AMD posts $20 million loss, but beats forecasts; wall street pleased

[nicehat]

 

AMD reported a first-quarter loss of $20 million, or 3 cents a share, on $1.4 billion in revenue. Wall street had originally predicted AMD would earn 0 cents per share this quarter. During the same period a year ago, the chipmaker lost $146 million, or 19 cents a share, on sales of $1.09 billion. AMD shares rose 5.7% in after-hours trading following its results. In addition, the company's graphics and visual solutions unit's sales more than doubled to $734 million. Makes sense, the cyclical nature of console revenue predicted that this would happen for the current quarter. Looks like they are making all the right moves to see that other sources of revenue are helping to pick up the slack. Its also great to see that each year, they lose less and less than years prior

 

http://www.reuters.com/article/2014/04/17/us-amd-results-idUSBREA3G25U20140417

[Assassin]

LOL way to go AMD. Loosing money in style. 

[DudeWazap]

Wow the Xbox one and PS4 really helped them a lot.

[amintha1992]

20 million is not much. this is way better than what HTC lost.

 

looks like AMD is back on track

[flibberdipper]

Nooooo AMD Stop losing money!

[mr moose]

They basically had the same results last quarter, so it seems they are on a slow path.  I am hoping their server endeavors will help push them back into the black.

[nicehat]

They basically had the same results last quarter, so it seems they are on a slow path.  I am hoping their server endeavors will help push them back into the black.

 

 

Well, I dont know about that. They had $300 million in additional revenue this time around and their losses went from $146 million Q1 last year to $20 million for the same period quarter... I think that rate of change is tremendous. 

[TechFan@ic]

They basically had the same results last quarter, so it seems they are on a slow path.  I am hoping their server endeavors will help push them back into the black.

No actually last quarter AMD made 1.59 billion in revenue & 140+ million profit. Remember though that the tech industry is seasonal & Q4 always scores the biggest profits.

[Tea1337]

They're doing better thats for sure. With all the miners wanting AMD cards they didn't loose as much this year, and with the sales of the current gen gaming consoles.

[nicehat]

They're doing better thats for sure. With all the miners wanting AMD cards they didn't loose as much this year, and with the sales of the current gen gaming consoles.

 

Yup, graphics sales more than doubled...It was a good boost.  

[mr moose]

No actually last quarter AMD made 1.59 billion in revenue & 140+ million profit. Remember though that the tech industry is seasonal & Q4 always scores the biggest profits.

 

I got the info from here:

 

For the year ended December 28, 2013, AMD reported revenue of $5.3 billion, operating income of $103 million and a net loss of $83 million, or $0.11 per share.

 

 

Worked out on average (which is why I said slow path) because the console sales kicked in hard (giving them an 89M net income) in the final quarter to be about 21Million a quarter in losses. 

http://www.marketwatch.com/story/amd-reports-2013-fourth-quarter-and-annual-results-2014-01-21

 

EDIT: just realised I said quarter in my first post, should read year.  Sorry.

[Admire]

Good....We need as much competion as possible.

[mr moose]

Good....We need as much competion as possible.

The sad part about this is that they are only one company yet the only competition on two fronts CPU and GPU.   Take them out of the picture and you could easily watch the cost of a decent pc double.

[Almercenary]

20 mil loss for them  isn't that much. Maybe they have a 100 year plan to bring losses to 0.  You'd be jumping with glee if you'd invested in AMD stocks though with that much of a rise.

[piggykid1]

I saw that article earlier today. I'm glad there doing better now only company with affordable 8-core processors

[A/C]

The sad part about this is that they are only one company yet the only competition on two fronts CPU and GPU.   Take them out of the picture and you could easily watch the cost of a decent pc double.

 

 

The sadder part is that despite that AMD is around it's still happening. 1000$ GTX Titan? 3000$ GTX Titan Z?

[nicehat]

The sadder part is that despite that AMD is around it's still happening. 1000$ GTX Titan? 3000$ GTX Titan Z?

 

Hey, if you are in the market for a Cadillac, chances are you will find someone willing to sell you one.

 

[mr moose]

The sadder part is that despite that AMD is around it's still happening. 1000$ GTX Titan? 3000$ GTX Titan Z

 

Um, not really the same thing.  No one is forced to buy either of those cards in order to get top end results.

[matin94]

AMD! What are you do

[papeles]

plot twist: Amd files bankrupcy and get's aquired by nvidia

[A/C]

Um, not really the same thing.  No one is forced to buy either of those cards in order to get top end results.

 

By that logic, even your previous post regarding prices doubleing if AMD wasn't around people who need them would still buy nvidias cards at double the price. Nobody would force them. AMD and Nvidia aren't the only GPU makers...

[TacticlTwinkie]

Nice. I've always liked AMD. Glad to see that they seem to be on the up and up. Only my most recent build doesnt feature anything by AMD/ATI. Hopefully this trend continues and we can see some new high end cpus from them. I'd be more than happy to jump back on the AMD train, if their offerings are up to snuff, of course.

[mr moose]

By that logic, even your previous post regarding prices doubleing if AMD wasn't around people who need them would still buy nvidias cards at double the price. Nobody would force them. AMD and Nvidia aren't the only GPU makers...

I don't think you understand how competition works,  a company can be in competition and have over priced top shelf products,  but as soon as you remove the competition then ALL products can become overpriced.  

[Dylan522p]

The sadder part is that despite that AMD is around it's still happening. 1000$ GTX Titan? 3000$ GTX Titan Z?

Neither of those are consumer cards. They aren't neutered in DP like the consumer GPUs are.

[A/C]

I don't think you understand how competition works,  a company can be in competition and have over priced top shelf products,  but as soon as you remove the competition then ALL products can become overpriced.  

 

Exactly, and by your logic anyone who needs a gpu from nvidia will buy it despite the price doubling up, even a 750 ti... My argument is that nvidia already overprices its products in spite of competition form AMD bacause it knows AMD can't undercut them in that particular market the Titan and Titan Z cover. There's no valid reason the titan z should be 3000 usd (other than "people who need it MUST pay premium" -why do you must pay premium, bacause you have the money? How nice...). The technology and manufacture process aren't that expensive. The G92 chip was just as expensive to make as the GK110 today and yet we didn't pay for the 9800 GX2 2k or 3k back in the day when it was the fastest card...

 

I'm not arguing about the first part of your statement, but the second where you said: "No one is forced to buy either of those cards in order to get top end results." If you remove the competition you will be forced to buy any card at double the price, wether you like it or not. If you wanna game you'll have to dish out at least 400$ for a low end card theoretically. That's my argument. Don't clinge to me mentioning the Titan as an example as it's the only real example you can give to that situation as it is now, but theoretically the GTX 750 would cost two times more than today and it's an entry level low-end gaming GPU. And people would still argue it's a fair price for a gaming-grade experience when it obvously isn't...