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Wednesday, 25 January 2012 09:23

AMD expects weak first quarter

Written by Fudzilla staff



Swings to loss in Q4


AMD seems to have had a pretty turbulent quarter, swinging back to a net loss and voicing concerns about the weak economy and slow PC sales in the process.

The outfit took a $177 million net loss in Q4, but revenue was up 2 percent from a year ago and the loss is attributed to a one-time impairment charge related to the Globalfoundries spinoff. Non-GAAP net income was $138 million and AMD also had to cough up $98 million in restructuring charges, on top of the Globalfoundries impairment.

CEO Rory Read stressed that AMD’s product portfolio was improving and that its latest APUs have been a success. AMD shipped 30 million APUs so far and Read noted that the Brazos low-end parts were the fastest growing platform in AMD’s history.

However, AMD is expecting a downturn in Q1. The company expects revenues to slump about 8 percent in the first quarter, mainly due to weak economy and other external factors.

Fudzilla staff

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