Menu
AMD narrows loss as it inches to profitability

AMD narrows loss as it inches to profitability

The AMD CEO says product demand during its third quarter was strong

Advanced Micro Devices on Thursday narrowed its net loss during the third quarter of 2009 as the company inches closer to profitability.

The company reported a loss of US$128 million, or $US0.18 a share, for the quarter ended Sept. 26. The loss is lower than the $US134 million, or $US0.22, the company reported in the third quarter of 2008.

AMD reported revenue of $US1.4 billion, down 22 percent compared to the previous year, but topping expectations of $US1.26 billion based on estimates polled by analysts at Thomson Reuters. Revenue increased by 18 percent compared to the second quarter.

The company saw strong demand for its processors and graphics chips during the third quarter, said Dirk Meyer, AMD's president and CEO, in a statement. Microprocessor and graphics unit shipments grew compared to the second quarter.

The company also benefited from higher average selling prices and an increase in shipment of chips manufactured using the new 45-nanometer process. During the previous quarter the company was affected by falling chip prices and an aging inventory of old chips made using the older 65-nanometer process.

The company took a number of recent steps in order to reach profitability. In the first quarter it spun off manufacturing assets to a separate company called GlobalFoundries, which unloaded close to $US1.1 billion in debt from AMD's books. GlobalFoundries is a joint venture with investment firm Advanced Technology Investment Company, which is owned by the Abu Dhabi government.

Advanced Micro Devices also told employees last month that it was reinstating old salaries after canceling an earlier cost-cutting program in which the company cut pay by 5 percent to 20 percent. Meyer at the time asked employees to control spending until the economy fully recovers.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags AMD

Events

Featured

Slideshows

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

This year’s Reseller News 30 Under 30 Tech Awards were held as an integral part of the first entirely virtual Emerging Leaders​ forum, an annual event dedicated to identifying, educating and showcasing the New Zealand technology market’s rising stars. The 30 Under 30 Tech Awards 2020 recognised the outstanding achievements and business excellence of 30 talented individuals​, across both young leaders and those just starting out. In this slideshow, Reseller News honours this year's winners and captures their thoughts about how their ideas of leadership have changed over time.​

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners
Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments