AMD loss shrinks in Q3

Up on Q2, year-ago Q3

AMD's loss narrowed during its third quarter on the back of much-improved sales during the three months to 28 September. The chip maker lost $31 million (nine cents a share) on sales of $954 million.

Sales were up 88 per cent on the $508 million it reported this time last year and up 48 per cent on the previous quarter. Processor sales were up 91 per cent year on year to $503 million. That figure represents a sequential increase of 24 per cent. Flash sales, at $424 million, were more than twice what they were during Q2, but bear in mind that AMD now incorporates figures from its Flash JV with Fujitsu, FASL, into its books.

For the year-ago quarter, AMD reported a loss of $254 million (74 cents a share), and was $140 million (40 cents a share) in the red during Q2 2003.

"As a result of our sales growth and operational efficiencies, we reduced our third quarter operating loss by 76 per cent to $30 million from $123 million last quarter," said AMD CFO Robert J Rivet. "We more than doubled our positive EBITDA quarter-to-quarter to $277 million, generated positive cash flow from operations and ended the third quarter with a cash balance of $1.076 billion, up from $706 million in the second quarter." ®