AMD has reported another record quarter. The company’s revenue has continued to grow continuously since the beginning of 2020. AMD notes high demand for all categories of products it offers – CPUs, GPUs and semi-custom chips, which entails taking new financial milestones and allows it to raise its forecast for the results of the year.
In the second quarter of 2021, AMD generated $ 3.85 billion. This is a huge jump from the results of the second quarter of last year, when revenue was $ 1.93 billion. Thus, for the year the company almost doubled its revenue. Other indicators look even more impressive: AMD’s net profit increased by 352% in relation to the result of a year ago and reached $ 710 million. Against the background of such numbers, it is not surprising that the gross profit increased, which reached 48%, which is 4 pp. higher than a year ago, and by 2 p.p. higher than last quarter’s gross profit.
The quarterly revenue in the graphics and compute direction, which includes sales of processors for PCs and all graphics cards in the reporting, was $ 2.25 billion, which is 65% more than last year. Unfortunately, AMD did not share details of the segment’s breakdown, but did mention that customer processor sales are up double-digit percent year-over-year, and their average selling price is adding up both qoq and yoy. This indicates the growing popularity of expensive and high-margin components, and AMD separately emphasizes that the trend applies to both desktop and mobile chips. For example, Ryzen 9 series processors have more than doubled in sales over the year, and Ryzen PRO processors have almost doubled.
Along the way, the company also mentioned the growth of the GPU business, the profitability of which also doubled in annual terms. As in the case of central processors, the average price of video cards has become higher. This is driven by both demand for solutions like the Radeon RX 6000 and growing sales of Instinct compute accelerators for data centers.
In server, embedded and semi-custom solutions, AMD’s success looks even more impressive due to the proliferation of EPYC processors and the high demand for chips for consoles. This direction brought $ 1.6 billion in revenue to the company’s piggy bank, showing an increase of 183% year-on-year. It is worth noting that this direction is becoming more and more important for AMD – according to the results of the last quarter, it provided the company with 42% of all revenues, whereas a year ago the share of server, embedded and semi-custom solutions in the company’s business was only 29%. AMD separately noted that EPYC sales set another all-time record and were able to contribute 20 percent to revenues in the second quarter, while demand for chips for consoles continues to grow in both annual and quarterly terms.
Considering market trends, AMD issued a very optimistic forecast for the third quarter, expecting a new revenue record of $ 4.1 billion. As for expectations for the whole of 2021, AMD believes that it will be 60% more profitable for it than the past and will allow it to get revenue of $ 15.7 billion.
Investors reacted positively to the report. AMD shares after the publication of financials added 2.2%.
If you notice an error, select it with the mouse and press CTRL + ENTER.
Source: 3DNews – все новости сайта by 3dnews.ru.
*The article has been translated based on the content of 3DNews – все новости сайта by 3dnews.ru. If there is any problem regarding the content, copyright, please leave a report below the article. We will try to process as quickly as possible to protect the rights of the author. Thank you very much!
*We just want readers to access information more quickly and easily with other multilingual content, instead of information only available in a certain language.
*We always respect the copyright of the content of the author and always include the original link of the source article.If the author disagrees, just leave the report below the article, the article will be edited or deleted at the request of the author. Thanks very much! Best regards!