Well, AMD has some good news and some bad news in its freshly released quarterly results announcement. The good news: AMD didn't lose any money in the second quarter. And the bad news: the company's revenue, profits, and gross margin were all down compared to the same quarter a year ago. See for yourself:
|Q2 2011||Q1 2012||Q2 2012|
|Revenue||$1.57 billion||$1.59 billion||$1.41 billion|
|Net income||$61 million||-$590 million||$37 million|
This shouldn't come as a surprise if you've kept up with AMD news, of course—the chipmaker announced last week that Q2 revenue would fall short of expectations. True to the revised guidance, revenue ended up dropped about 11% sequentially, despite previous predictions of a 0-3% increase.
AMD CEO Rory Read blames the poor results on "overall weakness in the global economy, softer consumer spending and lower channel demand for our desktop processors in China and Europe." He adds:
We are taking definitive steps to improve our performance and correct the issues within our control as we expect headwinds will continue in the third quarter as the industry sets a new baseline. We remain optimistic about our core businesses as well as future opportunities with our competitively differentiated next-generation Accelerated Processor Units (APUs). Our recently launched Trinity APU continues to gain traction with customers. We are committed to driving profitable growth.
It looks like AMD's graphics products fared better than its processors. The chipmaker says its Computing Solutions business saw a 13% revenue decrease from $1.20 billion to $1.05 billion, while its GPU sales were flat compared to last year, staying put at $367 million. GPU average selling prices (ASPs) increased year-over-year, too, while microprocessor ASPs fell.
Looking ahead to the ongoing quarter, AMD forecasts a revenue decrease of "1 percent, plus or minus 3 percent."
|Brawling my way through Batman: Arkham Origins||5|
|Heavyweight rematch: Gigabyte X79-UP4 vs. MSI X79A-GD45 Plus||2|
|Thursday Night Shortbread||7|
|Acer's Iconia W4 tablet offers Bay Trail, 8'' display for $330||21|
|AMD issues statement on R9 290X speed variability, press samples||110|
|MSI's new gaming notebook has a 2880x1620 screen||27|
|Next-gen Intel SSDs could have 2TB capacities, integrated heatsinks||32|
|Data suggests consumer drives are as reliable as enterprise models||58|
|Valve joins the Linux Foundation||69|
|They had a 40M mail-in-rebate.||+29|