AMD Reports 9 Percent Revenue Increases, Strong Net Income

AMD (NASDAQ:AMD), high-performance computing company announced its third quarter earnings, reporting a nine percent increase in revenues, driven by its computing and graphics divisions. The company reported US$120 million in net income, rising from US$102 million during the same time last year, with earnings per share figures reaching US$0.11.

As quoted in the press release:

Q3 2019 Results

• Revenue was $1.80 billion, up 9 percent year-over-year and 18 percent quarter-over-quarter due to higher revenue in the Computing and Graphics segment, partially offset by lower revenue in the Enterprise, Embedded and Semi-Custom segment.

• Gross margin was 43 percent, up 3 percentage points year-over-year and 2 percentage points quarter-over-quarter, primarily driven by increased Ryzen^TM and EPYC^TM processor sales.

• Operating income was $186 million compared to $150 million a year ago and $59 million in the prior quarter. Non-GAAP operating income was $240 million compared to $186 million a year ago and $111 million in the prior quarter. The year-over-year and sequential increases were primarily due to higher revenue in the Computing and Graphics segment.

• Net income was $120 million compared to $102 million a year ago and $35 million in the prior quarter. Non-GAAP net income was $219 million compared to $150 million a year ago and $92 million in the prior quarter.

• Diluted earnings per share was $0.11 compared to $0.09 a year ago and $0.03 in the prior quarter. Non-GAAP diluted earnings per share was $0.18 compared to $0.13 a year ago and $0.08 in the prior quarter.

• Cash, cash equivalents and marketable securities were $1.2 billion at the end of the quarter.

Click here to read the full press release.