Chipmaker Advanced Micro Devices (AMD) missed Wall Street expectations for its third-quarter
results despite its revenue growing nearly 30% in the period.
AMD reported earnings per share of $0.67 U.S. versus $0.68 U.S. that analysts expected.
Revenue came in at $5.57 billion U.S. compared to $5.62 billion U.S. that was forecast,
according to Refinitiv data.
Overall, AMD’s revenue grew by 29% year-over-year in Q3. Net income fell 93% to $66 million,
mainly because of AMD’s $49 billion acquisition earlier this year of fellow chipmaker Xilinx.
Despite the earnings miss, AMD shares were up about 5% following the quarterly print as the
results were not as bad as had been feared.
On October 6, AMD issued preliminary results for Q3 that were below the guidance it provided
in August due to fewer chip shipments in a weak computer market. The stock fell 14% in
October because of the preliminary earnings.
For the full year, AMD said it now forecasts $23.5 billion U.S. in revenue, down from previous
guidance of $26.3 billion U.S. Analysts polled by Refinitiv had expected full-year revenue of
$23.88 billion U.S.
AMD stock is down 60% this year at $59.66 U.S. per share.
Tech Insider
