AMD posts flat revenue, continued losses

Another quarter, another few hundred million dollars down the drain for AMD. The company has posted its financial results for the second quarter of this year, and not so surprisingly, it remained in the red: net losses totaled $330 million on revenue of $1.184 billion. (Without accounting for GlobalFoundries, non-GAAP net losses were a still-hefty $244 million.)

Those total numbers actually represent slight improvements over the first quarter, when AMD posted a $416 million net loss on $1.177 billion revenue. Compared to Q2 last year, AMD saw a 13% drop in revenue and a 72% drop in net losses—bad in the first case, good in the second. Another not-so-great development: the chipmaker's gross margin dropped sequentially from 43% to 37% last quarter.

Slumping revenue shouldn't surprise anyone, of course. According to the latest figures from iSuppli, PC shipments fell by 5.2% between Q2 2008 and Q2 2009, while microprocessor shipments as a whole plunged by 20.8%. The recession certainly didn't spare Intel, whose revenue sank around 15% over the same time period.

Looking at the ongoing quarter, AMD expects revenue for its product business to be "up slightly." For what it's worth, iSuppli forecasts that PC shipments will rise sequentially by 11% this quarter and 8.9% next quarter.

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