AMD posts record revenue as data center sales nearly double

Advanced Micro Devices reported record third-quarter revenue of $13.4 billion, up 45% from a year earlier, as data-center sales nearly doubled and led the chipmaker to forecast a further sharp increase in the current quarter. Revenue for the quarter ended September 26 reached $13.38 billion, the company said. Data-center revenue rose 97% to $8.55 billion, accounting for roughly 64% of sales, with demand for EPYC server processors and Instinct graphics processors contributing to the increase. AMD also reported GAAP net income of $2.43 billion, or $1.46 a share, compared with $1.24 billion a year earlier. AMD forecast fourth-quarter revenue of about $17 billion, plus or minus 3%, which would represent about 66% growth from the same quarter a year earlier at the midpoint. It expects a non-GAAP gross margin of about 55%, compared with 56% in the third quarter. The forecast reflects the company’s expectation that demand across its data-center business will continue to strengthen. Chief Executive Lisa Su told analysts that AMD expects data-center growth to continue into 2027. She said the company has been planning deployments with customers and has visibility into their...