AMD Reports Fourth Quarter and Annual Results

Kuroimaho · Jan 23, 2009

If you have been wondering how will the depression effect AMD's break even plan, the answer has been given. Read more at AMD.

SUNNYVALE, Calif. -- January 22, 2009 --AMD (NYSE:AMD) today reported fourth quarter 2008 revenue from continuing operations1 of $1.162 billion. Fourth quarter 2008 revenue decreased 35 percent compared to the third quarter of 2008 and 33 percent compared to the fourth quarter of 2007. Fourth quarter 2008 revenue was down 28 percent sequentially, excluding third quarter 2008 process technology license revenue of $191 million.

In the fourth quarter of 2008, AMD reported a net loss of $1.424 billion, or $2.34 per share. For continuing operations, fourth quarter 2008 loss was $1.414 billion, or $2.32 per share, and the operating loss was $1.274 billion. The results for continuing operations include an unfavorable impact of $996 million, or $1.64 per share as described in the table below. Loss from discontinued operations was $10 million, or $0.02 a share.

For the year ended December 27, 2008, AMD achieved revenue of $5.808 billion. Fiscal 2008 net loss was $3.098 billion. AMD reported revenue of $5.858 billion and a net loss of $3.379 billion for fiscal 2007.

This isn't as bad as I thought it could be, but the worst is yet to come as even Intel is struggling to break even in Q1 and AMD's margin was very thin (43%) last quarter I wonder selling the I7 size Phenom2 for C2Q price will effect it. Intel is sitting on a large inventory and it is still piling up thanks to the economy they might cut more to flush the channel.
This year will be challenging.

mxthunder · Jan 23, 2009

Interesting. I hope they BOTH do good. I like competition, as much as I want AMD to do better. I bet it will be 3+ years before things are totally back to normal.

bldegle2 · Jan 23, 2009

the amount of the losses is staggering......it isn't just AMD, the tech sector is taking a real beating right now.....

one has to wonder just how long the Dinoob connection will last after the honeymoon...

still, the phenomII is a huge step, albeit a bit late to market....

laterzzzz............

Dolk · Jan 23, 2009

Yeah intel just closed a couple fabs this month. They were nothing big, something to do with flash memory and other small computer parts. Right now I wish I had money to put into AMD stock. Even though it is really low, I'm confident that they will pull out of this big mess.

9950 BE · Jan 23, 2009

I here you Dolk, I've been saying the same thing.

I think it's tougher being "big" in a slim economy, your overhead by nature is MUCH higher. It's best to be in the middle as you have some ability to shift either way. It's the large and small that suffer the most, at least in my business.

solstice · Jan 24, 2009

Well, TSMC reported 40 to 50% down. NVIDIA reported earnings warning for the last quarter 40 to 50% down. Hey, they beat quite a few company with that report. Keep in mind that the semiconductor is in serious hurting.

Kuroimaho · Jan 24, 2009

Indeed AMD was working on reducing the inventory in the channel last year and that could help them in these troubled times but if Intel wants to break even and decides to flush theirs with price cuts could be hard to match for AMD considering the die sizes.

Seems ATIC buys more of AMD which might be the reason the stock kept upLink

AMD Reports Fourth Quarter and Annual Results

Kuroimaho

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mxthunder

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bldegle2

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Dolk

I once overclocked an Intel

9950 BE

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solstice

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