AMD announced its third-quarter results after trading on Tuesday. The overall performance slightly exceeded expectations, but the outlook for the fourth quarter fell slightly below expectations, leading to a sharp drop of 5% after the market. However, during the call, management emphasized that the outlook for AI revenue was very optimistic, and the stock price recovered the decline.
The specific results for the third quarter are as follows:
Total revenue 5.8B, 4% YoY vs. Expected 5.69B
Gross profit margin 51% vs. expected 51%
Operating profit 1.27B, 22% YoY vs. 1.26B expected
Net profit 1.13B, 4% YoY, VS Expectations 1.098B
Data Center (Data Center)Revenue was $1.6 billion vs. expected $1.6 billion, the same as the same period last year. The increase in sales of fourth-generation AMD EPYC ™️ CPUs was offset by a decline in SOC products. Revenue increased 21% month-on-month as customers gradually began adopting fourth-generation AMD EPYC CPUs in the fourth quarter. Management stated during the conference callAMD Instinct™️ Large-scale production of MI300A and MI300X GPUs is expected to begin in the fourth quarterto support deployments with several leading high-performance computing, cloud computing, and AI customers.
Client (Client)Revenue was $1.5 billion, up 42% year over year vs. expected $1.18 billion, mainly driven by increased sales of Ryzen mobile processors. Thanks to AMD Ryz...