https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Technology Services Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity, Equity & Inclusion
  • MSP 501
    • Back
    • MSP 501 Information Center
    • 2021 MSP 501 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2022 Editorial Calendar
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • DE&I 101
    • Top Gun 51
    • Channel Partners 101 (CP 101)
  • Events
    • Back
    • CP Conference & Expo
    • MSP Summit
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Technology Services Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity, Equity & Inclusion
  • MSP 501
    • Back
    • MSP 501 Information Center
    • 2021 MSP 501 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2022 Editorial Calendar
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • DE&I 101
    • Top Gun 51
    • Channel Partners 101 (CP 101)
  • Events
    • Back
    • CP Conference & Expo
    • MSP Summit
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Agents
  • Cloud Service Providers
  • Channel Partners Events
 Channel Futures

Sales & Marketing


AMD Misses Q3 Expectations, Plans Restructuring

  • Written by DH Kass 1
  • October 17, 2014

A week ago, AMD (AMD) replaced Rory Read, its former fix-it chief executive who’d arrested the company’s losses and found new revenue sources, with Dr. Lisa Su, its highly regarded chief operating officer (COO) who took the company’s reins after handling its business groups, sales and global operations.

A week ago, AMD (AMD) replaced Rory Read, its former fix-it chief executive who’d arrested the company’s losses and found new revenue sources, with Dr. Lisa Su, its highly regarded chief operating officer (COO) who took the company’s reins after handling its business groups, sales and global operations.

Let’s hope AMD’s welcoming card to Su isn’t its Q3 performance, as the company posted worse-than-expected results with revenue of $1.43 billion, a 2 percent year-over-year decline, and net income of $17 million, or 2 cents a share, a 67 percent topple from the same time last year. On a non-GAAP basis, AMD reported net income of $20 million, or 3 cents a share for the quarter. AMD’s cash storehouse also took a hit, slipping to $938 million at the end of the quarter.

Wall Street analysts expected the chip maker to turn in sales of $1.47 billion and 4 cents in non-GAAP per share earnings.

Su blamed “challenging market conditions” for the company’s poor performance.

“AMD’s third quarter financial performance reflects progress in diversifying our business,” she said. “Our Enterprise, Embedded and Semi-Custom segment results were strong; however, performance in our Computing and Graphics segment was mixed based on challenging market conditions that require us to take further steps to evolve and strengthen the financial performance of this business. Our top priority is to deliver leadership technologies and products as we continue to transform AMD.”

Su reacted quickly to the down quarter, immediately announcing a 7 percent layoff to be completed by the end of the year and a structural overhaul that includes dumping some of its real estate to better position the company for profit and growth and to reprioritize its opportunities. Most of the restructuring will be done this year, Su said.

AMD will take a $57 million charge for the restructuring in Q4 2014, mostly for severance pay, and charge off an additional $13 million in the first half of 2015 for real estate. The layoffs and other reorganizing will save AMD $9 million in operating expenses in Q4 2014 and $85 million in 2015, the company said.

“While decisions that impact the size of our global team are never entered into lightly, this is the right step to ensure we prioritize our resources and engineering investments in our highest-priority opportunities that can drive improved profitability and long-term growth,” Su said.

In July, on Read’s watch, AMD reorganized into a two groups—Computing and Graphics, focused on desktop and notebook processors and chipsets, discrete GPUs and professional graphics; and, Enterprise, Embedded and Semi-Custom, which includes server and embedded processors, dense servers, semi-custom SoC products, engineering services and royalties.

AMD isn’t expecting smoother sailing in Q4 either, as it forecast a 13 percent decline in revenue, plus or minus 3 percent.

