February 4, 2025 2:04 PM
Jack Huynh shows off new AMD processors at CES 2025.
Image Credit: AMD
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Advanced Micro Devices reported revenue of $7.658 billion for the fourth quarter, up 24% from a year ago. But AMD’s stock price fell in after-hours trading to $113.66, down 4.89%.
Net income was $482 million for the fourth quarter ended December 31, down 28% from $667 million a year earlier.
AMD saw data center segment revenue of $3.9 billion in the quarter, up 69% from a year ago. It was driven by record Epyc CPU and Instinct GPU revenues — and the demand is being driven by the rapid adoption of AI. For 2024, data center segment revenue was a record $12.6 billion, an increase of 94% compared to the prior year, driven by growth in both AMD Instinct and Epyc processors.
Client revenue in the quarter was $2.3 billion, up 58% from a year earlier. AMD itself expected overall Q4 to come in at $7.5 billion in revenue, plus or minus $300 million. Back in November, AMD announced that it was laying off 4% of its staff, or about 1,000 people.
The gaming segment saw revenue of $563 million, down 58% from a year ago due to lower semi-custom revenue. That revenue mainly comes from sales from Xbox and PlayStation game console revenues.
Embedded segment revenue of $923 million, down 13% from a year ago as customers continued to normalize inventory levels.
For the first quarter of 2025, AMD expects revenue to be approximately $7.1 billion, plus or minus $300 million. At the mid-point of the revenue range, this represents year-over-year growth of approximately 30% and a sequential decline of approximately 7%. Non-GAAP gross margin is expected to be approximately 54%.
“2024 was a transformative year for AMD as we delivered record annual revenue and strong earnings growth,” said AMD CEO...