OpenAI<\/a> last year.<\/p>\nThe company expects quarterly revenue of $11.2 billion, plus or minus $300 million, compared with estimates of $10.52 billion.<\/p>\n
It also forecast server CPU revenue to grow by more than 70% year-on-year in the \u200csecond quarter.<\/p>\n
The company expects adjusted gross margins of about 56% for the second quarter, compared with \u200banalyst expectations of 55.4%.<\/p>\n
For the first quarter, adjusted for stock compensation and other items, AMD reported \u200bper-share earnings of $1.37 on revenue of $10.25 billion. Analysts expected revenue of $9.89 billion \u200band earnings of $1.29 per share.<\/p>\n
MEMORY CRUNCH WEIGHS ON DEMAND<\/p>\n
The semiconductor industry is also grappling with a global shortage of memory chips, stemming \u200cfrom a rush to secure supply of high-bandwidth memory used in \u200bdata centers alongside GPUs and CPUs.<\/p>\n
The sharp \u200bincrease in memory prices is also expected to hit demand for consumer electronics – a key market for AMD – as pricier computers are expected to turn consumers away. The company’s Client and Gaming segment, which includes its consumer hardware, rose 23% to $3.6 billion compared with a year ago.<\/p>\n
Executives said AMD is \u200bplanning for second-half PC shipments to be lower owing to \u200chigher memory and component costs, and expects second-half gaming revenue to decline more than 20% compared with the first half.<\/p>\n
AMD stock has far \u200boutperformed Nvidia’s year-to-date gain of 5% and the broader Philadelphia Semiconductor Index’s 55% rise, as of Tuesday’s close.<\/p>\n
(Reporting by Zaheer Kachwala in Bengaluru \u200band Max A. Cherney in San Francisco; Editing by Sriraj Kalluvila and Matthew Lewis)<\/p>\n","protected":false},"excerpt":{"rendered":"By Zaheer Kachwala and Max A. Cherney May 5 (Reuters) – Advanced Micro Devices forecast second-quarter revenue above…\n","protected":false},"author":2,"featured_media":28816,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[2208,24,25,85,58,15702],"class_list":{"0":"post-28815","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-ai","8":"tag-advanced-micro-devices","9":"tag-ai","10":"tag-artificial-intelligence","11":"tag-data-center","12":"tag-nvidia","13":"tag-wall-street-expectations"},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/28815","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=28815"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/28815\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/28816"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=28815"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=28815"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=28815"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}