Tags: Agents Cloud Service Providers MSPs VARs/SIs Sales & Marketing

Most Recent


  • Strategy compass
    Zoom Vet Laura Padilla to Shape Airtable's Channel Strategy, Partner Program
    Airtable presents a "huge" opportunity for channel partners.
  • Barracuda Discover22 EMEA
    Barracuda Sees Huge Shift to Managed Services Among Partners
    Nine out of 10 Barracuda partners now identify as MSPs as CEO Hatem Naguib details “going heavy” into managed services.
  • Old job new job
    Exclusive: Zoom Channel Leader Laura Padilla Takes New Role with Airtable
    Airtable's valuation reached $11 billion in December.
  • Accelerating revenue
    Barracuda: MSP Revenue Accelerating in 2022, Increasing Demand Creating Challenges
    Security remains the biggest concern for customers and the greatest revenue opportunity for MSPs.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • Sales Strategy
    Telesystem Promotes TBI, MetTel Vet to Channel Strategy Manager
  • Cloud Phone
    AT&T to Offer Up to 1 Million Customers Cisco Webex Calling
  • edge computing
    'Challenging Results' for MSPs in Channel Futures' Exclusive Quarterly Survey
  • Security shield on digital background
    VMware Security Connect Focused on Redefining Security, Increasing Threats

Upcoming Events

View all

Channel Partners Europe

June 14, 2022 - June 15, 2022

MSP Summit

September 13, 2022 - September 16, 2022

Galleries

View all

Zoom Vet Laura Padilla to Shape Airtable’s Channel Strategy, Partner Program

May 23, 2022

To Pay or Not to Pay: Big Question When Hit with Ransomware

May 23, 2022

5 Things Vendors Aren’t Doing that Partners Wish They Were

May 23, 2022

Industry Perspectives

View all

How SD-WAN Helps Secure the Expanding Network Perimeter

May 19, 2022

A Sneak Peek at the 2022 BrightCloud Threat Report

May 17, 2022

Build Customers for Life with CX and Lifecycle Selling

May 16, 2022

Webinars

View all

Simplifying SaaS Security for MSPs

April 27, 2022

How to Supercharge The Network to Support Your IT Superhero Moves

May 3, 2022

The 2022 MSP Challenge: Scale Service Delivery Despite the Talent Gap

April 21, 2022

White Papers

View all

The New Bottom Line: How MSPs Can Meet the Healthcare Crisis While Evolving Their Businesses

April 19, 2022

How to build a Security Operations Center (on a budget)

April 4, 2022

The AT&T Cybersecurity Incident Response Toolkit

April 4, 2022

Channel Futures TV

View all

AT&T, Microsoft, Cisco, ThreatLocker on Unlocking Partner Potential

Agents Share ‘Secrets,’ Industry Opportunity

May 11, 2022

Vonage Addresses Potential Partner Opportunity via Acquisition by Ericsson

May 5, 2022

Lumen Technologies ‘Built for Growth and Scale’

May 4, 2022

Twitter

ChannelFutures

What are traits of a valuable vendor/partner relationship? We asked our roundtable partner participants to weigh in… twitter.com/i/web/status/1…

May 23, 2022
ChannelFutures

.@Microsoft pres. @BradSmi on how the co. supports #Ukraine with $100M of free tech to fight #cyberattacks.… twitter.com/i/web/status/1…

May 23, 2022
ChannelFutures

Step up #cybersecurity defenses for the #hybridworkplace, says @alignitadvisor. dlvr.it/SQw31K https://t.co/tMzKcNgwAw

May 23, 2022
ChannelFutures

#CPExpo cybersecurity roundtable: To pay or not to pay ransom. @Sophos @Fortinet @Netenrich @Trellix @whitehatsec… twitter.com/i/web/status/1…

May 23, 2022
ChannelFutures

Analysts are sharply divided on the rumored acquisition talks. See what @royillsley from @OmdiaHQ had to say.… twitter.com/i/web/status/1…

May 23, 2022
ChannelFutures

We are proud to recognize @UNESCO's World Day for Cultural Diversity for Dialogue and Development, a day to celebra… twitter.com/i/web/status/1…

May 21, 2022
ChannelFutures

.@barracuda seeing huge shift to managed services among partners at #discover22 dlvr.it/SQmR1y https://t.co/driODezzpS

May 20, 2022
ChannelFutures

.@ConvergeTSC has just announced the acquisition of PC Specialists (@TIGConnect). dlvr.it/SQmMqK https://t.co/suLrTFx1W1

May 20, 2022

MSSP Insider

Business advice for MSSPs and news from the broader security channel.

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Galleries

Educational slide shows and images from live events.

Media Kit And Advertising

Want to reach our audience? Access our media kit.

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Events
  • Telecoms.com
  • MSP 501
  • Black Hat
  • IoT World Today
  • Omdia

WORKING WITH US

  • Contact
  • About Us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2022 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X