AMD Announces Q2 Results, Posts US$330 Million Loss

Sunnyvale, California-based Advanced Micro Devices announced on Tuesday the second quarter results, posting a loss of $330 million. With the announcement, AMD said that the revenue was flat, compared to the first quarter of this year and was down 13 percent compared to the second quarter of last year. The world's second largest chip maker offered no specific details regarding its expectations for the rest of the year.

“The AMD Product Company successfully executed its product and technology roadmaps in the first half of the year, including introducing the Six-Core AMD Opteron processor months ahead of schedule. While we increased cash, exceeded our revenue plan and reduced operating expenses in the second quarter, gross margin was disappointing,” said Dirk Meyer, AMD president and CEO. “New platform, microprocessor and graphics introductions planned for the second half of 2009 position us well to improve margins and meet our financial goals for the year.”

According to the financial figures that were presented by AMD yesterday, the company recorded a second quarter revenue of US$1.184 billion, with a US$330 million net loss. The company's operating loss was of US$249 million, while the non-GAAP net loss was of US$244 million and the non-GAAP operating loss was of US$205 million. The company's gross margin was 37 percent.

AMD didn't not provide any specific details regarding its expectations for the rest of the year, saying that “Considering current macroeconomic conditions, limited visibility and historical seasonal patterns, AMD expects its Product Company revenue to be up slightly for the third quarter of 2009.”

Since the beginning of this year, the chip maker has had a number of releases, including its new six-core Opteron processors, formerly codenamed Instanbul, the first 40nm-based Radeon HD 4770 graphics card, new dual-core Neo processors, the first 1GHz graphics processors and the new, high-performance Phenom II 955 Black Edition processor.