AMD Posts Strong Q1 on Data Center Chip Demand
Advanced Micro Devices beat Wall Street expectations Tuesday, posting first-quarter earnings of $1.37 per share on $10.25 billion in revenue. Analysts had forecast $1.29 per share on $9.9 billion in sales.
Year over year, AMD's earnings climbed 43% while sales grew 38%. The company also raised its outlook for the current quarter, projecting $11.2 billion in revenue against Wall Street expectations of $10.54 billion.
Data Center Becomes Primary Revenue Driver
Data center sales jumped 57% year over year to $5.8 billion in the first quarter. The growth came from demand for AMD's Epyc server processors and Instinct graphics processing units, which compete against chips from Nvidia and others in AI infrastructure markets.
CEO Lisa Su said the company is seeing "strong momentum as inferencing and agentic AI drive increasing demand for high-performance CPUs and accelerators." Customer interest in AMD's MI450 Series AI accelerators and Helios server systems is strengthening, she added.
Stock Gains on Earnings Beat
AMD stock rose more than 5% in after-hours trading Tuesday to $375.66, following a 4% gain during the regular session to close at $355.26. The stock broke out of a 23-week consolidation pattern in mid-April and hit a record high of $362.79 on May 1.
For sales professionals, AMD's results signal accelerating enterprise demand for AI infrastructure - a key market where AI for Sales strategies are reshaping how companies approach data center deals. Understanding how AI is driving customer buying decisions can help you refine your approach to infrastructure and technology sales.
Those selling enterprise solutions may benefit from learning how AI tools are changing the sales process itself. An AI Learning Path for Sales Representatives covers techniques for prospecting, lead qualification, and CRM automation in high-value technology markets.
Your membership also unlocks:
