Latest financial results show a smaller loss.
AMD losing money may not be big news, it’s been doing so for a while, but AMD losing less money this year than it was last year is of note. So while a net loss of $416 million may sound bad, it’s a definite improvement on the Q4’08 net loss of $1.44 billion.
Year on year AMD’s figures paint a less attractive picture. AMD only recorded a $364 million net loss for Q1 last year, some 50 million better that 2009. Revenue also worsened ear on year, from $1.49 billion in Q1’08 to $1.12 billion in Q1’09 (also down from $1.62 in Q4’08).
Nonetheless, considering the climate in which these results have been achieved – especially with some other companies’ outlooks worsening – AMD’s CEO Dirk Meyer could be be justified in suggesting that: “AMD’s sequential microprocessor unit and revenue growth in difficult economic conditions demonstrate we can grow in an environment where customers are looking for maximum value.”
AMD does have reason to be optimistic. This quarter saw the AMD complete the creation of GlobalFoundries, spinning off its manufacturing business into a separate entity – one which is swallowing a large amount of previously AMD-owned debt it must be added. It’s going to be interesting to see if “a more nimble AMD, capable of achieving long-term success” results.