Advanced Micro Devices Inc (NASDAQ:AMD) reported third-quarter financial results after the market close on Tuesday. Here's everything you need to know from the report.
Q3 Earnings: AMD reported third-quarter revenue of $6.8 billion, beating analyst estimates of $6.71 billion. The chipmaker reported third-quarter earnings of 92 cents, in line with analyst estimates, according to Benzinga Pro.
Total revenue was up 18% year-over-year, led by Data Center revenue of $3.5 billion, up 122% year-over-year. Client segment revenue totaled $1.9 billion, up 29% year-over-year. Gaming revenue fell 69% year-over-year to $462 million and Embedded revenue declined 25% year-over-year to $927 million. AMD noted Embedded revenue increased 8% on a quarter-over-quarter basis as "demand improved in several end markets."
"We delivered strong third quarter financial results with record revenue led by higher sales of EPYC and Instinct data center products and robust demand for our Ryzen PC processors," said Lisa Su, chair and CEO of AMD.
"Looking forward, we see significant growth opportunities across our data center, client and embedded businesses driven by the insatiable demand for more compute."
Outlook: AMD expects fourth-quarter revenue of approximately $7.5 billion, plus or minus $300 million. The company's revenue guidance represents year-over-year growth of 22% at the midpoint.
Adjusted gross margin is expected to be approximately 54% in the fourth quarter, in line with third-quarter adjusted gross margin.
Management will hold a conference call to further discuss the company's quarterly performance at 5 p.m. ET.
AMD Price Action: AMD shares were down 6.61% after-hours, trading at $155.01 at the time of publication Tuesday, per Benzinga Pro.
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Photo: courtesy of AMD.
