AMD Drops Sharply on 12th Straight Loss
Advanced Micro Devices, the number two PC chipmaker to Intel, reported a smaller loss in the third-quarter on declining revenues. The Sunnyvale, Calif-based concern showed sequential improvement and topped average estimates as demand from the PC market ticked up during the period.
Regardless, shares in the company were down precipitously after the opening bell Friday, changing hands at $5.83, a drop of almost 6% from its Thursday closing price.
The third-quarter loss was AMD's 12th-straight quarterly loss.
After the closing bell on Thursday, AMD reported over a 20% decline in sales compared to the year-ago period, landing at $1.4 billion. Still, the company said sales increased 18% versus the second quarter, while forecasts showed many expecting AMD to report $1.26 billion in sales.
AMD also said demand in China bolstered results in the quarter.
AMD's bottom-line loss narrowed to 18 cents per share compared to a 22-cent per share loss in the year-earlier quarter.
The third-quarter earnings showing, which was also aided by a $66 million gain from a debt repurchase, bettered the 42-cent loss forecast offered by analysts surveyed by Thomson Reuters.