AMD Q1 Revenue Up 14% YoY: Data Center Business Drives Growth

AMD's Data Center revenue rose 14% Y/Y, driven by strong demand for its EPYC server processors and Radeon Instinct GPUs. The company's overall revenue was $3.08 billion, up 40% from the previous year. AMD's market share in the server CPU market increased to 20%, surpassing Intel's 19.8%. The company's gaming revenue was up 47% Y/Y, driven by strong demand for its Radeon RX 6000 series GPUs.

AMD (NASDAQ:AMD) reported robust financial results for the second quarter of 2025, with record revenue of $7.7 billion, up 32% year-over-year. The company achieved GAAP net income of $872 million and diluted EPS of $0.54. However, export controls on AMD Instinct MI308 GPUs to China resulted in approximately $800 million in inventory charges [1].

The Data Center segment generated $3.2 billion in revenue, up 14% year-over-year, driven by strong demand for EPYC server processors and Radeon Instinct GPUs. The Client and Gaming segment reached $3.6 billion in revenue, up 69% year-over-year, with gaming revenue up 73% due to strong demand for Radeon RX 6000 series GPUs [1].

AMD's overall revenue was $7.7 billion, up 32% from the previous year, with the Data Center segment accounting for $3.2 billion and Client and Gaming for $3.6 billion. The company's market share in the server CPU market increased to 20%, surpassing Intel's 19.8% [1].

Looking ahead, AMD expects revenue of approximately $8.7 billion for Q3 2025, with non-GAAP gross margin of 54%. The company also announced plans to sell ZT Systems' data center infrastructure business to Sanmina for $3 billion [1].

AMD's strong performance in the second quarter was driven by record server and PC processor sales, despite the impact of export restrictions on its MI308 data center GPU products sold to China. The company's strategic investments in hardware, software, and systems position it well for robust future growth and long-term shareholder value [1].

References:
[1] https://www.stocktitan.net/news/AMD/amd-reports-second-quarter-2025-financial-5g90pseu2cgu.html