AMD raises Q4 guidance
Advanced Micro Devices Inc broke its run of bad news yesterday, when it announced that fourth quarter sales would be better than previously forecast.
The company said it was raising its guidance on the back of stronger than expected PC processor demand and continued strength in its high density flash memory products.
The announcement suggest the PC and wireless markets, which take its CPU and flash products respectively, may also be doing better than expected.
The Sunnyvale, California-based company said it expected fourth quarter sales to hit $700m, 35% up on the previous quarter's $508m. Last year its fourth quarter sales were $951.9m.
The company made no comment on its expected loss for the quarter. The company has previously said it is trying to lower its break-even point to $775m. The company has also previously said it expects charges of $563m to $863m in the fourth quarter covering restructuring and the establishment of a 100% valuation allowance against its deferred net tax assets.
AMD said its flash sales "continued to be strong" particularly in the high-end mobile phone market. In the PC processor market, it said it was benefiting from a "more competitive and richer product mix and increased seasonal demand for personal computers."