153) | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | (510) | 855 | (27) | 318 | ||||||||||||||||||||||||||||||||||||||||
December 31, 2022 | $ | (299) | $ | (259) | $ | (4) | $ | (562) | ||||||||||||||||||||||||||||||||||||
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||||||||||
Foreign currency contracts | $ | 23,981 | $ | 19,223 | $ | 19,958 | Foreign currency contracts | $ | 31,603 | $ | 38,024 | $ | 31,209 | |||||||||||||||||||
Interest rate contracts | 14,302 | 22,447 | 16,823 | Interest rate contracts | 16,011 | 15,209 | 14,461 | |||||||||||||||||||||||||
Other | 1,753 | 1,356 | 1,636 | Other | 2,094 | 2,517 | 2,026 | |||||||||||||||||||||||||
Total | $ | 40,036 | $ | 43,026 | $ | 38,417 | Total | $ | 49,708 | $ | 55,750 | $ | 47,696 |
December 31, 2022 | December 25, 2021 | |||||||||||||||||||||||||
(In Millions) | Assets1 | Liabilities2 | Assets1 | Liabilities2 | ||||||||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||||||||||
Foreign currency contracts3 | $ | 142 | $ | 290 | $ | 80 | $ | 163 | ||||||||||||||||||
Interest rate contracts | — | 777 | 774 | — | ||||||||||||||||||||||
Total derivatives designated as hedging instruments | 142 | 1,067 | 854 | 163 | ||||||||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||||||||||
Foreign currency contracts3 | 866 | 194 | 475 | 297 | ||||||||||||||||||||||
Interest rate contracts | 266 | 12 | 26 | 65 | ||||||||||||||||||||||
Equity contracts | — | 111 | 80 | 4 | ||||||||||||||||||||||
Total derivatives not designated as hedging instruments | 1,132 | 317 | 581 | 366 | ||||||||||||||||||||||
Total derivatives | $ | 1,274 | $ | 1,384 | $ | 1,435 | $ | 529 |
December 28, 2019 | December 29, 2018 | |||||||||||||||
(In Millions) | Assets1 | Liabilities2 | Assets1 | Liabilities2 | ||||||||||||
Derivatives designated as hedging instruments | ||||||||||||||||
Foreign currency contracts3 | $ | 56 | $ | 159 | $ | 44 | $ | 244 | ||||||||
Interest rate contracts | 690 | 9 | 84 | 474 | ||||||||||||
Total derivatives designated as hedging instruments | 746 | 168 | 128 | 718 | ||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||
Foreign currency contracts3 | 179 | 78 | 132 | 155 | ||||||||||||
Interest rate contracts | 11 | 54 | 20 | 22 | ||||||||||||
Equity contracts | 50 | 3 | — | — | ||||||||||||
Total derivatives not designated as hedging instruments | 240 | 135 | 152 | 177 | ||||||||||||
Total derivatives | $ | 986 | $ | 303 | $ | 280 | $ | 895 |
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||
Gross Amounts Not Offset in the Balance Sheet | ||||||||||||||||||||||||||||||||||||||
(In Millions) | Gross Amounts Recognized | Gross Amounts Offset in the Balance Sheet | Net Amounts Presented in the Balance Sheet | Financial Instruments | Cash and Non-Cash Collateral Received or Pledged | Net Amount | ||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||
Derivative assets subject to master netting arrangements | $ | 1,231 | $ | — | $ | 1,231 | $ | (546) | $ | (682) | $ | 3 | ||||||||||||||||||||||||||
Reverse repurchase agreements | 1,701 | — | 1,701 | — | (1,701) | — | ||||||||||||||||||||||||||||||||
Total assets | 2,932 | — | 2,932 | (546) | (2,383) | 3 | ||||||||||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||||||||
Derivative liabilities subject to master netting arrangements | 1,337 | — | 1,337 | (546) | (712) | 79 | ||||||||||||||||||||||||||||||||
Total liabilities | $ | 1,337 | $ | — | $ | 1,337 | $ | (546) | $ | (712) | $ | 79 |
December 28, 2019 | ||||||||||||||||||||||||
Gross Amounts Not Offset in the Balance Sheet | ||||||||||||||||||||||||
(In Millions) | Gross Amounts Recognized | Gross Amounts Offset in the Balance Sheet | Net Amounts Presented in the Balance Sheet | Financial Instruments | Cash and Non-Cash Collateral Received or Pledged | Net Amount | ||||||||||||||||||
Assets: | ||||||||||||||||||||||||
Derivative assets subject to master netting arrangements | $ | 974 | $ | — | $ | 974 | $ | (144 | ) | $ | (808 | ) | $ | 22 | ||||||||||
Reverse repurchase agreements | 1,850 | — | 1,850 | — | (1,850 | ) | — | |||||||||||||||||
Total assets | 2,824 | — | 2,824 | (144 | ) | (2,658 | ) | 22 | ||||||||||||||||
Liabilities: | ||||||||||||||||||||||||
Derivative liabilities subject to master netting arrangements | 262 | — | 262 | (144 | ) | (72 | ) | 46 | ||||||||||||||||
Total liabilities | $ | 262 | $ | — | $ | 262 | $ | (144 | ) | $ | (72 | ) | $ | 46 |
Financial Statements | Notes to Consolidated Financial Statements | 105 |
December 29, 2018 | ||||||||||||||||||||||||
