Advanced Micro Devices (AMD) reported strong first-quarter 2026 results on March 28, 2026, driven by increasing demand for AI infrastructure. Non-GAAP earnings reached $1.37 per share, a 42.7% year-over-year increase, and revenues climbed 37.8% to $10.25 billion, both surpassing the Zacks Consensus Estimates by 5.4% and 5.3%, respectively. Data Center revenue surged 57.2% year over year, reaching a record $5.78 billion.
The Client and Gaming segments saw a 22.6% year-over-year increase in revenue to $3.61 billion, while the Embedded segment grew by 6.1% to $873 million. AMD’s gross margin improved by 180 basis points year over year to 55.4%. The company anticipates second-quarter revenues of approximately $11.2 billion, indicating around 46% year-over-year growth, largely fueled by the Data Center segment and continued momentum in Client and Gaming segments.
As of the end of the first quarter, AMD held $12.35 billion in cash and equivalents and reported operating cash flow of $2.96 billion, showing a significant rise from $2.30 billion in the prior quarter. The company returned $1.1 billion to shareholders through a share repurchase program, with $9.2 billion remaining under its current authorization.
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