AMD continues its downward spiral posting slumping Q1 results
Chip maker AMD has unveiled its financial recent results for the first quarter of 2013, showing unsatisfactory figures considering a “difficult market environment”.
The company posted a gross revenue of $1.09 billion, that represent a year-on-year decrease in 31% along with a gross margin of 41%. This vastly reduced income provided rise with an operating decrease of $98 million – increased to $146 million while operating expenses are taken into consideration. Shares also slumped $0.19 to their current trading value of about $2.50.
Rory Read, AMD’s president and CEO, said in an interview:
Our first quarter results reflect our disciplined operational execution in a difficult market environment.
Read went on to add:
We have largely completed our restructuring and are now focused on delivering a powerful set of new products that will accelerate our business in 2013. We will continue to diversify our portfolio and attack high-growth markets like dense server, ultra low-power client, embedded and semi-custom solutions to create the foundation for sustainable financial returns.
Well its not all lost however, the PS4 and the proposed Durango deal can keep them a float a while longer as it will help them more into the future. I do not think they will be generating much income on hardware sales however it improves their economies of scale to produce the ever popular APU’s.
An enormous bonus on their behalf is going to be about a year after the PS4 and X720 are released and all the innovative games are written for that 8 core APU. It will allow the top of the line graphics to reach the new Xbox and PlayStation 4 and offer a relatively cheap (~$600) a desktop for PC users as it will be optimized for them.
We are nearing a very exciting future of PC gaming now that everything is going to be x86.