Gross Amounts Not Offset in the Balance Sheet | ||||||||||||||||||||||||
(In Millions) | Gross Amounts Recognized | Gross Amounts Offset in the Balance Sheet | Net Amounts Presented in the Balance Sheet | Financial Instruments | Cash and Non-Cash Collateral Received or Pledged | Net Amount | ||||||||||||||||||
Assets: | ||||||||||||||||||||||||
Derivative assets subject to master netting arrangements | $ | 292 | $ | — | $ | 292 | $ | (220 | ) | $ | (72 | ) | $ | — | ||||||||||
Reverse repurchase agreements | 2,099 | — | 2,099 | — | (1,999 | ) | 100 | |||||||||||||||||
Total assets | 2,391 | — | 2,391 | (220 | ) | (2,071 | ) | 100 | ||||||||||||||||
Liabilities: | ||||||||||||||||||||||||
Derivative liabilities subject to master netting arrangements | 890 | — | 890 | (220 | ) | (576 | ) | 94 | ||||||||||||||||
Total liabilities | $ | 890 | $ | — | $ | 890 | $ | (220 | ) | $ | (576 | ) | $ | 94 |
December 25, 2021 | ||||||||||||||||||||||||||||||||||||||
Gross Amounts Not Offset in the Balance Sheet | ||||||||||||||||||||||||||||||||||||||
(In Millions) | Gross Amounts Recognized | Gross Amounts Offset in the Balance Sheet | Net Amounts Presented in the Balance Sheet | Financial Instruments | Cash and Non-Cash Collateral Received or Pledged | Net Amount | ||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||
Derivative assets subject to master netting arrangements | $ | 1,427 | $ | — | $ | 1,427 | $ | (332) | $ | (986) | $ | 109 | ||||||||||||||||||||||||||
Reverse repurchase agreements | 1,595 | — | 1,595 | — | (1,595) | — | ||||||||||||||||||||||||||||||||
Total assets | 3,022 | — | 3,022 | (332) | (2,581) | 109 | ||||||||||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||||||||
Derivative liabilities subject to master netting arrangements | 392 | — | 392 | (332) | (60) | — | ||||||||||||||||||||||||||||||||
Total liabilities | $ | 392 | $ | — | $ | 392 | $ | (332) | $ | (60) | $ | — |
Gains (Losses) Recognized in Statement of Income on Derivatives | ||||||||||||
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | |||||||||
Interest rate contracts | $ | 1,071 | $ | (138 | ) | $ | (68 | ) | ||||
Hedged items | (1,071 | ) | 138 | 68 | ||||||||
Total | $ | — | $ | — | $ | — |
Gains (Losses) Recognized in Statement of Income on Derivatives | ||||||||||||||||||||
Years Ended (In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | |||||||||||||||||
Interest rate contracts | $ | (1,551) | $ | (723) | $ | 817 | ||||||||||||||
Hedged items | 1,551 | 723 | (817) | |||||||||||||||||
Total | $ | — | $ | — | $ | — |
Line Item in the Consolidated Balance Sheets in Which the Hedged Item Is Included | Carrying Amount of the Hedged Item Assets/(Liabilities) | Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount Assets/(Liabilities) | ||||||||||||||||||||||||
(In Millions) | Dec 31, 2022 | Dec 25, 2021 | Dec 31, 2022 | Dec 25, 2021 | ||||||||||||||||||||||
Long-term debt | $ | (11,221) | $ | (12,772) | $ | 776 | $ | (775) |
Financial Statements | Notes to Consolidated Financial Statements | 106 |
Line Item in the Consolidated Balance Sheet in Which the Hedged Item Is Included | Carrying Amount of the Hedged Item Asset/(Liabilities) | Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount Assets/(Liabilities) | ||||||||||||||
Years Ended (In Millions) | Dec 28, 2019 | Dec 29, 2018 | Dec 28, 2019 | Dec 29, 2018 | ||||||||||||
Long-term debt | $ | (12,678 | ) | $ | (19,622 | ) | $ | (681 | ) | $ | 390 |
Years Ended (In Millions) | Location of Gains (Losses) Recognized in Income on Derivatives | Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | ||||||||||
Foreign currency contracts | Interest and other, net | $ | 204 | $ | 372 | $ | (547 | ) | ||||||
Interest rate contracts | Interest and other, net | (32 | ) | 9 | 9 | |||||||||
Other | Various | 297 | (147 | ) | 203 | |||||||||
Total | $ | 469 | $ | 234 | $ | (335 | ) |
Years Ended (In Millions) | Location of Gains (Losses) Recognized in Income on Derivatives | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||||||||||||||||||||||
Foreign currency contracts | Interest and other, net | $ | 1,492 | $ | 677 | $ | (572) | |||||||||||||||||||
Interest rate contracts | Interest and other, net | 309 | 31 | (90) | ||||||||||||||||||||||
Other | Various | (502) | 360 | 284 | ||||||||||||||||||||||
Total | $ | 1,299 | $ | 1,068 | $ | (378) |
(In Millions) | 2020 | 2021 | 2022 | 2023 | 2024 | 2025-2029 | ||||||||||||||||||
Postretirement Medical Benefits | $ | 28 | $ | 30 | $ | 31 | $ | 32 | $ | 34 | $ | 183 |
