From Nasdaq: 2024-04-30 20:30:14

Advanced Micro Devices (NASDAQ: AMD) reported first-quarter 2024 financial results, with revenue reaching $5.5 billion, driven by growth in data center and client segment sales. The company expanded gross margin by over two percentage points and increased profitability. Data center segment revenue hit a record $2.3 billion, with a double-digit increase in server CPU sales.

The strong growth in AMD’s data center segment was fueled by the ramp of AMD Instinct MI300X GPU shipments and server CPU sales. The company saw increased adoption of fourth-gen EPYC processors by hyperscalers, with nearly 900 AMD-powered public instances globally. In enterprise, AMD continues to gain traction, attracting large enterprises like American Airlines, DBS, and others with its EPYC CPUs.

Looking ahead, AMD is excited about its next-gen Turin family of EPYC processors, featuring Zen five core. The company is widely sampling Turin and expects to launch it later this year. Data center GPU revenue is projected to exceed $4 billion in 2024, driven by the demand for MI300 GPUs in cloud and enterprise applications. AMD continues to expand its AI hardware and software roadmap to meet growing customer needs.

In the client segment, AMD saw revenue of $1.4 billion, an 85% increase year over year fueled by demand for Ryzen mobile and desktop processors. Ryzen desktop CPU sales grew by a strong double-digit percentage, while Ryzen mobile CPU sales nearly doubled year over year. Despite a sequential decline, strong demand for AMD’s latest processors continues in the market.



Read more at Nasdaq: Advanced Micro Devices (AMD) Q1 2024 Earnings Call Transcript