AMD — 2026Q3 earnings

“Second quarter revenue was $11.5 billion, gross margin was 54%, operating income was $2.0 billion, net income was $2.3 billion and diluted earnings per share was $1.38. On a non-GAAP(*) basis, gross margin was 56%, operating income was $3.1 billion, net income was $2.8 billion and diluted earnings per share was $1.66.”

““Revenue increased 50% year-over-year to a record $11.5 billion, driven by continued strength in our Data Center business, which represented 58% of company revenue in the quarter,” said Jean Hu, AMD executive vice president, chief financial officer and treasurer.”

“Data Center segment revenue was $6.7 billion, up 107% year-over-year, driven by strong demand for AMD EPYC™ processors and AMD Instinct™ GPUs.”

“For the third quarter of 2026, AMD expects revenue to be approximately $13 billion, plus or minus $300 million. The mid-point of the revenue range represents year-over-year growth of approximately 41% and a sequential increase of approximately 13%.”

“Announced a strategic partnership with Anthropic to deploy up to 2 gigawatts of MI450 Series GPUs in AMD Helios racks and a multiyear collaboration to optimize AMD Instinct GPUs and ROCm software development using Claude.”

“Turning to our segments, data center revenue grew 107% year-over-year to a record 6.7 billion, driven by strong demand for EPYC processors and Instinct accelerators.”

“Anthropic will deploy up to 2 gigawatts of MI450 series GPUs in Helios, with deployment of the first gigawatt beginning in the first half of 2027.”

“Taken together, we now expect data center segment revenue to more than double year-over-year in 2027.”

“Now turning to our third quarter 2026 outlook. We expect revenue to be approximately $13 billion, plus or minus 300 million.”