(In Millions) | 2023 | 2024 | 2025 | 2026 | 2027 | 2028-2032 | ||||||||||||||||||||||||||||||||
Postretirement medical benefits | $ | 40 | $ | 41 | $ | 41 | $ | 43 | $ | 44 | $ | 222 |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Changes in projected benefit obligation: | ||||||||
Beginning projected benefit obligation | $ | 3,433 | $ | 3,842 | ||||
Service cost | 54 | 65 | ||||||
Interest cost | 113 | 113 | ||||||
Actuarial (gain) loss | 829 | (204 | ) | |||||
Currency exchange rate changes | (2 | ) | (121 | ) | ||||
Plan curtailments | — | (150 | ) | |||||
Plan settlements | (57 | ) | (74 | ) | ||||
Other | (86 | ) | (38 | ) | ||||
Ending projected benefit obligation1 | 4,284 | 3,433 | ||||||
Changes in fair value of plan assets: | ||||||||
Beginning fair value of plan assets | 2,551 | 2,287 | ||||||
Actual return on plan assets | 193 | (38 | ) | |||||
Employer contributions | 30 | 480 | ||||||
Currency exchange rate changes | 3 | (62 | ) | |||||
Plan settlements | (57 | ) | (74 | ) | ||||
Other | (66 | ) | (42 | ) | ||||
Ending fair value of plan assets2 | 2,654 | 2,551 | ||||||
Net funded status | $ | 1,630 | $ | 882 | ||||
Amounts recognized in the Consolidated Balance Sheets | ||||||||
Other long-term assets | $ | — | $ | 244 | ||||
Other long-term liabilities | $ | 1,630 | $ | 1,126 | ||||
Accumulated other comprehensive loss (income), before tax3 | $ | 1,730 | $ | 1,038 |
Notes to Consolidated Financial Statements | 107 |
1The projected benefit obligation was approximately 30% in the US and 70% outside of the US as of December 31, 2022 and December 25, 2021. 2The fair value of plan assets was approximately 40% in the US and 60% outside of the US as of December 31, 2022 and approximately 50% in the US and 50% outside of the US as of December 25, 2021. 3The accumulated other comprehensive loss (income), before tax, was approximately 90% in the US and 10% outside of the US as of December 31, 2022 and approximately 30% in the US and 70% outside of the US as of December 25, 2021. |
Dec 31, 2022 | Dec 25, 2021 | ||||||||||
Plan with accumulated benefit obligation in excess of plan assets | |||||||||||
Accumulated benefit obligation | $ | 559 | $ | 4,086 | |||||||
Plan assets | $ | 97 | $ | 2,817 | |||||||
Plan with projected benefit obligation in excess of plan assets | |||||||||||
Projected benefit obligation | $ | 1,048 | $ | 4,456 | |||||||
Plan assets | $ | 399 | $ | 2,817 |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | Dec 28, 2019 | Dec 29, 2018 | ||||||
Plans with accumulated benefit obligation in excess of plan assets | ||||||||
Accumulated benefit obligation | $ | 3,862 | $ | 1,965 | ||||
Plan assets | $ | 2,654 | $ | 1,106 | ||||
Plans with projected benefit obligation in excess of plan assets | ||||||||
Projected benefit obligation | $ | 4,284 | $ | 2,232 | ||||
Plan assets | $ | 2,654 | $ | 1,106 |
Dec 28, 2019 | Dec 29, 2018 | Dec 31, 2022 | Dec 25, 2021 | |||||||||||||||||
Weighted average actuarial assumptions used to determine benefit obligations | Weighted average actuarial assumptions used to determine benefit obligations | |||||||||||||||||||
Discount rate | 2.3 | % | 3.3 | % | Discount rate | 4.9 | % | 2.2 | % | |||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | Rate of compensation increase | 3.7 | % | 3.2 | % |
2019 | 2018 | 2017 | |||||||
Weighted average actuarial assumptions used to determine costs | |||||||||
Discount rate | 3.4 | % | 3.0 | % | 3.2 | % | |||
Expected long-term rate of return on plan assets | 4.7 | % | 4.7 | % | 4.6 | % | |||
Rate of compensation increase | 3.5 | % | 3.3 | % | 3.6 | % |
2022 | 2021 | 2020 | ||||||||||||||||||
Weighted average actuarial assumptions used to determine costs | ||||||||||||||||||||
Discount rate | 2.2 | % | 1.9 | % | 2.3 | % | ||||||||||||||
Expected long-term rate of return on plan assets | 3.2 | % | 2.7 | % | 3.3 | % | ||||||||||||||
Rate of compensation increase | 3.2 | % | 3.2 | % | 3.2 | % |
December 31, 2022 | Dec 25, 2021 | |||||||||||||||||||||||||||||||
Fair Value Measured at Reporting Date Using | ||||||||||||||||||||||||||||||||
(In Millions) | Level 1 | Level 2 | Level 3 | Total | Total | |||||||||||||||||||||||||||
Equity securities | $ | — | $ | 297 | $ | — | $ | 297 | $ | 342 | ||||||||||||||||||||||
Fixed income | — | 106 | 24 | 130 | 142 | |||||||||||||||||||||||||||
Assets measured by fair value hierarchy | $ | — | $ | 403 | $ | 24 | $ | 427 | $ | 484 | ||||||||||||||||||||||
Assets measured at net asset value | 1,683 | 2,311 | ||||||||||||||||||||||||||||||
