Overview
- Q4 revenue rose 34% to $10.27 billion with gross margin at 54% and adjusted earnings of $1.53 per share, topping estimates.
- Data center sales grew 39% to $5.4 billion on record EPYC CPU demand and faster GPU deployments, with eight of the 10 largest AI companies using AMD GPUs.
- Shares fell about 17% after the report as investors reacted to Q1 guidance of roughly $9.8 billion in revenue, or 32% growth year over year, which trailed the most bullish expectations.
- Q4 included $390 million of GPU sales to China, while only about $100 million is expected in Q1 as management described the market as dynamic, and a reversal of an MI308 write-down aided margins.
- CEO Lisa Su targets data center revenue growth above 60% annually over three to five years and AI revenue in the tens of billions by 2027, with planned GPU deliveries to OpenAI in the second half of 2026 alongside MI400 and Helios rollouts.