"AMD's scrip slipped despite the company delivering solid Q4 results, with net income surging 213 percent to $1.5 billion on revenues that grew 34 percent year-over-year to reach $10.27 billion. Datacenter and client products both delivered revenue growth, at 39 and 37 percent to $5.4 billion and $3.9 billion respectively. By comparison, the company's embedded gains were far more modest, with FPGA sales up about three percent for the quarter."
"The company forecast revenue will dip to $9.8 billion for Q1 of FY 2026. That figure will represent 32 percent growth, and reflect seasonal weakness in its PC, gaming, and embedded divisions that will offset growing datacenter and AI revenue. The result is a bit of a catch-22 for AMD. On one hand, the seasonal decline means its datacenter division is doing most of the heavy lifting at a time when fears of an AI bubble are at an all-time high."
"One phenomenon that could complicate things for AMD headed into the 2026 fiscal year is the ongoing memory shortage. Over the past few months memory prices have more than tripled, with analysts this week warning prices could double again in the first quarter. Despite this, CEO Lisa Su remains confident AMD can grow its PC business in 2025 by prioritizing the enterprise and high-end PC segments."
AMD reported Q4 net income of $1.5 billion, up 213 percent, on revenues of $10.27 billion, a 34 percent year-over-year increase. Datacenter and client product revenues grew 39 percent and 37 percent to $5.4 billion and $3.9 billion respectively, while embedded and FPGA sales rose only about three percent. The company forecast Q1 FY2026 revenue of $9.8 billion, implying 32 percent growth but reflecting seasonal weakness in PC, gaming, and embedded divisions that will offset datacenter and AI gains. Memory price surges risk complicating 2026 results. CEO Lisa Su expects PC growth in 2025 by focusing on enterprise and high-end segments.
Read at Theregister
Unable to calculate read time
Collection
[
|
...
]