Cash and cash equivalents | 20 | 22 | ||||||||||||||||||||||||||||||
Total pension plan assets at fair value | $ | 2,130 | $ | 2,817 |
December 28, 2019 | Dec 29, 2018 | |||||||||||||||||||
Fair Value Measured at Reporting Date Using | ||||||||||||||||||||
(In Millions) | Level 1 | Level 2 | Level 3 | Total | Total | |||||||||||||||
Equity securities | $ | — | $ | 278 | $ | — | $ | 278 | $ | 261 | ||||||||||
Fixed income | — | 99 | 20 | 119 | 111 | |||||||||||||||
Assets measured by fair value hierarchy | $ | — | $ | 377 | $ | 20 | $ | 397 | $ | 372 | ||||||||||
Assets measured at net asset value | 2,236 | 2,138 | ||||||||||||||||||
Cash and cash equivalents | 21 | 41 | ||||||||||||||||||
Total pension plan assets at fair value | $ | 2,654 | $ | 2,551 |
Financial Statements | Notes to Consolidated Financial Statements | 109 |
(In Millions) | 2020 | 2021 | 2022 | 2023 | 2024 | 2025-2029 | ||||||||||||||||||
Pension benefits | $ | 151 | $ | 145 | $ | 139 | $ | 135 | $ | 132 | $ | 694 |
Financial Statements | Notes to Consolidated Financial Statements | 110 |
Dec 28, 2019 | Dec 29, 2018 | Dec 30, 2017 | ||||||||||
Estimated values | $ | 48.06 | $ | 48.95 | $ | 35.30 | ||||||
Risk-free interest rate | 2.3 | % | 2.4 | % | 1.4 | % | ||||||
Dividend yield | 2.5 | % | 2.4 | % | 2.9 | % | ||||||
Volatility | 25 | % | 22 | % | 23 | % |
Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||||||||||||||||||
Estimated values | $ | 41.12 | $ | 50.82 | $ | 54.82 | ||||||||||||||
Risk-free interest rate | 2.2 | % | 0.2 | % | 0.4 | % | ||||||||||||||
Dividend yield | 3.4 | % | 2.6 | % | 2.3 | % | ||||||||||||||
Volatility | 40 | % | 37 | % | 30 | % |
Number of Stock Units (In Millions) | Weighted Average Grant-Date Fair Value | ||||||
December 29, 2018 | 89.9 | $ | 39.07 | ||||
Granted | 37.6 | $ | 48.06 | ||||
Vested | (35.2 | ) | $ | 36.51 | |||
Forfeited | (8.2 | ) | $ | 42.20 | |||
December 28, 2019 | 84.1 | $ | 43.86 | ||||
Expected to vest | 79.8 | $ | 43.72 |
Number of Stock Units (In Millions) | Weighted Average Grant-Date Fair Value | |||||||||||||
December 25, 2021 | 118.0 | $ | 51.29 | |||||||||||
Granted | 104.2 | $ | 41.12 | |||||||||||
Vested | (50.3) | $ | 48.90 | |||||||||||
Forfeited | (13.2) | $ | 48.99 | |||||||||||
December 31, 2022 | 158.7 | $ | 45.56 | |||||||||||
Expected to vest | 142.7 | $ | 45.78 |
Financial Statements | Notes to Consolidated Financial Statements |
(In Millions) | 2023 | 2024 | 2025 | 2026 | 2027 | Thereafter | Total | |||||||||||||||||||||||||||||||||||||
Operating lease payments | $ | 179 | $ | 107 | $ | 72 | $ | 34 | $ | 26 | $ | 28 | $ | 446 | ||||||||||||||||||||||||||||||
Finance lease payments | $ | 682 | $ | 122 | $ | 5 | $ | — | $ | — | $ | — | $ | 809 | ||||||||||||||||||||||||||||||
Present value of lease payments | $ | 1,218 |
Financial Statements | Notes to Consolidated Financial Statements | 112 |
Financial Statements | Notes to Consolidated Financial Statements |
Financial Statements | Notes to Consolidated Financial Statements | 114 |
Key Terms | |||||
Term | Definition | |||||||
2006 ESPP | 2006 Employee Stock Purchase Plan | |||||||
2006 Plan | 2006 Equity Incentive Plan | |||||||
The | ||||||||
ADAS | Advanced driver-assistance systems | |||||||
Artificial intelligence | ||||||||
AMaaS | Autonomous Mobility as a Service | |||||||
ARM | Advanced RISC machine | |||||||
ASIC | Application-specific integrated circuit | |||||||
Average selling price | ||||||||
AV | Autonomous vehicle | |||||||
AXG | Advanced Computing and Graphics operating segment | |||||||
BIOS | Basic input/output system | |||||||
CAGR | Compound annual growth rate | |||||||
Client Computing Group operating segment | ||||||||
CDP | A nonprofit organization that runs a global disclosure system for investors, companies, cities, states, and regions to manage their environmental impacts | |||||||
CODM | Chief operating decision maker | |||||||
CoSP | Communication service provider | |||||||
COVID-19 | The infectious disease caused by the most recently discovered coronavirus (aka SARS-CoV-2), which was declared a global pandemic by the World Health Organization | |||||||
CPU | Processor or central processing unit | |||||||
CSP | Cloud service provider | |||||||
CXL | Compute Express Link; an open standard for high-speed CPU-to-device and CPU-to-memory connections | |||||||
DCAI | Data Center | |||||||
EC | European Commission | |||||||
EDA | Electronic design automation, tools used to design and verify electronic systems, such as integrated circuits and printed circuit boards | |||||||
