SUNNYVALE, Calif.--Advanced Micro Devices Inc. today raised its sales forecast for the fourth quarter partly because of strong for its new Athlon XP processor, which was introduced on Oct. 9. AMD said better-than-expected PC processor sales will drive up overall Q4 revenues by 10% compared to $765.9 million in the third quarter.
The company said its PC processor revenues in total are expected to exceed the previous record set in the first quarter of this year. It also expects to ship a record number of processors in the fourth quarter.
AMD said flash memory sales are now expected to be no better than flat in the fourth quarter, compared to the prior three-month period.
The Sunnyvale-based company said its cost containment and reduction programs, coupled with revenue growth, will reduce its operating loss in the current quarter from Q3 losses. AMD posted a Q3 pro forma net loss of $97.4 million, or -$0.28 per share, excluding special charges. The company's total net loss, including those charges, was $186.9 million.
AMD said it continues to expect a return to profitability in the second quarter of 2002, when the full benefits of its cost control programs are realized.