Announces 10 Percent Increase to Quarterly Cash Dividend
News Summary:
• Record fourth-quarter revenue was $17.1 billion and record full-year revenue was $62.8 billion. Excluding
McAfee, fourth-quarter revenue grew 8 percent year-over-year with data-centric revenue up 21 percent, and
full-year revenue grew 9 percent year-over-year.
• Delivered outstanding quarterly and annual earnings growth.
• In 2017, Intel generated a record $22 billion cash from operations and returned nearly $9 billion to
shareholders.
• In 2018, Intel expects another record year and is raising its quarterly cash dividend 10 percent on an annual
basis.
SANTA CLARA, Calif., January 25, 2018 -- Intel Corporation today reported full-year and fourth-quarter 2017
financial results. The company also announced that its board of directors has approved an increase in its cash
dividend to $1.20 per-share on an annual basis, a 10 percent increase. The board also declared a quarterly
dividend of $0.30 per-share on the company’s common stock, which will be payable on March 1 to shareholders of
record on February 7.
"2017 was a record year for Intel with record fourth-quarter results driven by strong growth of our data-centric
businesses," said Brian Krzanich, Intel CEO. “The strategic investments we've made in areas like memory,
programmable solutions, communications and autonomous driving are starting to pay off and expand Intel's growth
opportunity. In 2018, our highest priorities will be executing to our data-centric strategy and meeting the
commitments we make to our shareholders and our customers."
“The fourth quarter was an outstanding finish to another record year. Compared to the expectations we set, our
revenue was stronger, our operating margins were higher, and our spending was lower," said Bob Swan, Intel CFO.
“Intel's PC-centric business continued to execute well in a declining market while the growth of our data-centric
businesses shows Intel's transformation is on track."
Intel's fourth-quarter results reflect an income tax expense of $5.4 billion as a result of the U.S. corporate tax reform
enacted in December. This includes a one-time, required transition tax on our previously untaxed foreign earnings,
which was partially offset by the re-measurement of deferred taxes using the new U.S. statutory tax rate. Looking
ahead, the company is forecasting a 2018 tax rate of 14 percent as the Tax Cuts and Jobs Act helps level the
playing field for U.S. manufacturers like Intel that compete in today's global economy.
"Intel has a rich history of investing in U.S.-led research and development and U.S. manufacturing," said Swan.
"The tax reform is further incentive to continue these investments and reinforces our decision to invest in the buildout
of our Arizona factory. It also informed the dividend increase we're announcing today."
* Data-centric businesses include DCG, IOTG, NSG, PSG, and All Other.
^ No adjustment on a non-GAAP basis.
Q4 2017 Financial Highlights
GAAP Non-GAAP
Q4 2017 Q4 2016 vs. Q4 2016 Q4 2017 Q4 2016 vs. Q4 2016
Revenue ($B) $17.1 $16.4 up 4% $17.1^ $16.4^ up 4%
Gross Margin 63.1% 61.7% up 1.4 pts 64.8% 63.1% up 1.7 pts
R&D and MG&A ($B) $5.1 $5.4 down 6% $5.1^ $5.4^ down 6%
Operating Income ($B) $5.4 $4.5 up 19% $5.9 $4.9 up 21%
Tax Rate 111.4% 19.8% up 91.6 pts 21.2% 19.8%^ up 1.4 pts
Net Income (Loss) ($B) $(0.7) $3.6 down 119% $5.2 $3.9 up 34%
due to tax impact
Earnings Per Share $(0.15) $0.73 down 120% $1.08 $0.79 up 37%
due to tax impact
In the fourth quarter, the company generated approximately $7.2 billion in cash from operations, and paid dividends of $1.3 billion.

Full-Year 2017 Financial Highlights
GAAP Non-GAAP
2017 2016 vs. 2016 2017 2016 vs. 2016
Revenue ($B) $62.8 $59.4 up 6% $62.8^ $59.5 up 6%
Gross Margin 62.3% 60.9% up 1.4 points 63.8% 63.2% up 0.6 points
R&D and MG&A ($B) $20.6 $21.1 down 3% $20.5 $21.0 down 3%
Operating Income ($B) $17.9 $12.9 up 39% $19.6 $16.5 up 18%
Tax Rate 52.8% 20.3% up 32.5 points 22.5% 20.3%^ up 2.2 pts
Net Income ($B) $9.6 $10.3 down 7% $16.8 $13.2 up 27%
Earnings Per Share $1.99 $2.12 down 6% $3.46 $2.72 up 28%
For the full year, the company generated a record $22.1 billion cash from operations, and paid dividends of $5.1 billion.