Edge | ||||||||
EEO-1 Component 1 report; a mandatory annual data collection that requires employers meeting certain criteria to submit demographic workforce data, including data by race/ethnicity, sex, and job categories. | ||||||||
EMIB | Embedded multi-die interconnect bridge, a form of "2.5D" packaging technology developed by Intel that enables high-density interconnect of heterogeneous chips | |||||||
EPS | Earnings per share | |||||||
ERISA | Employee Retirement Income Security Act | |||||||
ESG | Environmental, social, and governance | |||||||
EUV | Extreme ultraviolet lithography | |||||||
Exchange Act | Securities Exchange Act of 1934 | |||||||
Form 10-K | Annual Report on Form 10-K | |||||||
Intel's high-performance three-dimensional stacked chip architecture | ||||||||
FPGA | Field-programmable gate array | |||||||
GPU | Graphics processing unit | |||||||
HBM | High-bandwidth memory | |||||||
HPC | High-performance computing | |||||||
IDM | Integrated device manufacturer, a semiconductor company that both designs and builds chips | |||||||
IFS | Intel Foundry Services operating segment | |||||||
Internet of Things | ||||||||
Intellectual property | ||||||||
Supplemental Details | 115 |
IPO | Initial public offering | ||||||||
IPU | Infrastructure processing unit, a programmable networking device designed to enable cloud and communication service providers to reduce overhead and free up performance for CPUs | ||||||||
ISA | Intel system architecture | ||||||||
L1 | Level 1 of autonomous | ||||||||
L2 | ||||||||
Level 4 | ||||||||||
MaaS | ||||||||||
MBMW | Multi-beam mask writer | |||||||||
MD&A | Management's Discussion | |||||||||
MG&A | Marketing, general and administrative | |||||||||
Multinational corporation | ||||||||||
NAND | NAND flash memory | |||||||||
Part of the Intel Xeon processor family designed for network and edge solutions | ||||||||||
NEX | Networking and Edge operating segment | |||||||||
NIC | Network interface controller | |||||||||
nm | Nanometer | |||||||||
ODM | Original design manufacturer | |||||||||
OEM | Original equipment manufacturer | |||||||||
OKR | Objective and key results, a goal-setting method used widely across industries as a proven approach to setting and achieving challenging goals | |||||||||
OSAT | Outsourced assembly and test | |||||||||
PPAC | Power performance area cost | |||||||||
Program (specific to Mobileye business) | A process that takes two to three years of intense activity with the carmaker and Tier 1 after a design win until Mobileye technology is launched into production | |||||||||
PRQ | Product | |||||||||
PSU | Performance stock unit | |||||||||
RAN | Radio access network | |||||||||
R&D | Research and development | |||||||||
RDFV | Readily determinable fair value | |||||||||
Responsibility-safety sensitive | ||||||||||
RSU | Restricted stock unit | |||||||||
SaaS | Software as a service | |||||||||
SASB | Sustainability Accounting Standards Board | |||||||||
SCIP | Semiconductor Co-Investment Program | |||||||||
SEC | US Securities and Exchange Commission | |||||||||
SoC | A system on a | |||||||||
Secured Overnight Financing Rate, a benchmark interest rate for dollar-denominated derivatives and loans, replacing LIBOR | ||||||||||
SSD | Solid-state drive | |||||||||
TAM | Total addressable market | |||||||||
Tax Reform | ||||||||||
TCFD | Task Force on Climate-Related Financial Disclosures | |||||||||
TSR | Total stockholder return | |||||||||
UCIe | Universal Chiplet Interconnect Express | |||||||||
US GAAP |
Supplemental Details | 116 |
USMAG | United States Military, Aerospace, and Government | |||||||
US Pension Plan | ||||||||
vRAN | Virtualized radio access network | |||||||
xPU | A term for processors that are designed for one of four major computing architectures: CPU, GPU, AI accelerator, and FPGA |
Supplemental Details |
2019 for Quarter Ended (In Millions, Except Per Share Amounts) | December 28 | September 28 | June 29 | March 30 | ||||||||||||
Net revenue | $ | 20,209 | $ | 19,190 | $ | 16,505 | $ | 16,061 | ||||||||
Gross margin | $ | 11,878 | $ | 11,295 | $ | 9,878 | $ | 9,089 | ||||||||
Net income | $ | 6,905 | $ | 5,990 | $ | 4,179 | $ | 3,974 | ||||||||
Earnings per share—Basic | $ | 1.60 | $ | 1.36 | $ | 0.94 | $ | 0.88 | ||||||||
Earnings per share—Diluted | $ | 1.58 | $ | 1.35 | $ | 0.92 | $ | 0.87 | ||||||||
Dividends per share of common stock: | ||||||||||||||||
Declared | $ | — | $ | 0.63 | $ | — | $ | 0.63 | ||||||||
