AMD reports small loss despite record $1.65 billion revenueBy Jose Vilches 35 comments
AMD's profitable streak came to an end after two quarters with a relatively small net loss during Q2 of fiscal 2010. Despite reporting record revenue of $1.65 billion, up a massive 40% from $1.18 billion a year earlier, the chip designer saw a net loss of $43 million or $.06 per share. Results were still better than expected, according to industry analysts, and excluding a $120 million equity loss related to its manufacturing spinoff GlobalFoundries, AMD actually saw a profit on a non-GAAP basis of $83 million.
AMD's computing solutions segment increased revenue 4% from last quarter, and 31% over 2009's second quarter. The gains in this segment stem from record shipments of notebook microprocessor and chipset units. Moreover the company really excelled in the graphics business, were it saw revenue grow 8% sequentially and 87% over the year ago quarter, driven by the success of its Radeon HD 5000 series graphics cards.
Speaking of future plans, AMD CEO Dirk Meyer said the company expects to launch their second generation DX11 parts before the end of the year. In this timeframe AMD will also launch the first chips based on the Fusion architecture, dubbed Ontario, featuring two Bobcat x86 cores alongside a DirectX 11 graphics core on the same package. Ontario will be aimed at netbooks, while a second Fusion chip for consumer laptops and desktops will debut sometime next year as Llano.