AMD Reports 34% Revenue Growth in Q4 Driven by Data Center Demand
AMD reported a 34% increase in fourth-quarter revenue, reaching $10.27 billion, largely driven by a 39% rise in data center sales. The company also posted a profit of $1.51 billion, significantly up from the previous year, and exceeded analysts' earnings expectations. For Q1 2026, AMD forecasts revenue between $9.5 billion and $10.1 billion, including $100 million from sales to China, despite excluding China from its long-term guidance due to market uncertainties.
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AMD reported a 34% increase in fourth-quarter sales, reaching $10.27 billion, driven by strong performance in its data-center business, which saw a 39% rise in sales. The company posted a profit of $1.51 billion, or 92 cents per share, compared to $482 million, or 29 cents per share, a year earlier.
Adjusted earnings per share were $1.53, exceeding analysts' expectations of $1.32. AMD benefited from releasing $360 million of previously reserved Instinct MI308 inventory. Client and gaming revenue also increased by 37%, fueled by demand for Ryzen processors and Radeon GPUs.
For Q1 2026, AMD forecasts revenue between $9.5 billion and $10.1 billion, above Wall Street's estimate of $9.42 billion. The forecast includes approximately $100 million from Instinct MI308 sales to China, although AMD has excluded China from its long-term guidance due to market uncertainties.
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