AMD reduces headcount by 7 percent and expects a decline in revenue by 13 percents

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POSTER: computer news   ||   AMD REDUCES HEADCOUNT BY 7 PERCENT AND EXPECTS A DECLINE IN REVENUE BY 13 PERCENTS	DATE:2014-10-17
In the third quarter, AMD was able to once again achieve a break-in net income with a modest $ 17 million., But it is a positive result.  Revenue for the whole company was $ 1.43 billion. - At a comparable level to the previous quarter, and 2% lower than a year earlier.  The rate of profit is kept at 35%.  Recently, the changes in the structure of  AMD reporting is now possible to identify two areas of activity: Computing and Graphics (desktop and mobile processors and chipsets, graphics solutions) and Enterprise, Embedded and Semi-Custom (processors for servers and embedded technology chips to order, and Services licensing of development).  By the way, in the third quarter, AMD managed to get $ 27 million. In the form of royalties for their development, use third party clients. Delivered in the past year goal of doubling the number of computer models in the corporate segment, using components AMD, has been solved successfully.  Compared to the second quarter the amount provided for the needs of these hybrid processors has increased by 50%.  Recall that for use in ready computers AMD processors offers special "business class".  Hybrid processors AMD enjoyed increased popularity in the notebook segment, especially the generation of solutions Kaveri, in this area the volume of supply also increased by 50% in one quarter.  Discrete graphics for notebooks also added in the volume of supply as compared to the second quarter. In the third quarter, AMD managed to increase the supply of desktop processors, but in general the direction of "computing and graphics" worked with an operating loss of $ 17 million., While revenue declined by 6% in comparison with the sequential and 16% year.  Chipsets and graphics processors from AMD were sold worse, compared with last year fell revenue from sales of notebook processors.  The average selling price increased client products by improving the range of mobile processors.  The average selling price of graphics processors declined on a quarterly comparison, but grew at an annualized.  Large stocks of finished products are to blame for reducing the demand for graphics cards, including the Chinese market.  In addition, AMD blames these results "weakness of the PC market in the consumer sector." But custom-made chips steel counterweight.  Division of Enterprise, Embedded and Semi-Custom AMD brought in the third quarter  $ 648 million. Revenue - 45% of the total.  Revenue increased by 6% compared to the second quarter and year compared an increase of 21%, operating profit reached $ 108 million. During the third quarter AMD sold a record produced to order chips - Sony and Microsoft were preparing for the holiday season, during which they hoping to sell a lot of gaming consoles that use chips AMD.  Revenue from the sale of solutions for embedded technology in general has grown by tens of percent compared with the second quarter. In the next three years, AMD expects to gain from the sale of order chips at least $ 1 billion. Until the end of this year, AMD is going to reduce the number of employees by 7%.  Some part of the estate will also leave.  In the fourth quarter the company's revenue should be reduced by 13% because of weakness of the PC market to be added and a decline in orders from manufacturers of gaming consoles.   Related Products :

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