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AMD sales soar 40 percent
- AMD revenue $1.65 billion, 5 percent sequential increase and 40 percent increase year-over-year
- Net loss $43 million, net loss per share $0.06, operating income $125 million
- Non-GAAP net income $83 million, EPS $0.11, operating income $138 million
- Gross margin 45 percent
AMD has announced revenue for the second quarter of 2010 of $1.65 billion, a net loss of $43 million, or $0.06 per share, and operating income of $125 million. The company reported non-GAAP net income of $83 million, or $0.11 per share, and non-GAAP operating income of $138 million.
“Robust demand for our latest mobile platforms and solid execution drove record second quarter revenue and a healthy gross margin,” said Dirk Meyer, AMD President and CEO. “Our unmatched combination of microprocessor and graphics capabilities resulted in customers launching a record number of new mobile and desktop platforms. We added Sony as a microprocessor customer and continue to see our existing customers expand their AMD-based platform offerings.”
GAAP Financial Results | ||||||
| Q2-10 | Q1-10 | Q2-09 | ||||
| Revenue | $1.65B | $1.57B | $1.18B | |||
| Operating income (loss) | $125M | $182M | $(249)M | |||
Net income (loss) attributable |
$(43)M/$(0.06) | $257M/$0.35 | $(330)M/$(0.49) | |||
Non-GAAP Financial Results | ||||||
| Q2-10 | Q1-10 | Q2-09 | ||||
| Revenue | $1.65B | $1.57B | $1.18B | |||
| Operating income (loss) | $138M | $130M | $(205)M | |||
Net income (loss) / Earnings | $83M/$0.11 | $63M/$0.09 | $(244)M/$(0.37) | |||
Quarterly Summary
- Gross margin was 45 percent
- Cash, cash equivalents and marketable securities balance at the end of the quarter was $1.90 billion, approximately flat from the first quarter.
- During the quarter, AMD used $200 million to repurchase $206 million principal amount of our 6.00 percent Convertible Senior Notes due 2015.
- Computing Solutions segment revenue increased 4 percent sequentially and 31 percent year-over-year. The increases were primarily driven by record notebook microprocessor and chipset unit shipments.
- Operating income was $128 million, compared with $146 million in Q1-10 and an operating loss of $67 million in Q2-09.
- Microprocessor average selling price (ASP) was flat sequentially and increased year-over-year.
- AMD demonstrated the world’s first Fusion Accelerated Processing Units (APU), codenamed “Ontario” and “Llano”, at Computex. Fusion APUs combine the microprocessor and graphics processor unit (GPU) onto a single piece of silicon to deliver breakthroughs in visual computing, user interface and performance-per-watt while enabling new PC designs.
- Sony joined the ranks of global PC companies offering AMD microprocessor-based solutions. Acer, Dell, HP, Lenovo, Sony, and Toshiba announced new notebooks featuring VISION Technology from AMD for the back-to-school and holiday buying periods. Global PC manufacturers have tripled the number of notebook offerings featuring VISION Technology in the last year.
- AMD launched the world’s first server platform designed specifically for cloud and hyperscale data centers, featuring the industry’s lowest power-per-core x86 server processor. Acer, Dell and HP announced plans to adopt the Opteron 4000 Series for their product offerings.
- AMD microprocessors power the highest-performing supercomputer in the world and three of the top four systems in the most recent TOP500 Supercomputers list. AMD is the only company with both microprocessor and GPU technology on the list.
- Graphics segment revenue increased 8 percent sequentially and 87 percent year-over-year. The sequential increase was driven by record GPU unit shipments, partially offset by a decrease in ASP. The year-over-year increase was driven by an increase in GPU shipments and ASP.
- Operating income was $33 million, compared with $47 million in Q1-10 and a loss of $17 million in Q2-09.
- In just three quarters, AMD has shipped more than 16 million Microsoft DirectX 11-capable GPUs. The ATI Radeon HD 5000 series remains the industry’s only complete top-to-bottom family of DirectX11-compatible graphics solutions.
- Dell adopted the latest ATI FirePro professional graphics products in its highest-performing workstations designed for graphics-intensive professions.
Current Outlook
AMD expects revenue to be up seasonally for the third quarter of 2010.