Advanced Micro Devices (AMD) reported second-quarter 2025 non-GAAP earnings of 48 cents per share, beating the Zacks Consensus Estimate by 2.13%, although this represents a 30.4% decline year over year. Revenues reached $7.685 billion, exceeding estimates by 3.74% and reflecting a year-over-year increase of 31.7% and a sequential increase of 3.3%. The revenue growth was driven by strong sales of Ryzen and EPYC processors.
AMD’s Data Center segment generated $3.240 billion in revenues, a 14.3% year-over-year increase, while the Client and Gaming segment saw revenues rise 69% year over year to $3.6 billion. However, the Embedded segment faced a revenue decline of 4.3% to $824 million. The company announced plans for third-quarter 2025 revenues of approximately $8.7 billion, with anticipated growth of about 28% year over year.
As of June 28, 2025, AMD’s cash and cash equivalents totaled $5.867 billion, down from $7.310 billion at the end of March. Additionally, AMD reported an $800 million inventory write-down due to U.S. export controls affecting sales to China, contributing to a non-GAAP gross margin contraction of 990 basis points year over year, resulting in a margin of 43.3%.
