AMD Financial Results Third Quarter 2025

November 4, 2025





Our Journey

Leadership Product Portfolio

Expanding Customer & Partner Ecosystem

Data Center and AI Growth

Strong Financial Foundation



3 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

High Performance & Adaptive Computing Leadership

Accelerating innovation in silicon architecture, advanced packaging and software

Leadership

Foundational IP

Scaling compute engines from cloud to edge to endpoints with leadership performance per watt

Breadth and Depth

of Portfolio

Delivering a robust software stack and flexibility, transparency and choice to developers

Open, Proven

Software Ecosystem

Computing partner of choice across AI, data center, embedded, PCs and gaming

Deep, Collaborative

Partnerships





4 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Large Growth Opportunities

Embedded



Leadership performance and TCO across cloud, enterprise and AI workloads

Data Center



Performance, efficiency and AI capabilities for commercial and consumer PC and gaming experiences

Client and Gaming





Industry's broadest portfolio of adaptive and embedded computing platforms

Across a Diverse Set of Markets





5 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Revenue

Record third quarter revenue of

$9.2 billion increased 36% y/y



$9.2B

Revenue growth driven by broad based demand across our Data Center AI, Server, and PC businesses

$6.8B


Q3 2024 Q3 2025



6 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Gross Margin

50%

52%

54%

54%

Q3 2024

Q3 2025

Q3 2024

Q3 2025

Non-GAAP1

GAAP

Flat Y/Y driven by product mix



  1. See Appendices for GAAP to Non-GAAP reconciliation

7 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Operating Income

GAAP

Non-GAAP1

$2.2B

$1.7B

Q3 2024

Q3 2025

$1.3B

$0.7B

Q3 2024 Q3 2025

Increase driven by higher revenue partially offset by higher operating expenses



  1. See Appendices for GAAP to Non-GAAP reconciliation

8 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Diluted Earnings Per Share

Non-GAAP1

GAAP

$0.47

$0.75

$0.92

$1.20

Q3 2024 Q3 2025

Q3 2024 Q3 2025

Record Non-GAAP EPS up 30% y/y, primarily driven by higher revenue

GAAP EPS up 60% y/y, primarily driven by higher revenue



  1. See Appendices for GAAP to Non-GAAP reconciliation

9 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Summary P&L | GAAP

$ in millions, except per share data and %

Q3'251

Q3'24

Y/Y

Q2'252

Q/Q

Revenue

$9,246

$6,819

Up 36%

$7,685

Up 20%

Gross Profit

$4,780

$3,419

Up 40%

$3,059

Up 56%

Gross Margin

52%

50%

Up 2 ppts

40%

Up 12 ppts

Operating Expenses

$3,510

$2,695

Up 30%

$3,193

Up 10%

Operating Expense/Revenue %

38%

40%

Down 2 ppts

42%

Down 4 ppts

Operating Income (Loss)

$1,270

$724

Up 75%

$(134)

Up 1,048%

Operating Margin

14%

11%

Up 3 ppts

(2)%

Up 16 ppts

Net Income

$1,243

$771

Up 61%

$872

Up 43%

Diluted Earnings Per Share

$0.75

$0.47

Up 60%

$0.54

Up 39%







  1. Third quarter of 2025 results do not include any revenue from shipments of the AMD Instinct MI308 GPU products to China

  2. Second quarter of 2025 results included $800 million in inventory and related charges as result of the U.S. Government's export control on our AMD Instinct MI308 data center GPU products.

10 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Summary P&L | NON-GAAP1

$ in millions, except per share data and %

Q3'252

Q3'24

Y/Y

Q2'253

Q/Q

Revenue

$9,246

$6,819

Up 36%

$7,685

Up 20%

Gross Profit

$4,992

$3,657

Up 37%

$3,326

Up 50%

Gross Margin

54%

54%

Flat

43%

Up 11 ppts

Operating Expenses

$2,754

$1,942

Up 42%

$2,429

Up 13%

Operating Expense/Revenue %

30%

28%

Up 2 ppts

32%

Down 2 ppts

Operating Income

$2,238

$1,715

Up 30%

$897

Up 149%

Operating Margin

24%

25%

Down 1 ppt

12%

Up 12 ppts

Net Income

$1,965

$1,504

Up 31%

$781

Up 152%

Diluted Earnings Per Share

$1.20

$0.92

Up 30%

$0.48

Up 150%



  1. See Appendices for GAAP to Non-GAAP reconciliation



  2. Third quarter of 2025 results do not include any revenue from shipments of the AMD Instinct MI308 GPU products to China



