In This Article:
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Q4 Revenue: Increased by 10% year-over-year to $6.2 billion.
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Full Year Revenue: Declined by 4% year-over-year to $22.7 billion.
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Q4 Net Income: Surged to $667 million, a significant rise from $21 million in the same quarter last year.
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Full Year Net Income: Decreased by 35% to $854 million compared to the previous year.
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Data Center Segment: Q4 revenue up 38% year-over-year, full year up 7%, driven by AMD Instinct GPUs and EPYC CPUs.
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Gross Margin: Q4 GAAP gross margin increased to 47%, non-GAAP gross margin remained flat at 51%.
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Earnings Per Share: Q4 GAAP EPS at $0.41, up from $0.01 in Q4 2022; non-GAAP EPS at $0.77.
On January 30, 2024, Advanced Micro Devices Inc (NASDAQ:AMD) released its 8-K filing, detailing the financial outcomes for both the fourth quarter and the full fiscal year of 2023. AMD, a leading semiconductor company known for its CPUs and GPUs, reported a 10% increase in Q4 revenue year-over-year, reaching $6.2 billion, with a notable gross margin improvement. However, the full year revenue saw a 4% decline compared to the previous year, standing at $22.7 billion.
AMD's financial performance in Q4 was bolstered by record sales in its Data Center segment, particularly from its AMD Instinct GPUs and EPYC CPUs. The company's CEO, Dr. Lisa Su, highlighted the strong demand for AMD's high-performance data center products, which she believes positions the company for significant growth, especially as AI reshapes the computing market. Despite a mixed demand environment throughout the year, AMD's EVP and CFO, Jean Hu, emphasized the company's successful launches, especially the AMD Instinct MI300 GPUs, setting the stage for a strong product ramp in 2024.
The company's Data Center segment revenue for the quarter was $2.3 billion, a 38% increase year-over-year, driven by growth in AMD Instinct GPUs and 4th Gen AMD EPYC CPUs. The Client segment also saw a substantial increase, with revenue up 62% year-over-year, primarily due to AMD Ryzen 7000 Series CPU sales. However, the Gaming segment experienced a decline in revenue, down 17% year-over-year, attributed to a decrease in semi-custom revenue. The Embedded segment revenue decreased by 24% year-over-year, mainly due to inventory reductions by customers.
AMD's financial achievements, particularly in the Data Center segment, underscore the company's competitive edge in a critical and growing market. The semiconductor industry is increasingly focused on data center and AI applications, and AMD's strong performance in these areas is a positive indicator of its strategic positioning and future growth potential.