Particle.news
Download on the App Store
26 ARTICLES
·
2d ago

AMD Reports Record Q1 Revenue While Bracing for $1.5 Billion China Export Impact

The semiconductor giant achieved $7.44 billion in revenue, driven by strong AI and data center growth, but warned of significant revenue challenges from new U.S. export controls.

Image

Overview

  • AMD posted its highest-ever quarterly revenue of $7.44 billion for Q1 2025, a 36% year-over-year increase, surpassing analyst expectations.
  • Data center revenue surged 57% to $3.7 billion, fueled by demand for EPYC CPUs and Instinct GPUs, while client computing revenue rose 68% to $2.3 billion.
  • The company anticipates a $1.5 billion revenue hit in 2025 due to U.S. export restrictions on AI chips to China, along with an $800 million inventory-related charge in Q2.
  • Despite the export challenges, AMD provided Q2 revenue guidance of $7.4 billion with a 43% gross margin, reflecting cautious optimism for continued growth.
  • Shares rose over 4% in after-hours trading as investors responded positively to AMD's robust earnings and its focus on AI momentum and product innovation.