Official: AMD now stands for All the Money, Dudes!

Radeon and notebook surge brings best quarter in seven years

AMD is crediting the continued success of Ryzen and Epyc processors, and Radeon graphics chips, in fueling its best quarter since 2011.

The other-other CPU vendor turned in a massive Q2 FY2018 on Wednesday with big gains in both sales and net income. For the quarter, ending June 30:

  • Revenues of $1.76bn were up 53 per cent from $1.15bn in Q2 2017.
  • Net income of $116m brought AMD into the black from a $42m loss in the year-ago quarter.
  • Non-GAAP EPS of $0.14 compared to a loss of $0.01 a year ago and topped analyst estimates of $0.13.
  • Computing and Graphics group revenues were $1.09bn, a 64 per cent jump from Q2 2017.
  • Enterprise, embedded and semi-custom revenues were $670m, a 37 per cent year-over-year jump.
  • A drop in revenues from buyers doing stuff with blockchains – such as cryptomining – was noted from quarter to quarter, and AMD chief exec Dr Lisa Su admitted these numbers were lower than expected.
  • AMD says that, for the first time, Dell, HP and Lenovo are all offering its chips in both their notebook and desktop lineups.

"As expected, AMD had another solid growth quarter with 2nd gen Ryzen, Ryzen mobile, and Epyc all ramping strong, leading to an overall 54 per cent revenue gain," noted analyst Patrick Moorhead of Moor Insights and Research.

"Ryzen units grew double-digit sequentially and Ryzen mobile doubled sequentially. Radeon graphics sales were down driven by a decline in blockchain revenue, but in the grand scheme of things, not very large, a 4 per cent decline."

Cisco UCS 4200 chassis and C125 M5 Rack Server Node

Cisco turns to AMD Epyc for the first time in new UCS model


While touting the solid numbers, Su painted a bright picture for AMD's near-term future, particularly the company's looming move to 7nm in both its CPU and GPU chips, set to begin later this year and continue into early 2019.

"We bet heavily on 7nm, we thought 7nm would be a big node for the industry," Su told analysts on a conference call.

"When you look at where we are today on the CPU side, we have the first silicon on our Rome products, it looks really good."

Su also said AMD will look to up its spending in the software space as it looks to squeeze more performance from its silicon.

"We have a lot of opportunity on the software side across CPUs and GPUs to accelerate some of our machine learning work," Su said, "and that is where incremental R&D would go."

Investors were enthusiastic about the soaring revenues, and AMD stock was up 5 per cent after-hours at $16.88 per share. ®

Other stories you might like

  • Twitter founder Dorsey beats hasty retweet from the board
    As shareholders sue the social network amid Elon Musk's takeover attempt

    Twitter has officially entered the post-Dorsey age: its founder and two-time CEO's board term expired Wednesday, marking the first time the social media company hasn't had him around in some capacity.

    Jack Dorsey announced his resignation as Twitter chief exec in November 2021, and passed the baton to Parag Agrawal while remaining on the board. Now that board term has ended, and Dorsey has stepped down as expected. Agrawal has taken Dorsey's board seat; Salesforce co-CEO Bret Taylor has assumed the role of Twitter's board chair. 

    In his resignation announcement, Dorsey – who co-founded and is CEO of Block (formerly Square) – said having founders leading the companies they created can be severely limiting for an organization and can serve as a single point of failure. "I believe it's critical a company can stand on its own, free of its founder's influence or direction," Dorsey said. He didn't respond to a request for further comment today. 

    Continue reading
  • Snowflake stock drops as some top customers cut usage
    You might say its valuation is melting away

    IPO darling Snowflake's share price took a beating in an already bearish market for tech stocks after filing weaker than expected financial guidance amid a slowdown in orders from some of its largest customers.

    For its first quarter of fiscal 2023, ended April 30, Snowflake's revenue grew 85 percent year-on-year to $422.4 million. The company made an operating loss of $188.8 million, albeit down from $205.6 million a year ago.

    Although surpassing revenue expectations, the cloud-based data warehousing business saw its valuation tumble 16 percent in extended trading on Wednesday. Its stock price dived from $133 apiece to $117 in after-hours trading, and today is cruising back at $127. That stumble arrived amid a general tech stock sell-off some observers said was overdue.

    Continue reading
  • Amazon investors nuke proposed ethics overhaul and say yes to $212m CEO pay
    Workplace safety, labor organizing, sustainability and, um, wage 'fairness' all struck down in vote

    Amazon CEO Andy Jassy's first shareholder meeting was a rousing success for Amazon leadership and Jassy's bank account. But for activist investors intent on making Amazon more open and transparent, it was nothing short of a disaster.

    While actual voting results haven't been released yet, Amazon general counsel David Zapolsky told Reuters that stock owners voted down fifteen shareholder resolutions addressing topics including workplace safety, labor organizing, sustainability, and pay fairness. Amazon's board recommended voting no on all of the proposals.

    Jassy and the board scored additional victories in the form of shareholder approval for board appointments, executive compensation and a 20-for-1 stock split. Jassy's executive compensation package, which is tied to Amazon stock price and mostly delivered as stock awards over a multi-year period, was $212 million in 2021. 

    Continue reading

Biting the hand that feeds IT © 1998–2022