Just a couple of days after Intel posted its second-quarter financial results, AMD has done the same. Q2 2010 was the best quarter ever for Intel, and AMD broke a revenue record of its own, raking in $1.65 billion over the three-month period. Even with record-breaking revenue, however, AMD still turned in a $43 million loss for the quarter. Here's how Q2 compared to the first quarter of this year and the second quarter of last year:
Q2 2009 Q1 2010 Q2 2010 Revenue $1.18 billion $1.57 billion $1.65 billion Net income -$330 million $257 million -$43 million Gross margin 37% 47% 45%
As you can see, AMD's gross margin fell by two percentage points from the first quarter of this year. Intel, by contrast, enjoyed a whopping 67% gross margin in Q2 2010.
There's good news in the financial results for both AMD's Computing Solutions and Graphics departments, though. The former saw its revenue increase 4% sequentially thanks primarily to record notebook CPU and chipset shipments. On the graphics front, revenue increased 8% from the first quarter, again due to record shipments. Graphics revenues would have been even higher had AMD not suffered a decrease in average selling prices over the quarter.
A note attached to the financial results suggests that GlobalFoundries is still costing AMD money. The note lists a $120 million "equity loss related to GF" but doesn't elaborate on whether it's a one-time deal or if we can expect additional equity losses in future quarters.