AMD tops expectations...
There was no bottom-line disaster for semiconductor manufacturer Advanced Micro Devices (AMD:NYSE - news). After the close of regular trading Wednesday, the company reported third-quarter earnings at the high end of Wall Street's expectations.
Excluding one-time gains and charges, AMD's income for the quarter ended Oct. 1 was 64 cents per share, compared with a loss of 36 cents a share in the year-ago period. Analysts polled by First Call/Thomson Financial, several of whom reduced their estimates after Intel (INTC:Nasdaq - news) issued an earnings warning last month, were expecting the company to earn anywhere between 60 cents and 64 cents a share, with a mean estimate of 62 cents a share.
AMD reported revenue of just over $1.2 billion, generally in line with analysts' expectations.
<<Advanced Micro 3rd-qtr profits better than forecast
SAN FRANCISCO, Oct 11 (Reuters) Advanced Micro Devices Inc. (NYSE:AMD - news), Intel Corp.'s main rival in the microprocessor market, reported third-quarter results that topped expectations on strong sales of its Athlon and Duron chips.
The Sunnyvale, Calif.-based company said that for the period ended Oct. 1, it had net income before gains of $219.3 million, or 64 cents a share, compared with an operating loss of $99 million or 36 cents a year ago. Sales nearly doubled to $1.21 billion from $662.2 million.
AMD has been on a roll since it introduced its Athlon processor, the first time it has ever had a chip that boasts superior performance in some cases to Intel's chips. In light of demand for its Athlon, AMD said it expects to sell out of Athlons in the fourth quarter and expects to sell 28 million PC processors in 2000 compared with earlier guidance of 25 million.
In the fourth quarter, AMD expects to sell 8 million to 9 million of its Athlon chips and its Duron chips, which are aimed at the low-cost PC market and compete with Intel's Celeron chips. It also forecasts annual 2000 sales of $4.8 billion compared with $2.9 billion in 1999.
The results topped average analyst expectations of 62 cents a share, according to First Call/Thomson Financial.
Shares of AMD fell 15/16 to $21-13/16, well off their year high of $48-1/2, although up from a year low of $8-3/16. >> |
