AMD today announced that revenue for the third quarter ended September 29, 2012 is expected to decrease approximately 10 percent sequentially. The company previously forecasted third quarter 2012 revenue to decrease 1 percent, plus or minus 3 percent, sequentially. The lower than anticipated preliminary revenue results are primarily due to weaker than expected demand across all product lines caused by the challenging macroeconomic environment.
The company now expects third quarter gross margin to be approximately 31 percent; less than the previous expectation of approximately 44 percent primarily due to an inventory write-down of approximately $100 million due to lower anticipated future demand for certain products.
Third quarter gross margin was also negatively impacted by weaker than expected demand, which contributed to lower than anticipated average selling prices (ASPs) for the company's Computing Solutions Group products and lower than expected utilization of its back-end manufacturing facilities.
Operating expenses for the third quarter are expected to decline approximately 7 percent sequentially as a result of tightly controlled expenses in the quarter.
AMD will report third quarter 2012 results after market close on Thursday, October 18, 2012. AMD will hold a conference call for the financial community at 2:00 p.m. PT (5:00 p.m. ET) that day to discuss third quarter financial results and to provide information regarding expected fourth quarter results.
Latest News Posts
- Microsoft Paint killed off with new Creators Update
- The new iPhone 8 might be all about AR
- Apple sued by insurance company for alleged iPhone fire
- You can now get Xiaomi Mi 6 with 9,000 mAh battery
- Note8 color options leak: Samsung to introduce Deep Blue
- Maximum ratio (x39) with 4,06GHz for i7 4770 on GA Z87X-UD3H?
- Supermicro SuperO Booster Software Guide
- How to make one network using 2 routers
- Lian-Li DK02 Watercooling and dimensions
- ASUS X200 CA 1.0 should camera appear in system in control panel?
- Atari announces Blade Runner 2049 partnership with NECA and Audiowear, launching wearable technology that blurs the line between fashion and future
- BIOSTAR introduces the world's first 8-slot PCI-e mining motherboard with the TB250-BTC+
- HyperX unveils HyperX Alloy Elite and TKL HyperX Alloy FPS Pro mechanical gaming keyboards
- Toshiba Memory Corporation develops world's first 3D flash memory with TSV technology
- ADATA releases XPG GAMMIX line with S10 PCIe Gen3x4 NVMe 1.2 SSD and D10 DDR4