The year started off on the wrong financial foot for Advanced Micro Devices Inc. (AMD), as the Sunnyvale, Calif.-based microprocessor maker posted what its CFO called a “disappointing and unacceptable” Q1 financial report.
AMD reported Q1 revenue of $1.23 billion, 30 percent down from $1.77 billion in sales for Q4 2006 and 7 percent lower than $1.33 billion in Q1 2006. AMD posted a net loss of $611 million, down from its $576 Q4 net loss and its Q1 2006 net income of $185 million. The company also posted a Q1 operating loss of $504 million, up slightly from the $529 million loss it posted in Q4, but still far from the $259 million operating income it made in Q1 2006. AMD’s Q1 gross margin was 31 percent, down from 40 percent in Q4 and 59 percent in Q1 2006.
Source: Eletronic News