AMD (NASDAQ:AMD) Posts Record Revenue as Data Centre Sales Nearly Double Year-Over-Year

Aditi Sarkar

11 November 2026 03:14 PM AEDT

AMD (NASDAQ:AMD) Posts Record Revenue as Data Centre Sales Nearly Double Year-Over-Year

Image Source: Shutterstock

You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to our research reports, in-depth technical and fundamental research. Learn more

Start Your Free Trial Now!

Highlights

Q3 2026 Revenue was a record $13.4 billion, up 45% year-over-year, with Data Centre segment revenue surging 97% to $8.5 billion — a new segment record.
Non-GAAP diluted EPS was $2.09, up 74% year-over-year, with non-GAAP Operating Income of $3.9 billion and non-GAAP gross Margin of 56%.
Anthropic, Meta, Microsoft, OpenAI, and Oracle Cloud Infrastructure are running workloads on AMD's first Helios rack-scale AI systems.
AMD guided Q4 2026 revenue to approximately $17 billion (±3%), implying approximately 66% year-over-year growth and 27% sequential growth.

Advanced Micro Devices (NASDAQ:AMD) reported record third-quarter 2026 financial results, with revenue exceeding the high end of guidance as its Data Centre Business continued to scale rapidly against the backdrop of surging AI infrastructure spending globally.

Record Quarter Anchored by Data Centre Surge

Total revenue for Q3 2026 was $13.4 billion, up 45% from $9.2 billion in the year-earlier period and above the top of guidance. Data Centre segment revenue was the standout performer at $8.5 billion, up 97% year-over-year and comprising approximately 64% of total company revenue. Growth was driven by record sales of AMD Instinct MI450 Series GPUs and AMD EPYC server processors, which are increasingly being selected by hyperscalers and cloud providers for both AI Training and inference workloads. GAAP operating income rose 123% year-over-year to $2.8 billion.

Non-GAAP diluted EPS reached $2.09, up 74% year-over-year from $1.20, while GAAP diluted EPS was $1.46, up 95%. Non-GAAP gross margin was 56% and non-GAAP operating income was $3.9 billion, reflecting significant Operating Leverage as the high-margin Data Centre business increased its share of the revenue mix.

Helios Rack-Scale Systems Gain Major AI Lab Adoption

AMD disclosed that Anthropic, Meta, Microsoft, OpenAI, and Oracle Cloud Infrastructure are running models and workloads on its first Helios rack-scale AI systems, which combine MI450 GPUs and 6th Generation EPYC CPUs in a reference architecture for agentic AI. AMD's server revenue is expected to double year-over-year in fiscal 2027. The company also announced agreements to acquire World Labs and Taalas, described as adding model research expertise and specialised inference silicon technology respectively.

Client and Embedded Performance; Gaming Weakness

The Client and Gaming segment reported $3.7 billion in revenue, down 8% year-over-year. Within this, Client revenue was $2.9 billion, up 7%, driven by sales of AMD Ryzen mobile processors, particularly Ryzen AI Halo platforms for developers running local AI models. Gaming revenue declined 40% to $773 million due to lower semi-custom and graphics revenue. The Embedded segment delivered $1.1 billion in revenue, up 29% year-over-year, with growth across aerospace and defence, automotive, communications, and industrial end markets.

Aggressive Q4 Guidance Signals Continued Momentum

AMD guided fourth-quarter 2026 revenue to approximately $17 billion, plus or minus 3%, which at the midpoint represents approximately 66% year-over-year growth and 27% sequential growth. Non-GAAP gross margin for Q4 is expected to be approximately 55%. CFO Jean Hu characterised the guidance as reflecting the significant operating leverage in AMD's business model as the Data Centre segment continues to scale.

Download Free Report – Explore 3 Stock Ideas & Industry Insights

Unlock 3 stock ideas and key industry insights in our free report. This information is general in nature and does not consider your personal objectives, financial situation, or needs. It is not financial advice.

All investments involve risk—consider independent advice before making any investment decisions.

View 3 Research Reports

Disclaimer:

This article (“Article”) has been prepared by Kalkine Pty Limited (ABN 34 154 808 312) (Australian financial services licence number 425376) (“Kalkine”) and its related bodies corporate who are authorised to provide general financial product advice. Kalkine.com.au and its associated pages are published by Kalkine.

Any information/advice provided in this article is general in nature and does not take into account your objectives, financial situation or needs. You should therefore consider whether the information is appropriate for your objectives, financial situation and needs before acting upon it.

There may be a Product Disclosure Statement, Information Memorandum or other offer document (“Offer Document”) for the securities or other financial products referred to in Kalkine articles. You should obtain a copy of the Offer Document and consider it before making any decision about whether to acquire the security or financial product.

Kalkine strongly recommends that you seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) before acting on any advice/information in this Article or on the Kalkine website. Not all investments are appropriate for all people.

The information in this Article and on Kalkine website has been prepared from a wide variety of sources, which Kalkine, to the best of its knowledge and belief, considers accurate. Kalkine has made every effort to ensure the reliability of the information contained in its articles (including this Article), newsletters and websites. All information represents our views at the date of publication and may change without notice.

The information in this Article does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products.

Kalkine does not issue, sell or deal in any financial products.

This Article may contain information on past performance of particular investments. Please note past performance is neither an indicator nor a guarantee of future performance.

To the extent permitted by law, and excluding any dishonesty or gross negligence by Kalkine, Kalkine disclaims and excludes all liability for any direct, indirect, implied, punitive, special, incidental or other consequential loss or damage arising from the use of or reliance on this Article, the Kalkine website and any information published on the Kalkine website without any warranties or representations by Kalkine to you. To the extent the law prohibits or limits this exclusion, Kalkine limits its liability to the resupply of services.

Please also read our Terms & Conditions and Financial Services Guide for further information.

Employees and/or associates of Kalkine and its related entities may hold interests in the securities or other financial products covered in this Article or on the Kalkine website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.

Some of the images/music that may be used in the Article are copyright to their respective owner(s). Kalkine does not claim ownership of any of the pictures displayed/music used in the Article unless stated otherwise. The images/music that may be used in the Article are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Kalkine Media Pty Ltd, an affiliate of Kalkine Pty Ltd, may have received, or be entitled to receive, financial consideration in connection with providing information about certain entity(s) covered on its website.