Paid | $ | 0.315 | $ | 0.315 | $ | 0.315 | $ | 0.315 |
2018 for Quarter Ended (In Millions, Except Per Share Amounts) | December 29 | September 29 | June 30 | March 31 | ||||||||||||
Net revenue | $ | 18,657 | $ | 19,163 | $ | 16,962 | $ | 16,066 | ||||||||
Gross margin | $ | 11,227 | $ | 12,360 | $ | 10,419 | $ | 9,731 | ||||||||
Net income (loss) | $ | 5,195 | $ | 6,398 | $ | 5,006 | $ | 4,454 | ||||||||
Earnings per share—Basic | $ | 1.14 | $ | 1.40 | $ | 1.08 | $ | 0.95 | ||||||||
Earnings per share—Diluted | $ | 1.12 | $ | 1.38 | $ | 1.05 | $ | 0.93 | ||||||||
Dividends per share of common stock: | ||||||||||||||||
Declared | $ | — | $ | 0.60 | $ | — | $ | 0.60 | ||||||||
Paid | $ | 0.30 | $ | 0.30 | $ | 0.30 | $ | 0.30 |
Supplemental Details |
Supplemental Details |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | |||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | |||||||||
2.1 | 8-K | 000-06217 | 2.1 | 3/13/2017 | |||||||||
3.1 | 8-K | 000-06217 | 3.1 | 5/22/2006 | |||||||||
3.2 | 8-K | 000-06217 | 3.2 | 1/17/2019 | |||||||||
4.1 | S-3ASR | 333-132865 | 4.4 | 3/30/2006 | |||||||||
4.2 | 10-K | 000-06217 | 4.2.4 | 2/20/2008 | |||||||||
4.3 | 10-Q | 000-06217 | 4.1 | 11/2/2009 | |||||||||
4.4 | 8-K | 000-06217 | 4.01 | 9/19/2011 | |||||||||
4.5 | 8-K | 000-06217 | 4.01 | 12/11/2012 | |||||||||
4.6 | 8-K | 000-06217 | 4.01 | 12/14/2012 | |||||||||
4.7 | 8-K | 000-06217 | 4.1 | 7/29/2015 | |||||||||
4.8 | 8-K | 000-06217 | 4.1 | 5/19/2016 | |||||||||
4.9 | 8-K | 000-06217 | 4.1 | 5/11/2017 | |||||||||
4.10 | 8-K | 000-06217 | 4.1 | 6/16/2017 | |||||||||
4.11 | 8-K | 000-06217 | 4.1 | 8/14/2017 | |||||||||
4.12 | 10-K | 000-06217 | 4.2.13 | 2/16/2018 | |||||||||
4.13 | 8-K | 000-06217 | 4.1 | 11/21/2019 |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | ||||||||||||||||||||||||||||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | ||||||||||||||||||||||||||||||||||
2.1 | 8-K | 000-06217 | 2.1 | 10/20/2020 | ||||||||||||||||||||||||||||||||||
3.1 | 8-K | 000-06217 | 3.1 | 5/22/2006 | ||||||||||||||||||||||||||||||||||
3.2 | 8-K | 000-06217 | 3.2 | 3/16/2021 | ||||||||||||||||||||||||||||||||||
4.1 | S-3ASR | 333-132865 | 4.4 | 3/30/2006 | ||||||||||||||||||||||||||||||||||
4.2 | 10-K | 000-06217 | 4.2.4 | 2/20/2008 | ||||||||||||||||||||||||||||||||||
4.3 | 8-K | 000-06217 | 4.01 | 9/19/2011 | ||||||||||||||||||||||||||||||||||
4.4 | 8-K | 000-06217 | 4.01 | 12/11/2012 | ||||||||||||||||||||||||||||||||||
4.5 | 8-K | 000-06217 | 4.01 | 12/14/2012 | ||||||||||||||||||||||||||||||||||
4.6 | 8-K | 000-06217 | 4.1 | 7/29/2015 | ||||||||||||||||||||||||||||||||||
4.7 | 8-K | 000-06217 | 4.1 | 5/19/2016 | ||||||||||||||||||||||||||||||||||
4.8 | 8-K | 000-06217 | 4.1 | 5/11/2017 | ||||||||||||||||||||||||||||||||||
4.9 | 8-K | 000-06217 | 4.1 | 6/16/2017 | ||||||||||||||||||||||||||||||||||
4.10 | 8-K | 000-06217 | 4.1 | 8/14/2017 | ||||||||||||||||||||||||||||||||||
4.11 | 10-K | 000-06217 | 4.2.13 | 2/16/2018 |
Supplemental Details |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | |||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | |||||||||
4.14 | 10-Q | 000-06217 | 4.1 | 10/24/2019 | |||||||||
4.15 | 8-K | 000-06217 | 99.2 | 12/28/2015 | |||||||||
Certain instruments defining the rights of holders of long-term debt of Intel Corporation are omitted pursuant to Item 601(b)(4)(iii) of Regulation S-K. Intel Corporation hereby agrees to furnish to the Securities and Exchange Commission, upon request, copies of such instruments. | |||||||||||||
4.16 | X | ||||||||||||
10.1† | 10-Q | 000-06217 | 10.1 | 7/26/2019 | |||||||||
10.1.2† | 10-Q | 000-06217 | 10.3 | 8/3/2009 | |||||||||
10.1.3† | 10-Q | 000-06217 | 10.1 | 10/25/2018 | |||||||||
10.1.4† | 10-Q | 000-06217 | 10.3 | 4/27/2015 | |||||||||
10.1.5† | 10-Q | 000-06217 | 10.3 | 4/26/2019 | |||||||||
10.1.6† | 10-Q | 000-06217 | 10.4 | 4/26/2019 | |||||||||
10.1.7† | 10-K | 000-06217 | 10.1.6 | 2/16/2018 | |||||||||
10.1.8† | 10-Q | 000-06217 | 10.2 | 10/25/2018 | |||||||||
10.1.9† | 10-Q | 000-06217 | 10.8 | 4/26/2019 | |||||||||
10.1.10† | 10-Q | 000-06217 | 10.1 | 4/27/2017 | |||||||||
10.1.11† | 10-Q | 000-06217 | 10.3 | 10/25/2018 | |||||||||
10.1.12† | 10-Q | 000-06217 | 10.5 | 4/26/2019 | |||||||||
10.1.13† | 10-Q | 000-06217 | 10.6 | 4/26/2019 |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | ||||||||||||||||||||||||||||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | ||||||||||||||||||||||||||||||||||
4.12 | 8-K | 000-06217 | 4.1 | 11/21/2019 | ||||||||||||||||||||||||||||||||||
