Semiconductor giant Advanced Micro Devices (NASDAQ: NASDAQ:AMD) reported third-quarter financial results after market close Tuesday. Here are the key highlights.
What Happened: AMD reported third-quarter revenue of $5.565 billion, up 29% year-over-year. The revenue total missed a Street estimate of $5.62 billion, according to data from Benzinga Pro.
The company reported earnings per share of 67 cents per share in the second quarter, missing a Street estimate of 68 cents per share.
“Third quarter results came in below our expectations due to the softening PC market and substantial inventory reduction actions across the PC supply chain,” AMD CEO Dr. Lisa Su said. “Despite the challenging macro environment, we grew revenue 29% year-over-year driven by increased sales of our data center, embedded and game console products.”
Here is a look at segment revenue:
- Data center: $1.6 billion, up 45% year-over-year
- Client: $1 billion, up 40% year-over-year
- Gaming: $1.6 billion, up 14% year-over-year
- Embedded: $1.3 billion, up 1,549% year-over-year
Related Link: Advanced Micro Devices Analyst 'Surprised By Weakness' Heading Into Q3 Earnings: What To Watch
What’s Next: The company is guiding for fourth-quarter revenue in a range of $5.2 billion to $5.8 billion, up 14% year-over-year at the midpoint of the range.
For the full year, AMD expects revenue to be in a range of $23.2 billion to $23.8 billion. The company said the embedded and data center segments will lead the growth going forward.
“We are confident that our leadership product portfolio, strong balance sheet, and ongoing growth opportunities in our data center and embedded businesses position us well to navigate the current market dynamics,” Su said.
AMD Price Action: AMD shares were trading 2.33% higher at $61.05 in Tuesday's after-hours session.
Read Next: See What Analyst Are Saying About AMD
Photo courtesy of AMD.
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