* Data-centric businesses include DCG, IOTG, NSG, PSG, and All Other.
^ No adjustment on a non-GAAP basis.
Q4 2017 Financial Highlights
GAAP Non-GAAP
Q4 2017 Q4 2016 vs. Q4 2016 Q4 2017 Q4 2016 vs. Q4 2016
Revenue ($B) $17.1 $16.4 up 4% $17.1^ $16.4^ up 4%
Gross Margin 63.1% 61.7% up 1.4 pts 64.8% 63.1% up 1.7 pts
R&D and MG&A ($B) $5.1 $5.4 down 6% $5.1^ $5.4^ down 6%
Operating Income ($B) $5.4 $4.5 up 19% $5.9 $4.9 up 21%
Tax Rate 111.4% 19.8% up 91.6 pts 21.2% 19.8%^ up 1.4 pts
Net Income (Loss) ($B) $(0.7) $3.6 down 119% $5.2 $3.9 up 34%
due to tax impact
Earnings Per Share $(0.15) $0.73 down 120% $1.08 $0.79 up 37%
due to tax impact
In the fourth quarter, the company generated approximately $7.2 billion in cash from operations, and paid dividends
of $1.3 billion.
Full-Year 2017 Financial Highlights
GAAP Non-GAAP
2017 2016 vs. 2016 2017 2016 vs. 2016
Revenue ($B) $62.8 $59.4 up 6% $62.8^ $59.5 up 6%
Gross Margin 62.3% 60.9% up 1.4 points 63.8% 63.2% up 0.6 points
R&D and MG&A ($B) $20.6 $21.1 down 3% $20.5 $21.0 down 3%
Operating Income ($B) $17.9 $12.9 up 39% $19.6 $16.5 up 18%
Tax Rate 52.8% 20.3% up 32.5 points 22.5% 20.3%^ up 2.2 pts
Net Income ($B) $9.6 $10.3 down 7% $16.8 $13.2 up 27%
Earnings Per Share $1.99 $2.12 down 6% $3.46 $2.72 up 28%
For the full year, the company generated a record $22.1 billion cash from operations, and paid dividends of $5.1
billion.

* Data-centric growth excludes McAfee.
Business Unit Summary
Key Business Unit Revenue and Trends
Q4 2017 vs. Q4 2016 2017 vs. 2016
PC-centric CCG $9.0 billion down 2% $34.0 billion up 3%
Data-centric
DCG $5.6 billion up 20% $19.1 billion up 11%
IOTG $879 million up 21% $3.2 billion up 20%
NSG $889 million up 9% $3.5 billion up 37%
PSG $568 million up 35% $1.9 billion up 14%
up 21%* up 16%*
In the fourth quarter, Intel saw strong performance from data-centric businesses, which accounted for 47% of Intel's
fourth-quarter revenue, an all-time high. The Data Center Group (DCG), Internet of Things Group (IOTG) and
Programmable Solutions Group (PSG) all achieved record quarterly revenue. Intel's Client Computing Group (CCG)
shipped a record volume of Intel® Core™ i7 processors, launched the new 8th Gen Intel® Core™ processor with
Radeon™ RX Vega M Graphics, and announced an expanding line-up of LTE and 5G multi-mode modems. The
Non-Volatile Memory Solutions Group (NSG) launched the new Intel® Optane™ SSD DC P4800X Series for the data center.
The company is also advancing efforts to compete and win in artificial intelligence with the Intel® Nervana™ Neural
Network Processor, customer momentum for its Intel® Movidius™ vision processing unit (VPU), and continued
customer adoption of Intel® Xeon® Scalable processors. In autonomous driving, Mobileye had a strong finish to
2017 with a total of 30 ADAS customer designs wins as well as design wins for advanced L2+ and L3 autonomous
systems with 11 automakers.
Additional information regarding Intel’s results can be found in the Q4'17 Earnings Presentation available at:
www.intc.com/results.cfm.

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