4.13 | 8-K | 000-06217 | 4.1 | 2/13/2020 | ||||||||||||||||||||||||||||||||||
4.14 | 8-K | 000-06217 | 4.2 | 2/13/2020 | ||||||||||||||||||||||||||||||||||
4.15 | 8-K | 000-06217 | 4.1 | 3/25/2020 | ||||||||||||||||||||||||||||||||||
4.16 | 8-K | 000-06217 | 4.1 | 8/12/2021 | ||||||||||||||||||||||||||||||||||
4.17 | 8-K | 000-06217 | 4.1 | 8/5/2022 | ||||||||||||||||||||||||||||||||||
4.18 | 10-K | 000-06217 | 4.18 | 1/27/2022 | ||||||||||||||||||||||||||||||||||
10.1† | 10-Q | 000-06217 | 10.2 | 7/29/2022 | ||||||||||||||||||||||||||||||||||
10.1.2† | 10-Q | 000-06217 | 10.1 | 10/25/2018 | ||||||||||||||||||||||||||||||||||
10.1.3† | 10-Q | 000-06217 | 10.3 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.4† | 10-Q | 000-06217 | 10.4 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.5† | 10-Q | 000-06217 | 10.5 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.6† | 10-Q | 000-06217 | 10.1 | 4/24/2020 | ||||||||||||||||||||||||||||||||||
10.1.7† | 10-Q | 000-06217 | 10.6 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.8† | 8-K | 000-06217 | 10.1 | 11/22/2022 |
Supplemental Details |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | |||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | |||||||||
10.1.14† | 10-Q | 000-06217 | 10.9 | 4/26/2019 | |||||||||
10.1.15† | 10-Q | 000-06217 | 10.10 | 4/26/2019 | |||||||||
10.1.16† | 10-Q | 000-06217 | 10.7 | 4/26/2019 | |||||||||
10.1.17† | 10-Q | 000-06217 | 10.1 | 4/27/2015 | |||||||||
10.1.18† | 10-Q | 000-06217 | 10.11 | 4/26/2019 | |||||||||
10.1.19† | 10-Q | 000-06217 | 10.2 | 4/27/2017 | |||||||||
10.2† | 10-K | 000-06217 | 10.2 | 2/1/2019 | |||||||||
10.3† | 10-K | 000-06217 | 10.9.2 | 2/14/2014 | |||||||||
10.4† | 10-K | 000-06217 | 10.15 | 2/22/2005 | |||||||||
10.5† | 10-Q | 000-06217 | 10.2 | 10/31/2016 | |||||||||
10.6† | S-8 | 333-172024 | 99.1 | 2/2/2011 | |||||||||
10.7† | 10-K | 000-06217 | 10.41 | 2/26/2007 | |||||||||
10.8 | 8-K | 000-06217 | 10.1 | 11/12/2009 | |||||||||
10.9†† | 8-K | 000-06217 | 10.1 | 1/10/2011 | |||||||||
10.10† | 10-K | 000-06217 | 10.14 | 2/12/2016 | |||||||||
10.11† | 8-K | 000-06217 | 10.1 | 1/31/2019 | |||||||||
10.12† | 8-K | 000-06217 | 10.1 | 4/3/2019 | |||||||||
10.13† | 10-K | 000-06217 | 10.13 | 2/16/2018 | |||||||||
10.14† | 10-Q | 000-06217 | 10.12 | 4/26/2019 | |||||||||
21.1 | X | ||||||||||||
23.1 | X |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | ||||||||||||||||||||||||||||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | ||||||||||||||||||||||||||||||||||
10.1.9† | 8-K | 000-06217 | 10.2 | 11/22/2022 | ||||||||||||||||||||||||||||||||||
10.1.10† | 8-K | 000-06217 | 10.3 | 11/22/2022 | ||||||||||||||||||||||||||||||||||
10.1.11† | 10-Q | 000-06217 | 10.9 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.12† | 10-Q | 000-06217 | 10.7 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.13† | 10-Q | 000-06217 | 10.11 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.1.14† | 10-Q | 000-6217 | 10.3 | 10/28/2022 | ||||||||||||||||||||||||||||||||||
10.1.15† | S-8 | 333-253077 | 99.1 | 2/12/2021 | ||||||||||||||||||||||||||||||||||
10.1.16† | 10-Q | 000-06217 | 10.3 | 4/23/2021 | ||||||||||||||||||||||||||||||||||
10.1.17† | 10-Q | 000-06217 | 10.4 | 4/23/2021 | ||||||||||||||||||||||||||||||||||
10.1.18† | 10-Q | 000-06217 | 10.5 | 4/23/2021 | ||||||||||||||||||||||||||||||||||
10.1.19† | 10-Q | 000-06217 | 10.6 | 4/23/2021 | ||||||||||||||||||||||||||||||||||
10.1.20† | 10-Q | 000-06217 | 10.7 | 4/23/2021 | ||||||||||||||||||||||||||||||||||
10.1.21† | 10-Q | 000-06217 | 10.8 | 4/23/2021 | ||||||||||||||||||||||||||||||||||
10.2† | 8-K | 000-06217 | 10.1 | 1/22/2020 | ||||||||||||||||||||||||||||||||||
10.3† | 10-Q | 000-06217 | 10.3 | 4/24/2020 | ||||||||||||||||||||||||||||||||||
10.4† | 10-Q | 000-06217 | 10.1 | 7/29/2022 | ||||||||||||||||||||||||||||||||||
10.5† | X | |||||||||||||||||||||||||||||||||||||
10.6† | 10-Q | 000-06217 | 10.2 | 4/29/2022 |
Supplemental Details | 122 |
Exhibit Number | Incorporated by Reference | Filed or Furnished Herewith | ||||||||||||||||||||||||||||||||||||
Exhibit Description | Form | File Number | Exhibit | Filing Date | ||||||||||||||||||||||||||||||||||
10.7† | 10-K | 000-06217 | 10.41 | 2/26/2007 | ||||||||||||||||||||||||||||||||||
10.8† | 10-K | 000-06217 | 10.15 | 2/22/2005 | ||||||||||||||||||||||||||||||||||
10.9† | 10-Q | 000-06217 | 10.2 | 10/31/2016 | ||||||||||||||||||||||||||||||||||
10.10 | 8-K | 000-06217 | 10.1 | 11/12/2009 | ||||||||||||||||||||||||||||||||||
