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Flash drags down AMD

Record CPU shipments

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AMD made a net loss of $9.163m on sales of $902.073m in Q1 ended March 31, 2002. Sales were down 24 per cent on the same period last year, and five per cent sequentially from Q4.

The company said that flash memory sales continued to be weak, totting up $160m in sales in the March quarter, a huge fall on the $411m recorded in Q1 last year, and well down on Q4's $196m. The company thinks the worst of the flash memory market sales crash is over, and says it is gaining market share in the cellular phone market.

Now for better news. AMD pumped out a record number of CPUs in Q1, and PC processor sales of $684m were up three per cent in the same period last year ($661m) and down three per cent on the $703m recorded in Q4. That's not bad news - the December quarter is always strong, as system builders rush to fulfil Christmas orders.

In a statement accompanying the results, AMD chairman Jerry Sanders said the company's transition to 130 nanometer manufacturing technology was proceeding well, with completion likely to take place before the previously announced year-end target. He also said the that Hammer, AMD's 64-bit CPU platform is currently sampling with OEMs and will launch by the end of the year. ®

AMD press release

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