The company reported net profit of US$257 million on a GAAP (generally accepted accounting principles) basis for the quarter ended on March 27, compared to a net loss of $416 million it reported in the first quarter of 2009.

On a non-GAAP basis, the company reported net income of $63 million for the quarter, compared to a loss of $189 million reported in the year-ago quarter. Earnings per share were $0.09, beating the $0.05 estimated by analysts polled by Thomson Reuters. The company recognized a non-cash gain of $325 million from the deconsolidation of the GlobalFoundries spin-off.

This is the second consecutive quarterly profit for AMD. It reported its first profitable quarter in three years for the fourth quarter of 2009, when it had net income of $1.18 billion, benefiting mainly from a $1.25 billion legal settlement with Intel.

AMD reported revenue of $1.57 billion for the first quarter of 2010, an improvement from the $1.18 billion in revenue from the year-ago quarter. The revenue beat analyst estimates of $1.54 billion.

Strong product offerings resulted in "record" first-quarter revenue, said Dirk Meyer, AMD's CEO, in a statement. The company introduced new DirectX 11 graphics cards and broadened its PC and server microprocessor offerings through partners.