AMD Q1 2026 earnings report

Advanced Micro Devices reported first-quarter earnings Tuesday that exceeded expectations, whereas the corporate’s income forecast additionally exceeded estimates as demand soars for chips to energy synthetic intelligence workloads.

The inventory jumped about 5% in prolonged buying and selling.

Here’s how the chipmaker did versus LSEG consensus estimates for the quarter led to March:

• EPS: $1.37 vs. $1.29 adjusted anticipated
• Revenue: $10.25 billion vs. $9.89 billion anticipated

Revenue jumped 38% from $7.44 billion a yr in the past, the corporate mentioned in a release on Tuesday. Data heart gross sales climbed 57% to $5.8 billion from $3.67 billion in the identical interval a yr earlier.

For the second quarter, AMD mentioned it expects about $11.2 billion in income, versus expectations of $10.52 billion, in accordance with LSEG.

AMD CEO Lisa Su mentioned within the assertion that the information heart unit is now the “primary driver of our revenue and earnings growth.”

“Looking ahead, we expect server growth to accelerate meaningfully as we scale supply to meet demand,” Su mentioned.

Net earnings climbed to $1.38 billion, or 84 cents per share within the quarter, from $709 million, or 44 cents per share, a yr in the past.

AMD’s inventory has been on a tear, greater than tripling over the previous yr, together with a 66% leap thus far in 2026. While the corporate has trailed far behind rival Nvidia In the marketplace for graphics processing items (GPUs) to energy AI knowledge facilities, traders have poured into AMD’s inventory extra lately on optimism that the chance is giant sufficient for a number of gamers.

Unlike Nvidia, AMD has lengthy been a number one maker of central processing items, or CPUs, that are having fun with a greatest renaissance as agentic AI shifts compute wants. AMD shares popped final week when AMD and Intel introduced they’re going to pair up on a brand new instruction set for x86 CPUs. The new characteristic, known as AI Compute Extensions, goals to extend efficiency and vitality effectivity by boosting compute density by 16 instances.

The chip business has confronted a worldwide reminiscence scarcity due to insatiable AI demand in addition to capability constraints for each manufacturing and superior packaging, and provide chain challenges as a result of battle in Iran.

That’s all contributing to a frenzy in a variety of semiconductor-related names. Intel simply had its best month ever in April, with shares greater than doubling as the corporate reported first-quarter results that trumped analysts’ estimates. Shares of reminiscence maker Micron are up greater than 700% prior to now yr, pushing the corporate’s market cap past $700 billion.

In addition to CPUs and GPUs, AMD can be anticipated to ship its first full rack-scale system for AI knowledge facilities, Helios, later this yr. It’s meant to rival Nvidia’s Grace Blackwell and Vera Rubin programs that promote for upwards of $3 million.

Both OpenAI and Goal have already signed up for shipments of Helios, marking AMD’s system as a viable second option for AI giants and hyperscalers scrambling to safe sufficient compute.

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