  3. Second quarter of 2025 results included $800 million in inventory and related charges as result of the U.S. Government's export control on our AMD Instinct MI308 data center GPU products. Excluding these charges, non-GAAP gross margin for the second quarter of 2025 would have been approximately 54%

11 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Segment Results

$ in millions

Q3'25

Q3'24

Y/Y

Q2'25

Q/Q

Data Center

Net Revenue

$4,341

$3,549

Up 22%

$3,240

Up 34%

Operating Income (Loss)

$1,074

$1,041

Up 3%

$(155)

Up 793%

Client & Gaming

Net Revenue

$4,048

$2,343

Up 73%

$3,621

Up 12%

Operating Income

$867

$288

Up 201%

$767

Up 13%

Embedded

Net Revenue

$857

$927

Down 8%

$824

Up 4%

Operating Income

$283

$372

Down 24%

$275

Up 3%



12 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Summary Balance Sheet Items

$ in millions

Q3'25

Q2'25

Q/Q

Cash, Cash Equivalents and

Short-term Investments

$7,243

$5,867

Up 23%

Accounts Receivable, Net

$6,201

$5,115

Up 21%

Inventories

$7,313

$6,677

Up 10%

Total Debt

$3,220

$3,218

Flat

Cash from operating activities of continuing operations of $1.8 billion; record free cash flow of $1.5 billion1



  1. See Appendices for GAAP to Non-GAAP reconciliation

13 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Data Center Segment

Revenue

Operating Margin

$4.3B

$3.5B

29%

25%

  • AMD announced a strategic partnership with OpenAI to deploy 6-GW of AMD GPUs, with initial 1-GW rollout of AMD Instinct MI450 GPUs in 2H 2026.

  • AMD unveiled its "Helios" rack-scale design that

    supports Meta's new Open Rack Wide spec.

  • OCI announced the first public AI supercluster with the "Helios" rack design featuring AMD Instinct MI450 GPUs, EPYC "Venice" CPUs, and Pensando Vulcano networking with 50,000 GPUs deploying in Q3 2026.

  • AMD released ROCm 7, boosting training and inference performance, and expanded enterprise infrastructure management and deployment tools.

  • AMD and the U.S. Department of Energy announced two new next-generation supercomputers with ORNL

Strategic Highlights



Q3 2024 Q3 2025 Q3 2024 Q3 2025

Primarily driven by strong demand for 5th Gen AMD EPYC processors and AMD Instinct MI350 Series GPUs

Revenue

$4.3 Billion

Up 22% y/y

Operating Income

$1.1 Billion

vs. $1.0 Billion a year ago

Driven by higher revenue, partially offset by higher operating expenses





14 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Strategic Highlights

  • AMD launched AMD Ryzen Threadripper 9000WX

    and PRO 9000X Series processors, delivering unmatched multi-core performance for creators, enthusiasts and professionals.

  • The ROG Xbox Ally and ROG Xbox Ally X, powered by AMD Ryzen Z2 processors, went on sale worldwide, bringing incredible experiences to more gamers.

  • AMD FSR 4, an ML-based upscaling tech that

enhances frame rates and visuals, saw rapid adoption with supported games doubling since launch to over 85.



Q3 2025 Client and Gaming Segment

Revenue

Operating Margin

$2.3B

$4.0B

21%

12%

Gaming

$0.5B

Client

$1.9B

Client

$2.8B



Q3 2024 Q3 2025

Q3 2024 Q3 2025

Primarily driven by record sales of Ryzen processors, higher semi-custom revenue and strong demand for Radeon

gaming GPUs

Revenue

$4.0 Billion

Up 73% y/y

Operating Income

$867 Million

vs. $288 Million a year ago

Driven by higher revenue partially

offset by higher operating expenses





Sums may not equal totals due to rounding.

15 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Embedded Segment

Revenue

Operating Margin

  • Launched AMD Versal RF Series, delivering industry-leading compute performance for aerospace and defense applications

  • Began shipping Versal Premium Series Gen 2, the first adaptive compute devices supporting next-generation CXL and PCIe connectivity

  • Launched AMD EPYC Embedded 4005 series processors, delivering performance and extended lifecycles in network security appliances and edge servers.

  • Introduced AMD Ryzen Embedded 9000 processors with exceptional performance-per-watt and low latency for automation systems and machine vision applications.

