AMD isn’t quite back on stable ground yet. After making two consecutive quarter losses in a row, the second quarter of 2006 prolonged the streak with another 600 million dollar loss. Right now AMD is up to losing close to $1.8 billion in nine months. Last year AMD reported a net income of $88 million the same quarter, but contrary to the sloping income curve, the sales went up, year to year, by $200 million USD (16,7%) from $1.2 billion to $1.4 billion in total. Revenues was up 12% from the last quarter, while the price cuts has forced the gross margin down to 34% (from 57%). AMD is still taking a hit from acquiring ATI and figures for the third quarter is not expected to be glorious either. The launch of Barcelona next month is expected to change things, the question is by how much.
