Feeds

What's inside AMD's life-support machine? A big pile o' PlayStation 4s and XBox Ones

Sick man of silicon's x86 sales hit hard by PC world, but CEO seems happy

Intelligent flash storage arrays

AMD execs are remaining optimistic despite emerging from a quarter in which the company made an eight-figure net loss and fell short of analyst estimates.

In Q2 2014, ending June 29, the chipmaker bagged $1.44bn in revenue, up 24 per cent year on year. However, it recorded a GAAP net loss of $36m for the quarter, down from the $74m hit it took in the year-ago period.

AMD's Computing Solutions unit – primarily its x86 microprocessors business – suffered a 20 per cent drop in revenue to $669m. That unit banked an operating income of $9m, compared to $2m in Q2 2013. Falling operating expenses offset its disappointing sales of PC CPUs, we're told.

Over in the Graphics and Visual Solutions unit, that division recorded revenues totaling $772m, a 141 per cent increase over last year. Sales of the unit's semi-customized system-on-chips were given much of the credit for the increase. The division recorded an operating income of $82m, although there is no year-ago figure.

The semi-custom SoC wing pumps out processors for Microsoft's Xbox One and Sony's PlayStation 4 games consoles. The professional graphics and OEM GPU sections of the unit were also credited with strong quarters.

These figures should give some cause for optimism at AMD, said CEO Rory Read. "We have made significant progress in transforming our company," the chief boasted on a conference call. "We are clearly executing our strategy."

Investors, however, were less enthused by the news. The company's non-GAAP earnings per share of $0.02 fell short of the estimated $0.03 return, and AMD stock was down 1.93 per cent on the day.

Edison Investment Research analyst Dan Scovel said the numbers reflect a "stable, but disappointing, growth and recovery."

"The good news is AMD's recovery remains intact, albeit at a subdued trajectory," he noted.

AMD's numbers were once again dwarfed by rival Intel, which earlier this week reported second-quarter revenues of $13.8bn – and a net income of $2.8bn, nearly twice AMD's entire revenues for the period. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Spies, avert eyes! Tim Berners-Lee demands a UK digital bill of rights
Lobbies tetchy MPs 'to end indiscriminate online surveillance'
How the FLAC do I tell MP3s from lossless audio?
Can you hear the difference? Can anyone?
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.