Strategic Highlights



$927M

$857M

33%

40%

Q3 2024 Q3 2025 Q3 2024 Q3 2025

Revenue

$857 Million

Down 8% y/y

Demand environment strengthened across multiple markets

Operating Income

$283 Million

vs. $372 Million a year ago

Decline primarily due to lower revenue



16 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Financial Outlook - NON-GAAP1

Q4'25

Revenue ~$9.6 Billion,

+/- $300 Million

Gross Margin ~54.5%

Operating Expenses ~$2.8 Billion

Interest Expense/Other Income (Expense), net ~$37 Million

Effective Tax Rate ~13% of pre-tax income

Diluted Share Count2 ~1.65 Billion shares

Note: Our current outlook does not include any revenue from AMD Instinct MI308 shipments to China

  1. See Cautionary Statement on Slide 2. These forward-looking outlook statements and non-GAAP measures are based on current expectations as of November 4, 2025, and assumptions and beliefs that involve numerous risks and uncertainties. AMD undertakes no intent or obligation to publicly update or revise its outlook statements as a result of new information, future events or otherwise, except as may be required by law. All items, except revenue, are on a non-GAAP basis. Adjustments to arrive at the GAAP financial outlook typically include stock-based compensation, amortization of acquired intangible assets, income tax provision, and other non-recurring items such as impairment charges and acquisition-related costs. A reconciliation to equivalent GAAP measures is not practicable at this time as the timing and impact of such adjustments are dependent on future events that are typically uncertain or outside of AMD's control. Such events may include unanticipated changes in AMD's GAAP effective tax rate, unanticipated one-time charges related to asset impairments, unanticipated acquisition-related expenses, unanticipated gains, losses, and impairments, and other unanticipated non-recurring items not reflective of ongoing operations.



  2. Refer to Diluted Share Count overview in the Appendices.

17 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Q3 2025 Summary1

Record Revenue

$9.2B

Up 36% Y/Y

Data Center Segment Revenue $4.3B

Up 22% Y/Y

Client and Gaming Segment Revenue $4.0B Up 73% Y/Y

Gross Margin 52%

Non-GAAP

Gross Margin 54%

Diluted EPS $0.75

Non-GAAP

Diluted EPS $1.20

Revenue growth driven by broad based demand across our Data Center AI, Server, and PC businesses



  1. See Appendices for GAAP to Non-GAAP reconciliation

18 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Corporate Responsibility at AMD

Environmental

Advancing environmental solutions in our products, supply chain and operations, while accelerating energy efficiency for IT users

Social

Fostering a workplace where all voices are welcomed and valued, partnering with suppliers, and positively impacting our communities

Governance

Integrating corporate responsibility and governance across product design, supply chain, operations, and external engagement

19 | Q3 2025 FINANCIAL RESULTS - November 4, 2025





Our Momentum

Large and Compelling TAM

Technology Leadership

Expanding Data Center and AI Leadership

World-Class Execution and Focus

Strong Balance Sheet

Driving Long-term Shareholder Returns



20 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Appendices

Reconciliation of GAAP to Non-GAAP Gross Profit and Gross Margin

$ in millions, except % (Unaudited)

Q3'25

Q3'24

Q2'25

GAAP gross profit

$ 4,780

$ 3,419

$ 3,059

GAAP gross margin

52%

50%

40%

Stock-based compensation

7

5

6

Amortization of acquisition-related intangibles

260

233

260

Acquisition-related and other costs (1)

-

-

1

Inventory loss at (recovery from) contract manufacturer (2)

(67)

-

-

Loss contingency on legal matter

12

-

-

Non-GAAP gross profit

$ 4,992

$ 3,657

$ 3,326

Non-GAAP gross margin

54%

54%

43%

Reconciliation of GAAP to Non-GAAP Operating Expenses

$ in millions, except % (Unaudited)

Q3'25

Q3'24

Q2'25

GAAP operating expenses (3)

$ 3,510

$ 2,695

$ 3,193

GAAP operating expenses/revenue %

38%

40%

42%

Stock-based compensation

412

346

363

Amortization of acquisition-related intangibles

302

352

308

Acquisition-related and other costs (1)

42

55

93

Non-GAAP operating expenses (3)

$ 2,754

$ 1,942

$ 2,429

Non-GAAP operating expenses/revenue %

30%

28%

32%

  1. Acquisition-related and other costs primarily include transaction costs, purchase price fair value adjustments for inventory, certain compensation charges, and workforce rebalancing charges.



  2. Inventory loss at (recovery from) contract manufacturer is related to losses due to an incident at a third-party contract manufacturing facility in Q1'24 and the corresponding recovery.

  3. Effective first quarter of 2025, licensing gain is reclassified against Marketing, general and administrative expenses as the amounts were immaterial.

