AMD Beats Q4 Earnings, Revenue Estimates on AI Growth

Advanced Micro Devices Inc., a leading semiconductor company, reported stronger-than-expected fourth-quarter results on February 3, exceeding analyst estimates for earnings and revenue, though its stock has declined year-to-date amid competitive pressures in the artificial intelligence market.

The company posted earnings per share of $1.53 for the quarter ended December 2025, surpassing the consensus forecast of $1.32 by $0.21. Revenue reached $10.27 billion, beating projections of $9.65 billion and reflecting a 34.1 percent increase from the same period a year earlier. The data center segment drove much of the growth, generating $5.4 billion in revenue, up 39 percent year-over-year, fueled by demand for EPYC server processors and Instinct AI accelerators among cloud providers and enterprises.

Management projected a 35 percent compound annual growth rate for overall revenue over the next three years, with the data center business expected to expand at a 60 percent clip during that period. Analysts anticipate earnings per share of $3.87 for the current fiscal year. Advanced Micro Devices also highlighted its AI revenue potential at $120 billion within a market projected to exceed...