Advanced Micro Devices delivered record second‑quarter 2025 revenue, rising 32 percent year‑over‑year to $7.70 billion, beating consensus estimates of ~$7.41 billion. Adjusted earnings per share came in at $0.48, in line with Wall Street forecasts but down from $0.69 in the prior year. Net income on a GAAP basis was $872 million ($0.54 per diluted share), compared to $265 million a year earlier.
A key factor impacting profitability was an $800 million inventory write‑down tied to U.S. export controls on its MI308 data‑center GPUs destined for China. AMD said non‑GAAP gross margin would have reached approximately 54 percent without that charge; the reported gross margin stood at 40 percent (43 percent non‑GAAP).
Performance varied across segments: Gaming revenue surged 73 percent to $1.1 billion, while Client (PC processor) sales jumped 67 percent to $2.5 billion. The Data Center segment grew a more modest 14 percent to $3.2 billion, roughly meeting analyst estimates but lagging gains by competitors.
The Data Center segment grew a more modest 14 percent to $3.2 billion, roughly meeting analyst estimates but lagging gains by competitors.
Here’s a breakdown of AMD’s Q2 2025 financials:
| Metric | Q2 2025 Result | YoY Change |
| Revenue | $7.70 Billion | +32% |
| GAAP Net Income | $872 Million | +229% |
| Non-GAAP EPS | $0.48 | -30% |
| Gaming Segment Revenue | $1.1 Billion | +73% |
| Client Segment Revenue | $2.5 Billion | +67% |
| Data Center Revenue | $3.2 Billion | +14% |
| GAAP Gross Margin | 40% | – |
| Non-GAAP Gross Margin | 43% (54% w/o charge) | – |
| Q3 Revenue Guidance | ~$8.7 Billion | Above estimate |
AMD CEO Lisa Su commented on the strong demand for computing and AI products, emphasizing momentum from EPYC and Ryzen CPUs, as well as the ramp-up of the new Instinct MI350 accelerators, which are expected to drive second‑half growth.
Looking ahead, AMD offered strong guidance for the third quarter: management expects revenue of approximately $8.7 billion, above the consensus forecast of ~$8.32 billion. That outlook excluded MI308‑related China revenue due to ongoing export restrictions.
Stock reaction was mixed: shares initially rose on the beat in revenue but later fell roughly 3‑6 percent in after‑hours trading, possibly reflecting concerns around lower margins and export uncertainty, even as long‑term AI tailwinds remain strong.
- Q2 2025 revenue: $7.70 b (+32 %)
- GAAP net income: $872 m ($0.54/share)
- Non‑GAAP EPS: $0.48 (in line estimate)
- Gaming +73 %, Client +67 %, Data Center +14 %
- Gross margin: 40 % GAAP, 43 % non‑GAAP (54 % ex‑charge)
- Q3 outlook: ~$8.7 b revenue, strong AI product demand
AMD’s Q2 report highlights robust demand, especially in gaming and PC segments, while AI‑linked data center expansion remains a critical growth driver. The export‑related write‑down muted margins, but strong Q3 guidance and the launch of MI350 accelerators suggest solid momentum into the second half of 2025.
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