AMD posts 45% revenue rise in Q3, driven by data-center demand

Advanced Micro Devices announced third-quarter results that exceeded analysts' forecasts, posting revenue of $13.38 billion, up from $9.25 billion a year earlier, and adjusted earnings of $2.09 per share versus the $1.95 expected. Data-center sales almost doubled, accounting for about 64% of total revenue, up from 47% a year earlier.

"With our leadership product portfolio and deep customer and supply chain relationships, we are confident in our ability to sustain very strong revenue growth and expanding profitability over the coming years," CEO Lisa Su said in a statement.

The company highlighted continued strength in its server CPUs, which are used in emerging agentic AI applications, and noted that its Helios rack-scale systems are being adopted by firms such as Meta, Microsoft, Anthropic, OpenAI and Oracle. AMD also disclosed a $1 billion equity investment in Meta and a commitment of up to $5 billion in Anthropic.

Looking ahead, AMD projected fourth-quarter revenue of about $17 billion, above the $16.2 billion average analyst estimate, and expected a gross margin of roughly 55%. The firm also confirmed its plan to acquire AI lab World Labs for $8.2 billion in an all-stock transaction.

The results came amid a broader industry sell-off linked to concerns over AI spending, but AMD's shares rose 7% in after-hours trading.