Lisa Su, seat and main enforcement serviceman of Advanced Micro Devices Inc., during a Bloomberg Television interrogation successful San Francisco, Oct. 6, 2025.
David Paul Morris | Bloomberg | Getty Images
Advanced Micro Devices reported fourth-quarter earnings that topped expectations, but the company's first-quarter forecast fell abbreviated of what immoderate analysts were expecting amid an AI spending boom.
The banal fell Tuesday much than 6% successful extended trading.
Here's however the chipmaker did versus LSEG statement estimates for the 4th ended successful December:
- EPS: $1.53 vs. $1.32 expected
- Revenue: $10.27 cardinal versus $9.67 cardinal expected
For the archetypal quarter, AMD said it expects $9.8 cardinal successful revenue, positive oregon minus $300 million, versus expectations of $9.38 billion. Some analysts, however, were expecting AMD to supply stronger guidance arsenic customers proceed to ramp up spending for the chips indispensable to powerfulness AI models.
Net income climbed to $1.51 billion, oregon 92 cents per share, versus $482 million, oregon 29 cents per share, successful the year-ago period. AMD's wide gross was up 34% connected an yearly basis.
AMD is 1 of 2 makers of large graphics processors for artificial intelligence, though it has lone a tiny information of the market, which is presently dominated by Nvidia.
The chipmaker has precocious announced immoderate large customers, including OpenAI, the shaper of ChatGPT, and Oracle. AMD plans to vessel a caller integrated server-scale AI strategy called Helios aboriginal this year. Shares person much than doubled implicit the past year.
Those income are reported successful the company's information halfway segment, which had $5.4 cardinal successful income successful the quarter, up 39% connected an yearly basis. The institution said maturation was driven by some the company's cardinal processors and its AI GPUs.
AMD's lawsuit and gaming conception roseate 37% twelvemonth implicit twelvemonth to $3.9 billion. The institution said it was driven by request for its Ryzen processors for laptops and PCs, which person gained marketplace stock versus Intel.
The company's embedded conception grew slower, rising 3% connected a year-over-year ground to $950 million.
AMD has faced issues implicit whether it would beryllium capable to vessel its AI chips to China due to the fact that of U.S. export controls. The institution connected Tuesday said that it recorded $390 cardinal successful China income of its Instinct MI308 chips during the 4th quarter, and expects $100 cardinal successful gross successful the existent quarter.
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