AMD (NASDAQ:AMD) today announced financial results for the third quarter of 2025. Third quarter revenue was a record $9.2 billion, gross margin was 52%, operating income was $1.3 billion, net income was $1.2 billion and diluted earnings per share was $0.75. On a non-GAAP basis, gross margin was 54%, operating income was $2.2 billion, net income was $2 billion and diluted earnings per share was $1.20. Our third quarter results did not include any revenue from shipments of AMD Instinct MI308 GPU products to China.

“We delivered an outstanding quarter, with record revenue and profitability reflecting broad based demand for our high-performance EPYC and Ryzen processors and Instinct AI accelerators,” said Dr. Lisa Su, AMD chair and CEO. “Our record third quarter performance and strong fourth quarter guidance marks a clear step up in our growth trajectory as our expanding compute franchise and rapidly scaling data center AI business drive significant revenue and earnings growth.”

“We delivered record quarterly revenue of $9.2 billion, up 36% year-over-year, and generated record free cash flow, reflecting the strength of our leadership portfolio and disciplined execution,” said Jean Hu, AMD executive vice president, chief financial officer and treasurer. “Our continued investments in AI and high-performance computing are driving significant growth and position AMD to deliver long-term value creation.”

Segment Summary

• Data Center segment revenue was $4.3 billion, up 22% year-over-year primarily driven by strong demand for 5th Gen AMD EPYC processors and AMD Instinct MI350 Series GPUs.
• Client and Gaming segment revenue was $4 billion, up 73% year-over-year. Client revenue was a record $2.8 billion, up 46% year-over-year primarily driven by record sales of Ryzen processors and a richer product mix. Gaming revenue was $1.3 billion, up 181% year-over-year driven by higher semi-custom revenue and strong demand for Radeon gaming GPUs.
• Embedded segment revenue was $857 million, down 8% year-over-year.

Recent PR Highlights

• Customer momentum for AMD AI platforms is accelerating:

• OpenAI and AMD announced a strategic partnership where AMD will be a core preferred partner to deploy 6 gigawatts of AMD GPUs to power OpenAI’s next generation AI infrastructure, with the first 1-gigawatt deployment of AMD Instinct MI450 GPUs set to begin in the second half of 2026.

• Oracle and AMD announced that Oracle Cloud Infrastructure (OCI) will offer the first publicly available AI supercluster powered by the AMD “Helios” rack design with

• AMD Instinct MI450 GPUs, EPYC “Venice” CPUs and Pensando “Vulcano” networking, with an initial deployment of 50,000 GPUs starting in Q3 2026.

• AMD unveiled its “Helios” rack scale design that supports the new Open Rack Wide specification introduced by Meta at Open Compute Project Global Summit.

• Cisco and AMD announced an expanded collaboration with G42 to deploy a large-scale AI cluster powered by AMD Instinct MI355X GPUs to advance secure AI infrastructure across UAE.

• IBM and AMD announced a multi-year collaboration to provide Zyphra with advanced AI infrastructure, leveraging a large cluster of AMD Instinct MI350X GPUs to power next-generation multimodal AI models.

• Cohere and AMD expanded their collaboration, bringing AMD Instinct GPU-powered infrastructure to Cohere’s full suite of enterprise AI offerings.

• Vultr announced the global availability of AMD Instinct MI355X GPUs across its cloud platform.

• DigitalOcean expanded its AMD-based cloud offerings to support a broader range of AI workloads with AMD Instinct MI325X GPUs available now and AMD Instinct MI350X GPUs available later this year.

• AMD and Tech Mahindra announced a collaboration to bring AMD Instinct GPUs and AMD EPYC processors to the Cloud BlazeTech enterprise AI solution.

• AMD and the U.S. Department of Energy announced two new next-generation supercomputers:

• The Lux AI supercomputer, powered by AMD Instinct MI355X GPUs, AMD EPYC CPUs and AMD Pensando advanced networking technologies, will be the first U.S. AI factory supercomputer.

• The Discovery supercomputer, expected to be delivered in 2028, will be based on next-gen AMD EPYC CPUs, codenamed “Venice,” and AMD Instinct MI430X GPUs, a new MI400 Series accelerator designed for sovereign AI and scientific computing.

• AMD released ROCm 7 software, boosting training and inference performance and expanding enterprise tools for infrastructure management and deployment.

• AMD announced the completion of the divestiture of the ZT Systems data center infrastructure manufacturing business to Sanmina.

• AMD partners expanded their cloud offerings based on AMD EPYC processors to meet growing compute demand for enterprise and AI workloads:

• AWS announced the availability of Amazon EC2 M8a general-purpose instance powered by 5th Gen AMD EPYC processors, delivering up to 30% higher performance than the previous generation.

• Oracle announced next-gen Compute Cloud@Customer X11 and Private Cloud Appliance X11 platforms powered by 5th Gen AMD EPYC processors.

• IBM and AMD announced plans to combine quantum computers and high-performance compute to drive scalable, open-source next-generation computing architectures.

• AMD delivered new capabilities for the most demanding PC and gaming workloads, including:

• The AMD Ryzen Threadripper 9000WX and Ryzen Threadripper PRO 9000X Series processors, delivering unmatched multicore performance and platform capabilities for creators, enthusiasts and professionals.

• AMD FSR 4, a ML-based upscaling technology that enhances frame rates and visuals, saw rapid adoption with supported games doubling since launch to over 85.

• AMD expanded its x86 embedded processor portfolio, including:

• The AMD EPYC Embedded 4005 series processors, built to deliver performance, optimized system costs and extended deployment lifecycles in network security appliances and entry-level industrial edge servers.

• The AMD Ryzen Embedded 9000 processors delivering exceptional performance-per-watt, low latency, and the long-term stability for industrial PCs, automation systems and machine vision applications.

Current Outlook AMD’s outlook statements are based on current expectations. The following statements are forward-looking and actual results could differ materially depending on market conditions and the factors set forth under “Cautionary Statement” below.

For the fourth quarter of 2025, AMD expects revenue to be approximately $9.6 billion, plus or minus $300 million. At the mid-point of the revenue range, this represents year-over-year growth of approximately 25% and sequential growth of approximately 4%. Non-GAAP gross margin is expected to be approximately 54.5%. Our current outlook does not include any revenue from AMD Instinct MI308 shipments to China.