Advanced Micro Devices (AMD) reported a 9% year-on-year increase in net revenue to $5.8 billion for the quarter ended June 29, 2024. The growth was attributed to a significant rise in Data Center segment revenue, driven by strong sales of AMD Instinct GPUs and 4th Gen AMD EPYC CPUs, and increased Client segment revenue from higher sales of AMD Ryzen processors. However, this was partially offset by declines in Gaming and Embedded segment revenues. Gross margin improved to 49% from 46% in the prior year, while operating income turned positive at $269 million compared to a loss of $20 million in the previous year. Net income saw a substantial increase to $265 million from $27 million year-on-year. The company also generated $593 million in cash from operations during...Show More

Advanced Micro Devices (AMD) reported a 9% year-on-year increase in net revenue to $5.8 billion for the quarter ended June 29, 2024. The growth was attributed to a significant rise in Data Center segment revenue, driven by strong sales of AMD Instinct GPUs and 4th Gen AMD EPYC CPUs, and increased Client segment revenue from higher sales of AMD Ryzen processors. However, this was partially offset by declines in Gaming and Embedded segment revenues. Gross margin improved to 49% from 46% in the prior year, while operating income turned positive at $269 million compared to a loss of $20 million in the previous year. Net income saw a substantial increase to $265 million from $27 million year-on-year. The company also generated $593 million in cash from operations during the quarter and returned $352 million to shareholders through stock repurchases. AMD's cash reserves stood at $5.3 billion after repaying $750 million of debt. The company's business development included the expected acquisition of Silo AI Oy in the second half of fiscal year 2024 and continued focus on AI strategy. AMD anticipates that international sales will remain a significant portion of total sales and is confident that its cash, cash equivalents, and operational cash flows, along with available credit facilities, will sufficiently fund operations for the next 12 months and beyond.