AMD has reported a net loss of $1.42 billion for the fourth quarter 2008, compared to a loss of $1.77 billion in the year-ago quarter, on revenue down 33% at $1.16 billion.
It made an operating loss of $1.27 billion compared to $1.18 billion in the same period last year. The diluted net loss per share was $2.34 compared to $3.06 last year. The company said computing revenue fell 38% to $873m, graphics revenue fell 8% to $270m, and revenue from others fell 52% to $19m.
During the quarter, the company completed the sale of its Digital TV processor business to Broadcom for $141.5m as part of its strategy to focus on x86 computing and graphics technologies. It also sold its handheld technology business to mobile chipmaker Qualcomm for $65m.
For fiscal year 2008, the company reported a net loss of $3.09 billion compared to $3.37 billion a year ago, on revenue flat at $5.8 billion.
Earlier this month AMD announced plans to cut salaries, suspend benefits, and cut approximately 9% of its workforce to reduce costs in response to the global downturn. Last month it had laid off 600 workers, 100 more than previously planned, in its aim to return to profit. In April 2008 it cut 1,600 jobs, 10% of its global workforce.
Dirk Meyer, president and chief executive at AMD, said: We remain focused on further reducing our breakeven point through targeted restructuring actions while ensuring we execute our highly-competitive product and technology roadmaps. We made significant progress toward the creation of ‘The Foundry Company’ in the quarter, and anticipate closing the transaction in February. We expect our ongoing restructuring actions and asset smart strategy, combined with the strength of our innovative product offerings, will leave us well positioned for a global market recovery.
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