The company recorded net profit of US$234 million for the quarter ended Dec. 27, compared to $2.27 billion in last year's fourth quarter. The net profit also fell short of the $257.22 million consensus expectation from analysts polled by Thomson Reuters.

The results included a loss of $1.1 billion from equity investments and interest, primarily due to a billion-dollar reduction in the value of Intel's investments in Clearwire, the company said.

The company's fourth-quarter revenue was in line with lowered expectations of $8.2 billion. Fourth-quarter revenue was down 23 percent year-over-year and 19 percent sequentially. Revenue from microprocessors and chipsets was lower compared to the third quarter.

The bright spot for Intel this quarter was the sales of Atom chips that go into netbooks, small laptops designed for Web surfing and productivity applications. Revenue from Atom microprocessors and chipsets was up 50 percent sequentially to $300 million.

Intel did not project revenue guidance for the first quarter of 2009, citing "economic uncertainty and limited visibility."