AMD Q3 2011 Financial Results Show $97 (€68) Million Profit

AMD has recently posted its financial results for the third quarter of this year and while the numbers were not so impressive as those made public by its main competitor, the chip maker still managed to gather $1.69 billion (1.19 billion Euros) in revenue with a profit of $97 million ($68 million).

This represents a 7 percent sequential increase and a 4 percent increase year-over-year, in revenue.

AMD's original target for Q3 asked for a 10 percent increase over the previous quarter, but back in September it was forced to reconsider this target and reduce it to 4-6% after a series of 32nm manufacturing issues limited chip supply.

Gross margins for AMDs chips were down one percent from Q2 of 2011 to reach 45%, manly due to a lower than expected supply of higher-margin 32-nm products as Bulldozer failed to deliver the performance it was expected to.

The star of this quarter, however, seems to be AMD's Fusion architecture as the company has reported 60 percent sequential increase in mobile accelerated processor unit (APU) shipments.

According to EE Times, APUs make up for around 90 percent of all its mobile processor shipments and approximately 60 percent of total client processors.

AMD's graphics department also reported some higher than expected revenue, up 10 percent sequentially and 4 percent year-over-year.

"Strong adoption of AMD APUs drove a 35 percent sequential revenue increase in our mobile business," said Rory Read, AMD president and CEO.

"Despite supply constraints, we saw double digit revenue and unit shipment growth in emerging markets like China and India as well as overall notebook share gains in retail at mainstream price points.

"Through disciplined execution and continued innovation we will look to accelerate our growth and refine our focus on lower power, emerging markets, and the cloud," concluded the company's rep.

After the announcement of its financial results for the third quarter of this year, AMD's shares had risen to $5.33 (3.76 Euros).

Posted in: Hardware, News