Earlier last week we reported on Intel’s Q4 (reminder: they made almost $2B but their stock tanked; details here). AMD’s news was much more on the “leap out of a window” side of things.
AMD reported late last week that they lost $1.722B in Q4, compared to $576M in Q4 a year ago. For the year AMD lost $3.4B, compared to only $166M in 2006. You have to admire a guy that can get that kind of news and then say this
“We were close to break-even operationally for the quarter, reducing our fourth quarter non-GAAP operating loss to $9 million. We improved gross margin by three points sequentially, driven by increased shipments of new products, higher average selling prices and cost containment actions,” said AMD CFO Robert Rivet. “We shipped a record number of microprocessor units in the quarter, including nearly four hundred thousand quad-core processors.”
I want some of what he’s taking. He’s right in the theoretical sense that the chip business did better than the numbers reflect — the loss was driven by a $1.68B write down from its ATI purchase. But that takeover of ATI is a symptom of AMD’s problems: execution, execution, and execution.