Still, A.M.D. said gross margins would fall as it sought a foothold in game
consoles.
A.M.D., which for decades has competed against the semiconductor market leader, Intel, in supplying chips for PCs, is rushing to refocus on new markets as consumers buy fewer laptops and more tablets and smartphones.
A.M.D. processors are being used in Microsoft’s coming Xbox One and Sony’s next-generation PlayStation game consoles. These devices are largely behind A.M.D.’s upbeat revenue forecast.
A.M.D. said its gross margin in the second quarter was 40 percent and would fall to about 36 percent in the third quarter. Analysts on average had expected a third-quarter gross margin of 39 percent.
With consumers increasingly playing games on tablets, it is also unclear how many of the new consoles Microsoft and Sony will sell, but optimism about the impact on A.M.D.’s revenue has helped drive its stock up 73 percent since the beginning of April.
Intel warned on Wednesday that it did not expect revenue to grow in 2013 because of slowing PC industry.
Global shipments of personal computers dropped 11 percent in the second quarter, the fifth consecutive quarterly decline in a market that has been devastated by the popularity of tablets.
A.M.D. reported second-quarter revenue of $1.16 billion, down from $1.41 billion a year earlier. It said third-quarter revenue would rise 22 percent, plus or minus 3 percent, compared with the June quarter. That increase would take it to about $1.42 billion.
Analysts, on average, had expected revenue of $1.11 billion in the second quarter and $1.22 billion in the third quarter, according to Thomson Reuters.
A.M.D. posted a net loss of $74 million, or 10 cents a share, in the second quarter, compared with a profit of $37 million, or 5 cents a share, in the same quarter last year.
The company, which is based in Sunnyvale, Calif., said that excluding onetime items, its loss was 9 cents a share, better than the 12-cent loss expected by analysts.
A.M.D., which for decades has competed against the semiconductor market leader, Intel, in supplying chips for PCs, is rushing to refocus on new markets as consumers buy fewer laptops and more tablets and smartphones.
A.M.D. processors are being used in Microsoft’s coming Xbox One and Sony’s next-generation PlayStation game consoles. These devices are largely behind A.M.D.’s upbeat revenue forecast.
A.M.D. said its gross margin in the second quarter was 40 percent and would fall to about 36 percent in the third quarter. Analysts on average had expected a third-quarter gross margin of 39 percent.
With consumers increasingly playing games on tablets, it is also unclear how many of the new consoles Microsoft and Sony will sell, but optimism about the impact on A.M.D.’s revenue has helped drive its stock up 73 percent since the beginning of April.
Intel warned on Wednesday that it did not expect revenue to grow in 2013 because of slowing PC industry.
Global shipments of personal computers dropped 11 percent in the second quarter, the fifth consecutive quarterly decline in a market that has been devastated by the popularity of tablets.
A.M.D. reported second-quarter revenue of $1.16 billion, down from $1.41 billion a year earlier. It said third-quarter revenue would rise 22 percent, plus or minus 3 percent, compared with the June quarter. That increase would take it to about $1.42 billion.
Analysts, on average, had expected revenue of $1.11 billion in the second quarter and $1.22 billion in the third quarter, according to Thomson Reuters.
A.M.D. posted a net loss of $74 million, or 10 cents a share, in the second quarter, compared with a profit of $37 million, or 5 cents a share, in the same quarter last year.
The company, which is based in Sunnyvale, Calif., said that excluding onetime items, its loss was 9 cents a share, better than the 12-cent loss expected by analysts.
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