Feeds

AMD fools Wall Street, posts smaller loss than expected

Xbox One, Nintendo Wii U, and Sony PS4 will goose bottom line

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

A day after its competitor Intel posted financial results for its most recent quarter that came in slightly below analyst's estimates, AMD bucked that disappointing trend – but it's not quite out of the woods yet.

AMD reported its second quarter results on Thursday after markets closed, and reported a loss of $0.09 per share (non-GAAP) on sales revenues of $1.16bn.

GAAP results were reported at a loss of $0.10 per share but, as an AMD spokesman noted in an email reporting the results, when compared to analyst's predictions, "[Those] estimates best align with our non-GAAP results (loss of $0.09), which primarily excludes the positive impact ($.01) from restructuring charges and amortization of acquired intangible assets."

The Wall Street moneymen missed this one. The consensus of the 26 analysts polled by Yahoo! Finance had projected that AMD would lose $0.13 per share on revenues of $1.11bn. NASDAQ's analysts were a tad less pessimistic, with a projection of that all-important earnings per share (EPS) figure pegged at a loss of $0.12, matched by CNNMoney.

AMD's stock price seesawed immediately after its Q2 2013 results were announced, first spiking to just under $4.80 per share, then dipping to $4.40, then rising again to just under $4.50. As we click Publish on this report, it's started to sink a wee bit again.

Despite the negative EPS numbers, AMD president and CEO Rory Read expressed satisfaction with his company's quarterly performance. "Our focus on restructuring and transforming AMD resulted in improved financial results," he said in a statement. "Our performance in the second quarter was driven by opportunities in our new high-growth and traditional PC businesses."

In addition to reporting its financial results, AMD also announced on Thursday that it was renaming the Graphics segment of its reportable revenues and expenses. Henceforth it will be known as the Graphics and Visual Solutions segment to reflect the larger role of such aspects of the company's business as its semi-custom chips for game consoles.

Touching on the quarter's highlights, AMD touted Microsoft's announcement that the Xbox One will feature a semi-custom AMD SoC. "AMD technology is inside all three of the next generation gaming consoles: Nintendo Wii U, Sony PS4, and Xbox One," the company's statement boasted.

That's certain to be a boost to AMD's bottom line – and an accomplishment that Intel can't match. ®

Boost IT visibility and business value

More from The Register

next story
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Premier League wants to PURGE ALL FOOTIE GIFs from social media
Not paying Murdoch? You're gonna get a right LEGALLING - thanks to automated software
Online tat bazaar eBay coughs to YET ANOTHER outage
Web-based flea market struck dumb by size and scale of fail
Amazon takes swipe at PayPal, Square with card reader for mobes
Etailer plans to undercut rivals with low transaction fee offer
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
XBOX One will learn to play media from USB and DLNA sources
Hang on? Aren't those file formats you hardly ever see outside torrents?
Class war! Wikipedia's workers revolt again
Bourgeois paper-shufflers have 'suspended democracy', sniff unpaid proles
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
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.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.