K6 captured 31% U.S. retail market for desktop, 54% sub-1K retail. K6 sale increases 70% sequentially.
Advanced Micro reports narrow Q3 profit
Reuters Story - October 06, 1998 17:12
SUNNYVALE, Calif., Oct 6 (Reuters) - Advanced Micro Devices Inc. , a maker of
Intel-compatible microprocessors, reported an unexpected profit in its third quarter,
buoyed by strong sales of its latest version of its K6 processor.
AMD reported a narrow profit for the third quarter of $1 million, or one cent a share, on
revenues of $685.9 million, compared with a loss of $31.7 million, or 22 cents a share, on
revenues of $596.6 million in the year-ago quarter. Wall Street had been expecting a loss of
about 11 cents a share, according to First Call, which tracks analysts' estimates.
AMD said shipments of its AMD-K6 processors jumped by more than one million units to
3.8 million and AMD-K6 family processor sales increased 70 percent over the
immediate-prior quarter.
"Excellent manufacturing and sales execution enabled AMD to return to profitability one
quarter ahead of expectations," said W.J. Sanders III, chairman and CEO, in a statement.
"We are extremely pleased by the strong demand in the retail channel for personal
computers powered by AMD-K6-2 processors."
AMD said that PCs powered by AMD-K6 family processors captured 31 percent of the
total U.S. retail market for desktop systems in August, the latest period for which data are
available, according to PC Data. In the rapidly growing market for sub-$1,000 systems,
PCs powered by AMD-K6 chips captured a 54 percent market share -- its highest retail
market share yet.
For the first nine months of 1998, the company reported total sales of $1.7 billion and a net
loss of $126.3 million, or 88 cents per share. For the first nine months of 1997, AMD
reported total sales of $1.7 billion and a net loss of $8.7 million, or six cents per share. |
