December 4th, 2008
AMD: Fourth quarter sales to fall 25 percent sequentially
As promised, AMD issued its fourth quarter update Thursday and it wasn’t pretty.
In a terse statement, AMD said that sales for the fourth quarter will be 25 percent lower than the third quarter tally of $1.58 billion. AMD said its projections don’t include process and technology license revenue, so comparisons to Thomson Reuters data is murky. Wall Street is expecting total fourth quarter revenue of $1.54 billion, down from $1.77 billion in the third quarter.
The company said: The decrease is due to weaker-than-expected demand across all geographies and businesses, particularly in the consumer market.
At AMD’s analyst meeting last month, executives didn’t cut the company’s outlook because it was early in the quarter. CFO Bob Rivet said at the time AMD would update its outlook in early December.
In early trading, AMD was down 9 percent.
Larry Dignan is Editor in Chief of ZDNet and Editorial Director of ZDNet sister site TechRepublic. See his full profile and disclosure of his industry affiliations.
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