10.11†† | 8-K | 000-06217 | 10.1 | 1/10/2011 | ||||||||||||||||||||||||||||||||||
10.12^ | 8-K | 000-06217 | 10.1 | 8/23/2022 | ||||||||||||||||||||||||||||||||||
10.13^ | 8-K | 000-06217 | 10.1 | 11/22/2022 | ||||||||||||||||||||||||||||||||||
10.14† | 10-Q | 000-06217 | 10.1 | 7/23/2021 | ||||||||||||||||||||||||||||||||||
10.15† | 8-K | 000-06217 | 10.1 | 1/14/2021 | ||||||||||||||||||||||||||||||||||
10.16† | 8-K | 000-06217 | 10.1 | 1/10/2022 | ||||||||||||||||||||||||||||||||||
10.17† | 10-Q | 000-06217 | 10.12 | 4/26/2019 | ||||||||||||||||||||||||||||||||||
10.18† | 8-K | 000-06217 | 10.1 | 4/3/2019 | ||||||||||||||||||||||||||||||||||
21.1 | X | |||||||||||||||||||||||||||||||||||||
23.1 | X | |||||||||||||||||||||||||||||||||||||
31.1 | X | |||||||||||||||||||||||||||||||||||||
31.2 | X | |||||||||||||||||||||||||||||||||||||
32.1 | X | |||||||||||||||||||||||||||||||||||||
99.1 | X | |||||||||||||||||||||||||||||||||||||
101 | Inline XBRL Document Set for the consolidated financial statements and accompanying notes in Financial Statements and Supplemental Details | X | ||||||||||||||||||||||||||||||||||||
104 | Cover Page Interactive Data File - formatted in Inline XBRL and included as Exhibit 101 | X |
Supplemental Details |
Item Number | Item | |||||||
Part I | ||||||||
Item 1. | Business: | |||||||
General development of business | ||||||||
Available information | Page | |||||||
Item 1A. | Risk Factors | |||||||
Item 1B. | Unresolved Staff Comments | Not applicable | ||||||
Item 2. | Properties | |||||||
Item 3. | Legal Proceedings | |||||||
Item 4. | Mine Safety Disclosures | Not applicable | ||||||
Part II | ||||||||
Item 5. | Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities | |||||||
Item 6. | ||||||||
Item 7. | Management's Discussion and Analysis of Financial Condition and Results of Operations: | |||||||
Critical accounting estimates | ||||||||
Item 7A. | Quantitative and Qualitative Disclosures About Market Risk | |||||||
Item 8. | Financial Statements and Supplementary Data | |||||||
Item 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure | Not applicable | ||||||
Item 9A. | Controls and Procedures | Page | ||||||
Item 9B. | Other Information | |||||||
Disclosure Pursuant to Section 13(r) of the Securities Exchange Act of 1934 | Page 71 | |||||||
Disclosure Regarding Foreign Jurisdictions that Prevent Inspections | Not applicable | |||||||
Part III | ||||||||
Item 10. | Directors, Executive Officers, and Corporate Governance | |||||||
Item 11. | Executive Compensation | |||||||
Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters | |||||||
Item 13. | Certain Relationships and Related Transactions, and Director Independence | |||||||
Item 14. | Principal | |||||||
Part IV | ||||||||
Item 15. | Exhibits and Financial Statement Schedules | |||||||
Item 16. | Form 10-K Summary | Not applicable | ||||||
Signatures | Page |
Supplemental Details |
INTEL CORPORATION Registrant | |||||||||||
/s/ PATRICK P. GELSINGER | |||||||||||
Patrick P. Gelsinger | |||||||||||
Chief Executive Officer, Director, and Principal Executive Officer | |||||||||||
January |
/s/ PATRICK P. GELSINGER | /s/ DAVID ZINSNER | |||||||||||||
Patrick P. Gelsinger | David Zinsner | |||||||||||||
Chief Executive Officer, Director, and Principal Executive Officer | Executive Vice President, Chief Financial Officer, and Principal | |||||||||||||
Financial Officer | ||||||||||||||
January 26, 2023 | January 26, 2023 | |||||||||||||
January 26, 2023 | ||||||||
/s/ JAMES J. GOETZ | /s/ DR. TSU-JAE KING LIU | ||||||||||||||||
James J. Goetz | Dr. Tsu-Jae King Liu | ||||||||||||||||
Director | Director | ||||||||||||||||
January | January | ||||||||||||||||
/s/ | /s/ GREGORY D. SMITH | ||||||||||||||||
Gregory D. Smith | |||||||||||||||||
Director | Director | ||||||||||||||||
January | January | ||||||||||||||||
/s/ | /s/ | ||||||||||||||||
Director | Director | ||||||||||||||||
January | January | ||||||||||||||||
/s/ DR. OMAR ISHRAK | /s/ DION J. WEISLER | ||||||||||||||||
Dr. Omar Ishrak | Dion J. Weisler | ||||||||||||||||
Director | Director | ||||||||||||||||
January 26, 2023 | January 26, 2023 | ||||||||||||||||
/s/ DR. RISA LAVIZZO-MOUREY | /s/ FRANK D. YEARY | ||||||||||||||||
Dr. | Frank D. Yeary | ||||||||||||||||
Chair of the Board and Director | |||||||||||||||||
January | January | ||||||||||||||||
/s/ BARBARA G NOVICK | ||||||||||||||
Barbara G. Novick | ||||||||||||||
Director | ||||||||||||||
January 26, 2023 | ||||||||||||||
Supplemental Details |