For the quarter, AMD had a gross margin of 54% and net income of $1.5 billion. For the full year, AMD's gross margin was 52% on a non-GAAP basis with a net income of $6.8 billion.
(Image credit: AMD) (Image credit: AMD) (Image credit: AMD) AMD's data center segment now represents its largest business. For the quarter, AMD reported $5.4 billion in revenue, up 39% year-over-year, and full year revenue of $16.6 billion, up 32% year-over-year. Although AMD continues to grow its data center business, it's still significantly behind Nvidia in overall revenue. Nvidia posted $51.2 billion for its data center business in its most recent earnings, showing 66% growth year-over-year.
Growth in AMD's client and gaming business was slightly lower, posting $3.9 billion for the quarter which represents 37% growth year-over-year. For the full year, the segment brought in $14.6 billion, which actually shows more growth than the data center segment; it's up 51% year-over-year.
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Especially interesting are the gaming-only numbers. AMD says gaming brought in $843 million for the quarter, which is a 50% increase year-over-year. Gaming only represents AMD's semi-custom business for consoles like the PlayStation 5 and handhelds like the Steam Deck, along with Radeon GPUs. Ryzen CPUs fall under the client segment.
AMD maintained gaming revenue above $1 billion for multiple years before seeing a sharp decline in segment revenue in 2024. Although the revenue is up significantly for the quarter, it's still a far cry from AMD's peaks in 2022 and 2023. AMD attributes the increase to higher semi-custom revenue, perhaps with the proliferation of handhelds, and demand for Radeon GPUs. The latter point is particular saliant, as recent AMD GPUs like the RX 9070 XT haven't seen the same sharp price increases and lack of availability as Nvidia's GPUs.
AMD's embedded segment remains its smallest business, with $950 million in revenue for the quarter, up 3% year-over-year. Despite a small improvement for the quarter, AMD's embedded revenue is down 3% for the full year, with full year revenue of $3.5 billion.
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Jake Roach is the Senior CPU Analyst at Tom\u2019s Hardware, writing reviews, news, and features about the latest consumer and workstation processors. ","collapsible":{"enabled":true,"maxHeight":250,"readMoreText":"Read more","readLessText":"Read less"}}), "https://slice.vanilla.futurecdn.net/13-4-13/js/authorBio.js"); } else { console.error('%c FTE ','background: #9306F9; color: #ffffff','no lazy slice hydration function available'); } Jake Roach Social Links Navigation Senior Analyst, CPUs Jake Roach is the Senior CPU Analyst at Tom’s Hardware, writing reviews, news, and features about the latest consumer and workstation processors.
logainofhades In other words screw those that propped you up when you were almost bankrupt. This is why fanboys that shill for a big company that could care less about them, is always so amusing. Reply
timsSOFTWARE And what happens when the market turns? I'm not anti-AI, but I think profits are going to be hard to come by, in both the short and long-term. It's important, but it's a bit like discovering algebra – though fundamental, who gets rich off of the existence of algebra? Reply
umeng2002_2 AMD was never consumer focused with GPUs, anyways. Just kept the light on at Radeon to remain competitive with SoCs and software support for said SOCs and with Compute IP blocks. Reply
_Shatta_AD_ PC business growing while the PC market shrinks can only mean one thing, higher per unit prices for the consumer with higher profit margins because they’re selling legacy components as new products which cost them far less to produce on a mature process. Heck, they’ll probably start selling Bulldozer CPUs and 990FX motherboards at budget AM5 prices soon and smaller fabs will probably restart DDR3 production in 2026. Makes my blood boil everytime an executive have the audacity to announce they don’t give af about consumers cause we can and will buy obsolete tech and they’ll still make good money. Reply
Starfal This is soo annoying… okay, now im starting to hate AMD too. Great. Whos next? Reply
Notton If I remember correctly, the chiplets used in AM4/AM5 are the same ones used in EPYC and TR, just with a different binning. Which is why it was genius at the time it came out. If one market craters, in this case desktop, they can easily transition the excess to EPYC and TR. AMD -presumably- did the reverse when 9800X3D was flying off the shelves around a year ago. Reply
TerryLaze logainofhades said: In other words screw those that propped you up when you were almost bankrupt. Sony and microsoft?!? I think they are ok with this. People buying their CPUs was making them negative money, if that's "propping up" for you… Reply
thesyndrome umeng2002_2 said: AMD was never consumer focused with GPUs, anyways. Just kept the light on at Radeon to remain competitive with SoCs and software support for said SOCs and with Compute IP blocks. I was reading her comments in regards to CPUs rather than GPUs, as in: they aren't worried that less people will be buying AMD CPUs due to memory and NAND pricing making the hobby of building a PC ludicrously expensive, because they have enterprise datacenters to give them money instead. Basically I read it like this: "screw all the people who buy our consumer CPUs, we have billionaires giving us money now, all you poor people can just deal with it" Reply
-Fran- Well, screw you too, Miss Lisa. Regards. Reply
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/pc-components/cpus/SPONSORED_LINK_URL
- https://www.tomshardware.com/pc-components/cpus/amd-ceo-downplays-pc-memory-crunch-saying-our-focus-areas-are-enterprise-company-wants-to-focus-on-growing-higher-end-of-the-market#main
- https://www.tomshardware.com
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- Intel returns to boxed workstation CPUs with Xeon 600 — Granite Rapids WS delivers up to 86 cores, 4TB of memory, and 128 PCIe 5 lanes
Informational only. No financial advice. Do your own research.