Companies /Technology

Advanced Micro Devices Inc

NASDAQ: AMD Semiconductors
$477.57
▲ $21.41 (+4.69%) today
Markets closed · 5:45pm ET

Q3 2024 Earnings

Reported Oct 29, 2024, 4:16pm ET · SEC source
$0.92
Beat +1.10%
EPS · est. $0.91
$6.8B
Beat +1.64%
Revenue · est. $6.7B
−8.5%
Trailing market
AMD vs S&P since report
4 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−4%0+4%+8%Oct 29Oct 30report 4:16pm ETearnings−0.7%−5.4%
−4%0+4%+8%Oct 29Oct 30earnings−0.7%−5.4%
AMD −5.4%S&P 500 −0.7%
−4%0+4%+8%Oct 29Oct 30report 4:16pm ETearnings−1.3%−5.4%
−4%0+4%+8%Oct 29Oct 30earnings−1.3%−5.4%
AMD −5.4%NASDAQ −1.3%
−5%0+5%Oct 28Nov 6report 4:16pm ETearnings+1.6%−5.8%
−5%0+5%Oct 28Nov 6earnings+1.6%−5.8%
AMD −5.8%S&P 500 +1.6%
−5%0+5%Oct 28Nov 6report 4:16pm ETearnings+1.2%−5.8%
−5%0+5%Oct 28Nov 6earnings+1.2%−5.8%
AMD −5.8%NASDAQ +1.2%
−10.62%
Day of report
−3.05%
Next session
−2.36%
One week
−4.40%
30 days

S&P 500 over the same 30 days: +4.07%.

Did AMD Beat Earnings? Q3 2024 Results

Advanced Micro Devices delivered a solid beat across both top and bottom lines in Q3 2024, with earnings per share of $0.92 edging past the $0.91 consensus estimate by 1.10% and revenue of $6.82 billion coming in 1.64% ahead of the $6.71 billion Wall Street had expected, representing 17.6% growth year-over-year. The standout driver was AMD's Data Center segment, which posted record revenue of $3.55 billion, up 122% year-over-year, as rapid shipment growth for Instinct GPUs and continued momentum in EPYC processors powered the company's AI ambitions. The Client segment added to the strength, with revenue climbing 29% year-over-year to $1.88 billion on robust Zen 5 Ryzen demand, though sharp declines in Gaming, down 69% to $462 million, tempered the overall picture. Despite the beat, some analysts flagged the Q4 guidance as underwhelming relative to elevated expectations, a tension that weighed on investor sentiment. Looking ahead, AMD guided Q4 revenue to approximately $7.50 billion, implying roughly 22% year-over-year growth, with non-GAAP gross margin expected near 54%.

Key Takeaways
  • Strong ramp of AMD Instinct GPU shipments driving record Data Center revenue
  • Growth in AMD EPYC CPU sales for servers
  • Strong demand for Zen 5 AMD Ryzen processors in Client segment
  • Sequential improvement in Embedded segment as demand improved in several end markets
  • Higher revenue mix driving gross margin expansion

“We delivered strong third quarter financial results with record revenue led by higher sales of EPYC and Instinct data center products and robust demand for our Ryzen PC processors.”

AMD CEO, on the earnings call

Forward Guidance & Outlook

For Q4 2024, AMD expects revenue of approximately $7.5 billion, plus or minus $300 million, representing year-over-year growth of approximately 22% and sequential growth of approximately 10%. Non-GAAP gross margin is expected to be approximately 54%. Non-GAAP operating expenses are expected to be approximately $2.05 billion with an effective tax rate of approximately 13% and diluted share count of approximately 1.64 billion shares. AMD stated it is on track to deliver record annual revenue for 2024 based on significant growth in its Data Center and Client segments.

AMD YoY Financials

Q3 2024 vs Q3 2023 · SEC filings Q3 2023 Q3 2024
$0$2.0B$4.0B$6.0B$5.8B$6.8BRevenue$2.7B$3.4BGross Profit$224.0M$724.0MOperating Income$299.0M$771.0MNet Income
$0$2.0B$4.0B$6.0BRevenueGross ProfitOperating IncomeNet Income

AMD Revenue by Segment

Data Center$3.5B+122.0%
Client$1.9B+29.0%
Gaming$462.0M−69.0%
Embedded$927.0M−25.0%

Figures from SEC filings and company reports. Not investment advice.