AMD reports $358m net loss - PC Retail

AMD reports $358m net loss

Another quarter without profit for the chip maker, despite rise in revenues
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AMD reported Q1 2008 revenues of $1.5 billion – which translates to a net loss of $358 million and an operating loss of $264 million.

While on the face of these seem like suitably dire figures, it should be remembered that they include $50 million worth of ‘ATi related charges’ – a hangover from the recent purchase.

Revenue also increased 15 per cent compared to Q4 2007, and 22 per cent compared to Q1 2007.

Looking forward, the chip maker said it expects revenue to decrease and to incur restructuring charges during Q2.

“A seasonally weak first quarter was amplified by a challenging economic environment for consumers and lower than expected revenues of previous generation products, resulting in lower than expected revenues in all business segments. However, we are encouraged by the market acceptance of our Quad-Core AMD Opteron server processors as well as our new chipset and graphics offerings,” said Robert Rivet, AMD’s chief financial officer.

“We remain committed to achieve operating profitability in the second half of the year, driven by our portfolio of new products and platforms and aggressive restructuring programs.”

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