AMD Losing Money Despite Ryzen
AMD announced their financials for the first quarter of 2017, they are a little here and there though. Despite hitting an impressive feat of an 18% year-on-year revenue boost, AMD’s Q1 saw them making a net loss of $73 million
This saw an initial 7% wiped off AMD’s share price, but that appears to have changed and it has bounced back up before the results were released yesterday.
Dr. Lisa Su, AMD CEO is still happy with the results though
“We achieved 18 percent year-over-year revenue growth driven by strong demand for our high performance Ryzen CPUs as well as graphics processors,” she said. “We are positioned for solid revenue growth and margin expansion opportunities across the business in the year ahead as we bring innovation, performance, and choice to an expanding set of markets.”
The $73 million loss is much lower than this time last year when they were losing $109 million. It’s still a huge loss, but at least AMD appears to be improving slightly.
Around a quarter of their available cash, around $321 million was spent during last quarter to get products to market. Given that AMD plans to release new hardware throughout 2017, with AMD RX Vega GPU and Ryzen 3 CPU, they are still going to be spending masses of money but will be hopeful that those figures soon turn into improved sales.