Microprocessor manufacturer AMD posted its third-quarter financials yesterday, reporting a ~40% revenue fall to $1.06 billion from $1.43 billion in 3Q14. AMD posted a $158 million operating loss for the quarter.
The company continues its endless restructure, the Radeon Technologies Group (RTG) now largely independent, with new shifts including a separation of the ATMP group.
ATMP, or “assembly, test, mark, and pack,” will soon be 85% owned by NFME, who aim to pay AMD $371 million for its stake in the soon-joint operation. AMD will keep the remaining 15% of ownership. ATMP is a 1700-person operation based in Asia (China and Malaysia) and will continue operating, reportedly, at full force under new majority owner NFME. AMD hopes that this shift, along with its years-ago-begun shift toward fabless production, will reduce the resource drain exhibited by stagnant product.
| GAAP Financials | 3Q15 | 2Q15 | 3Q14 |
| Operating income | -$158M | -$137M | $63M |
| Net income | -$197M | -$181M | $17M |
| Earnings per share | -$0.25 | -$0.23 | -$0.02 |
AMD wrote-off $65 million this quarter for unsold APUs, a developing trend for the company. For comparison, AMD wrote-off $58 million of APU-related inventory in 4Q14.
The “Computing and Graphics” segment, which obfuscates visibility to independent performance of GPUs, APUs, and CPUs, took a 46% year-over-year hit to revenue in 3Q15. This is following a 26% fall in quarterly GPU sales in 2Q15.
AMD looks toward the horizon for better days, promising drastic CPU improvements with its impending “Zen” architecture (rumored for 2H16).
- Steve “Lelldorianx” Burke.