updated 05:36 pm EST, Tue January 22, 2013
Results beat estimates in continued struggle with shifting model
Advanced Micro Devices (AMD) today announced revenue for the fourth quarter of 2012 at $1.16 billion, an operating loss of $422 million, and a net loss of $473 million, or $0.63 per share. For fiscal year 2012, AMD reported revenue of $5.42 billion, an operating loss of $1.06 billion and a net loss of $1.18 billion, or $1.60 per share.
“AMD continues to evolve our operating model and diversify our product portfolio with the changing PC environment,” said Rory Read, AMD president and CEO. “Innovation is the core of our long-term growth." Read added that AMD expects to deliver "differentiated and groundbreaking APUs to our customers in 2013, and remain focused on transforming our operating model to the business realities of today" likely referring to AMD's reliance on the PC market.
Notable items from the earning report include AMD taking a restructuring charge of $90 million in the quarter from workforce reductions. Additionally, AMD noted that the computing solutions revenue decreased 37 percent year-over-year, with a graphics department decrease of 15 percent year-over-year. AMD's decline is expected to continue in the first quarter of 2013, with the company expecting revenue to decrease an additional nine percent.