Advanced Micro Devices (AMD) is a major U.S. tech company based in Santa Clara, California. It started in 1969 and makes CPUs (central processing units) and GPUs (graphics processing units), which are important for computers. AMD’s products are used in gaming, data centers, AI, and other areas. Also, they are known for their Ryzen processors, Radeon graphics cards, and EPYC server processors. AMD focuses on creating advanced computing solutions for both everyday users and businesses.
For more than 50 years, AMD has been improving high-performance computing, graphics, and visualization technologies. AMD creates top-tier, adaptable products that push the limits of technology.
AMD Fiscal Q4 2025
Advanced Micro Devices (AMD) reported its financial results for the fourth quarter and the full year of 2025.
In the fourth quarter, the company earned a record $10.3 billion in revenue. It reported a 54% gross margin, $1.8 billion in operating income, and $1.5 billion in net income. Earnings per share were $0.92.
On a non‑GAAP basis, results were even stronger: gross margin was 57%, operating income reached a record $2.9 billion, net income was $2.5 billion, and earnings per share were a record $1.53.
For the full year 2025, AMD delivered record revenue of $34.6 billion. The company reported a 50% gross margin, $3.7 billion in operating income, $4.3 billion in net income, and earnings per share of $2.65.
On a non‑GAAP basis, AMD achieved a 52% gross margin, record operating income of $7.8 billion, record net income of $6.8 billion, and record earnings per share of $4.17.
Highlights:
Data Center Q4 revenue hit a record $5.4B, up 39% year‑over‑year.
Data Center full‑year revenue reached a record $16.6B, up 32%.
Client & Gaming Q4 revenue was $3.9B, up 37%.
Client Q4 revenue was $3.1B, up 34%, driven by strong Ryzen demand.
Gaming Q4 revenue was $843M, up 50%, helped by semi‑custom and Radeon GPUs.
Client & Gaming full‑year revenue reached a record $14.6B, up 51%.
Embedded Q4 revenue was $950M, up 3%.
Embedded full‑year revenue was $3.5B, down 3% due to earlier inventory adjustments.
AMD previewed the Helios rack‑scale AI platform at CES 2026.
Announced the Instinct MI440X GPU for enterprise AI.
Launched new Ryzen AI 400 / PRO 400 platforms and the Ryzen AI Halo developer platform.
Introduced Ryzen AI Embedded processors for automotive, industrial, and physical AI.
HPE will adopt AMD Helios and build the Herder supercomputer with next‑gen Instinct GPUs and EPYC “Venice” CPUs.
AMD, Cisco, and HUMAIN plan a joint venture to deliver 1 GW of AI infrastructure by 2030.
AMD and TCS formed a partnership to co‑develop enterprise AI solutions.
Outlook
AMD expects first‑quarter 2026 revenue to be around $9.8 billion, give or take $300 million, which includes about $100 million in MI308 sales to China.
This outlook suggests roughly 32% growth compared to last year but about a 5% decline from the previous quarter.
The company also expects a non‑GAAP gross margin of about 55%.
Boards Statements
AMD Chair and CEO Dr. Lisa Su described 2025 as a defining year for AMD, marked by record revenue and earnings driven by strong execution and broad demand for its high‑performance and AI platforms.
Dr. Su noted that the company is entering 2026 with significant momentum, fueled by the accelerating adoption of its EPYC and Ryzen CPUs and the rapid expansion of its data‑center AI business.
Jean Hu, AMD’s executive vice president, CFO, and treasurer, emphasized that the company’s record fourth‑quarter and full‑year performance reflects its ability to deliver profitable growth at scale.
She highlighted that AMD achieved record non‑GAAP operating income and free cash flow while simultaneously increasing strategic investments to support long‑term growth across its high‑performance and adaptive computing portfolio.
Impact on the Stock Market
AMD’s stock fell about 9% in pre‑market trading after the earnings release, despite the company reporting strong fourth‑quarter results. The drop was mainly driven by investor disappointment with AMD’s forward guidance. While revenue and segment performance were record‑breaking, the company’s outlook for the first quarter of 2026 came in softer than what the market had anticipated.
The guidance suggested slower sequential growth, which investors interpreted as a sign of near‑term caution. As a result, even strong earnings couldn’t prevent the stock from pulling back sharply from its previous ATH resistance.
