While revenues continued to slip, AMD managed to bring in $37 million in profit on revenues, which dipped 11 percent from the last quarter, of $1.41 billion. Last year during this reporting period, AMD posted a profit of $61 million.
CEO Rory Read prefaced the results by explaining that AMD isn’t immune to global economic trends.
“Overall weakness in the global economy, softer consumer spending and lower channel demand for our desktop processors in China and Europe made the closing weeks of the quarter challenging,” said Mr. Read. “We are taking definitive steps to improve our performance and correct the issues within our control as we expect headwinds will continue in the third quarter as the industry sets a new baseline.”
AMD’s sales are up 14 percent compared to a 10 year average of 2nd to 3rd quarter results, according to Northland Capital Markets analyst Mike Burton who spoke to Bloomberg.
While these results aren’t as strong as some investors would like them to be, considering AMD’s restructuring under Mr. Read and the summer of silicon discontent — which has seen weak numbers across the market — these numbers are not as bad as they could have been.
Mr. Read expects AMD to grow again in the near future.
“We remain optimistic about our core businesses as well as future opportunities with our competitively differentiated next-generation Accelerated Processor Units (APUs),” he said. “Our recently launched Trinity APU continues to gain traction with customers.”
AMD’s stock closed today at $4.86, down 3 cents or 0.6 percent.