21 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Appendices

Reconciliation of GAAP Operating Income (Loss) to Non-GAAP Operating Income

$ in millions, except % (Unaudited)

Q3'25

Q3'24

Q2'25

GAAP operating income (loss)

$ 1,270

$ 724

$ (134)

GAAP operating margin

14%

11%

(2)%

Stock-based compensation

419

351

369

Amortization of acquisition-related intangibles

562

585

568

Acquisition-related and other costs (1)

42

55

94

Inventory loss at (recovery from) contract manufacturer (2)

(67)

-

-

Loss contingency on legal matter

12

-

-

Non-GAAP operating income

$ 2,238

$ 1,715

$ 897

Non-GAAP operating margin

24%

25%

12%

  1. Acquisition-related and other costs primarily include transaction costs, purchase price fair value adjustments for inventory, certain compensation charges, and workforce rebalancing charges.

  2. Inventory loss at (recovery from) contract manufacturer is related to losses due to an incident at a third-party contract manufacturing facility in Q1'24 and the corresponding recovery.



22 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Appendices

Reconciliation of GAAP to Non-GAAP Net Income / Diluted Earnings Per Share

$ in millions, except per share data (Unaudited)

Q3'25

Q3'24

Q2'25

GAAP net income / earnings per share

$ 1,243

$ 0.75

$ 771

$ 0.47

$ 872

$ 0.54

Stock-based compensation

419

0.26

351

0.21

369

0.23

Amortization of acquisition-related intangibles

562

0.34

585

0.36

568

0.35

Acquisition-related and other costs (1)

43

0.03

56

0.03

96

0.05

Inventory loss at (recovery from) contract manufacturer (2)

(67)

(0.04)

-

-

-

-

Loss contingency on legal matter

12

0.01

-

-

-

-

(Gains) losses on equity investments, net

(26)

(0.02)

(1)

-

(61)

(0.04)

Equity income in investee

(10)

-

(7)

-

(8)

-

Release of reserves for uncertain tax positions (3)

-

-

-

-

(853)

(0.52)

Income tax provision

(140)

(0.09)

(251)

(0.15)

(98)

(0.06)

Income from discontinued operations, net of tax (4)

(71)

(0.04)

-

-

(104)

(0.07)

Non-GAAP net income / earnings per share

$ 1,965

$ 1.20

$ 1,504

$ 0.92

$ 781

$ 0.48

  1. Acquisition-related and other costs primarily include transaction costs, purchase price fair value adjustments for inventory, certain compensation charges, and workforce rebalancing charges.

  2. Inventory loss at (recovery from) contract manufacturer is related to losses due to an incident at a third-party contract manufacturing facility in Q1'24 and the corresponding recovery.

  3. Release of reserves for uncertain tax positions pertains to the reasonable cause relief related to dual consolidated losses approved by IRS in Q2'25.

  4. Income from discontinued operations is related to ZT Systems' manufacturing business which is classified as held-for-sale.



23 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Appendices

Reconciliation of GAAP Net Cash Provided by Operating Activities of Continuing Operations to Free Cash Flow

$ in millions, except % (Unaudited)

Q3'25

GAAP net cash provided by operating activities of continuing operations

$ 1,788

Operating cash flow margin % from continuing operations

19%

Purchases of property and equipment

(258)

Free cash flow

$ 1,530

Free cash flow margin %

17%



24 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Appendices

Share Count Overview

Shares (millions) (Unaudited) (1)

Q3'25

Q4'25

Actual

Estimate

Basic shares

1,626

1,630

Dilutive impact from employee equity grants (2)

15

17

Diluted shares

1,641

1,647

The table above provides actual share count for Q3'25 and an estimate of share count to use when calculating GAAP and non-GAAP diluted earnings per share for Q4'25.

  1. Share counts are weighted average shares.

  2. The dilutive impact of employee equity grants is based on the Treasury Stock method and is dependent on the average stock pri ce during the period. The Q3'25 average stock price was $161. The estimated dilutive impact of employee equity grants in Q4'25 is based on the average stock price of $213 between September 29, 2025 and October 24, 2025.



25 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

Appendices

Reconciliation of GAAP to Adjusted NON-GAAP Financial Measures

$ in millions, except % (Unaudited)

Q2'25

GAAP gross profit

$ 3,059

GAAP gross margin

40%

Stock-based compensation, amortization of acquisition-related intangibles,

acquisition-related and other costs

267

Inventory and related charges associated with U.S. export restrictions

800

Non-GAAP gross profit (as adjusted to exclude inventory and related charges associated with U.S. export restrictions)

$ 4,126

Non-GAAP gross margin (as adjusted to exclude inventory and related charges associated with U.S. export restrictions)

54%



26 | Q3 2025 FINANCIAL RESULTS - November 4, 2025





27 | Q3 2025 FINANCIAL RESULTS - November 4, 2025

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AMD - Advanced Micro Devices Inc. published this content on November 04, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on November 04, 2025 at 22:05 UTC.