Today AMD introduced their 3rd quarter incomes for the 2019 , and also AMD has actually not seen earnings such as this for a long period of time– as a matter of fact this is the greatest quarterly earnings considering that 2005 for the firm. AMD’s earnings leapt 9% year-over-year to $1.8 billion, and also a minimum of as notably, AMD had gross margins of 43%, which is up 3% over in 2015, and also the greatest margins they have actually seen considering that2012 Operating earnings was up 24% to $186 million, and also take-home pay was up 18% to $120 million. This led to earnings-per-share of $0.11, up 22% from Q3 2018.
|AMD Q3 2019 Financial Results (GAAP)|
|Revenue||$1801 M||$1531 M||$1653 M|
|Operating Income||$186 M||$59 M||$150 M|
|Net Income||$120 M||$35 M||$102 M|
|Earnings Per Share||$ 0.11||$ 0.03||$ 0.09|
This is the very first complete quarter for AMD considering that the launch of their 7 nm Zen 2 cpu, and also AMD connects the earnings development to the Computing and also Graphics, yet countered by reduced earnings in Enterprise, Embedded, and also Semi-Custom Revenue for the Computing and also Graphics sector was up 36% year-over-year to $1.28 billion, many thanks to both boosted quantity and also Average Selling Price (ASP) for Ryzen on the desktop computer. GPU ASP likewise boosted year-over-year many thanks to greater network sales. The Computing and also Graphics sector had running earnings of $179 million, which is up 79% from a year earlier.
|AMD Q3 2019 Computing and also Graphics|
|Revenue||$1276 M||$940 M||$938 M|
|Operating Income||$179 M||$22 M||$100 M|
Enterprise, Embedded, and also Semi-Custom had earnings of $525 million for the quarter, down 27% year-over-year, mainly credited to semi-custom sales, that makes feeling considering that a huge piece of that is for the AMD APU powering both the Sony PlayStation 4 and also Microsoft Xbox One, both of which are arranged for brand-new versions in the following fiscal year. Offsetting this was greater EPYC cpu sales, although insufficient of a countered to cover the semi-custom decrease. Operating earnings for this sector was $61 million, down 29% from a year earlier.
|AMD Q3 2019 Enterprise, Embedded and also Semi-Custom|
|Revenue||$525 M||$591 M||$715 M|
|Operating Income||$61 M||$89 M||$86 M|
Finally, AMD’s All Other classification reported an operating loss of $54 million, which is a 50% bigger loss than a year earlier.
AMD had some huge information in Q3, with several style wins for both Ryzen and also EPYC, consisting of Cray’s Shasta supercomputer leveraging second Generation EPYC, and also AMD obtaining a huge style win in the COMPUTER room with the Microsoft Surface Laptop 3.
Looking in advance to Q4, AMD is anticipating earnings of $2.1 billion, plus or minus $50 million, with a Non- GAAP gross margin of around 44%.
Source: AMD Investor Relations