AMD expects about $5.7 billion in sales in the current third second quarter, with non-GAAP gross profit margins of 51%. The company's client group, which includes PC processor sales, saw a decline, while the embedded segment, which includes networking chips, grew 16% to $1.5 billion. The gaming segment reported $1.6 billion in sales, up 16% from a year ago. AMD's rival, Intel, reported net income of $500 million, or 13 cents a share, on revenues of $12.9 billion, down 15% from a year ago for the second quarter ended July 1.
Key takeaways:
- AMD reported a revenue of $5.36 billion in its second quarter, down 18% from a year earlier, but beat expectations for both revenues and net income.
- AMD CEO Lisa Su stated that the company's AI engagements increased by more than seven times in the quarter, with strong progress made in meeting key hardware and software milestones for data center AI solutions.
- AMD expects about $5.7 billion in sales in the current third second quarter, with non-GAAP gross profit margins of 51%.
- AMD's fourth-generation Epyc chips were picked up by customers such as AWS, Alibaba, Microsoft Azure and OCI, and are being used in Cerebras's Condor Galaxy 1 cloud-based AI supercomputer.