Feeds

ATI posts strong Q2

But don't expect Q3 to be better, it warns

  • alert
  • submit to reddit

ATI's last night reported solid second quarter figures with big gains over the year-ago quarter and a small rise in income over the previous three-month. However, it warned investors not to expect sequential gains going forward.

Q2 2004 sales totalled $463.3m, down just 1.4 per cent on Q1's $469.7m, but up 47.8 per cent on the same period last year, when sales reached just $318.5m.

Those revenues yielded a Q2 net income of $47.6m (19 cents a share), up fractionally on the previous quarter's $47.4m (19 cents a share), and significantly better than the $8.3m (nine cents a share) ATI lost during Q2 2003.

Gross margins were down slightly sequentially, dropping from 35.9 per cent to 34.8 per cent. ATI's cash reserves increased $88.5m during the quarter to $468.5m.

Looking ahead, ATI said it expects sales to remain flat during Q3, falling between $440m and $480m. This would still yield a big jump over Q3 2003, and if ATI can keep revenues flat rather than down, it will have held its head high through one of the business' traditional weak spots.

The company is expected to release its next major chip, the R420, during Q3 and begin its shift toward the new PCI Express interface. ®

Related Stories

ATI 'drops pixel, vertex shader 3.0 support' from R420
ATI Q1 sales up 40%
Nvidia next-gen chip 'to launch 13 April'

Whitepapers

A new approach to endpoint data protection
What is the best way to ensure comprehensive visibility, management, and control of information on both company-owned and employee-owned devices?
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.