AMD has announced its Q1 2016 earnings, with the vendor netting a total revenue of $832 million and operating loss of $68 million along with a net loss of $109 million. Revenues were down 13% from the previous quarter.
AMD president and CEO Lisa Su said that the vendor is focusing on new introductions and design wins — such as the recent deal with China — to boost growth in the latter half of the year:
Our strategy to build a strong business foundation and improve financial performance through delivering great products is beginning to show benefits. We continued to strengthen the performance of our Computing and Graphics business as our customers and partners show a growing preference for AMD. We are optimistic about our growth prospects in the second half of the year across our businesses based on new product introductions and design wins.
The vendor is also looking to its upcoming Polaris-based video cards as a growth driver. Here’s the crux of the announcement:
- Revenue of $832 million, down 13% sequentially and 19% year-over-year.
- Gross margin of 32%, up 2 percentage points sequentially.
- Operating loss of $68 million, compared to an operating loss of $49 million in Q4 2015 and non-GAAP operating loss of $55 million, compared to non-GAAP operating loss of $39 million in Q4 2015.
- Net loss of $109 million, loss per share of $0.14, compared to a net loss of $102 million, loss per share of $0.13 in Q4 2015 and non-GAAP net loss of $96 million, loss per share of $0.12, compared to non-GAAP net loss of $79 million, loss per share of $0.10 in Q4 2015.
- Meaningful step in IP monetization strategy by licensing high-performance processor and SoC technology and forming joint venture (JV) with THATIC (Tianjin Haiguang Advanced Technology Investment Co., Ltd.), to develop SoCs that will complement AMD’s own offerings for the China server market.