AMD Posts Record $13.4 Billion Q3 Revenue as Data Center Sales Nearly Double and Guides to About $17 Billion

Advanced Micro Devices reported record third-quarter revenue on Tuesday, November 3, 2026, as sales in its data center business nearly doubled from a year earlier, and it forecast fourth-quarter revenue well above Wall Street's expectations. The shares rose in extended trading and remained higher in premarket activity on Wednesday, though the gain narrowed.

In its earnings release, AMD said revenue for the quarter rose 45% from a year earlier to $13.4 billion, exceeding the high end of its guidance. Gross margin was 54%, operating income was $2.8 billion, net income was $2.4 billion and diluted earnings per share were $1.46. On a non-GAAP basis, gross margin was 56%, net income was $3.5 billion and earnings per share were $2.09, up 74% from $1.20 a year earlier.

Beat on revenue and earnings

Revenue of $13.38 billion compared with the $13.09 billion analysts expected, and adjusted earnings of $2.09 per share compared with an expected $1.95, according to LSEG consensus estimates cited by CNBC. Revenue was $9.25 billion in the same quarter a year earlier.

Data center drives growth

Data center segment revenue reached a record $8.5 billion, up 97% from a year earlier, driven by demand for AMD EPYC server processors and the launch of AMD Instinct MI450 Series GPUs, the company said. CNBC reported that the data center unit accounted for 64% of total revenue, up from 47% a year earlier.

The client and gaming segment posted revenue of $3.7 billion, down 8% from a year earlier. Within that segment, client revenue rose 7% to $2.9 billion on sales of Ryzen mobile processors, while gaming revenue fell 40% to $773 million on lower semi-custom and graphics sales. Embedded segment revenue rose 29% to $1.1 billion.

"We delivered a record quarter with revenue exceeding the high end of our guidance as Data Center segment sales nearly doubled year-over-year," chair and CEO Lisa Su said in the release. She said the company expects growth to accelerate further in the fourth quarter as it scales production of its Helios rack-scale systems and "Venice" processors.

On the earnings call, Su said she expects server revenue to double year over year in 2027, CNBC reported. "We have worked across our supply chain to secure the wafers, substrates, advanced packaging, memory, and other key components needed to support much higher growth next year," she said.

Fourth-quarter outlook

AMD forecast fourth-quarter revenue of approximately $17 billion, plus or minus 3%. The midpoint represents growth of about 66% from a year earlier and about 27% from the third quarter. The average analyst estimate was $16.2 billion, according to LSEG data cited by CNBC. AMD expects a non-GAAP gross margin of about 55%, slightly below the 55.3% average estimate compiled by StreetAccount, CNBC said.

The company said Anthropic, Meta, Microsoft, OpenAI and Oracle Cloud Infrastructure are running models and workloads on its first Helios rack-scale systems, which use Instinct MI450 Series GPUs and 6th Gen EPYC processors. It also highlighted agreements to acquire AI lab World Labs and inference chip developer Taalas. CNBC reported that the World Labs deal, announced in September, is valued at $8.2 billion in stock, and that AMD has committed to invest up to $5 billion in Anthropic and agreed to invest $1 billion in Meta's equity offering.

Share price snapshot

AMD shares closed Tuesday's regular session at $483.90, up 3.65%, and rose about 8% in extended trading after the report, according to CNBC. In premarket trading on Wednesday the gain faded: by about 7:12 a.m. ET, the stock was at about $491.99, roughly 1.7% above Tuesday's close, according to Yahoo Finance data. Premarket prices are snapshots and can change before and after the 9:30 a.m. ET open.

CNBC said AMD's stock had risen about 125% this year but had fallen for three consecutive sessions before Tuesday's rally, amid an industrywide sell-off tied to concerns about overspending on artificial intelligence infrastructure. Su is scheduled to appear in an interview on CNBC's "Squawk on the Street" at 9 a.m. ET on Wednesday, the network said.