AMD Releases Q2 2024 Earnings Report with Revenue Growth and AI Chip Outlook

TapTechNews July 31st news, AMD today released its second quarter 2024 financial report. The total revenue is 5.835 billion US dollars (TapTechNews note: currently about 42.379 billion Chinese yuan). It has increased by 9% year-on-year and 7% quarter-on-quarter, while the previous expectation was 5.72 billion US dollars.

TapTechNews note: In this quarter, AMD's net profit is 265 million US dollars, an increase of 881% year-on-year and 115% quarter-on-quarter; it amounts to 16 US cents per share, while it was 2 US cents last year, an increase of 700% year-on-year and 129% quarter-on-quarter.

Although AMD is the second-largest data center graphics processing unit (GPU) supplier after Nvidia, its share price has still dropped by about 6% so far this year.

Investors hope to see AMD take market share away from its long-term rival Nvidia with the MI300X artificial intelligence chip and send a signal of the growth of the data center artificial intelligence business.

AMD said earlier this year that it expects the sales of artificial intelligence chips to reach 4 billion US dollars this year, accounting for about 15% of the company's expected sales.

AMD's chief executive, Lisa Su, said in a call with analysts that the company's sales of AI chips were higher than expected, and the revenue of the MI300 chip in this quarter exceeded 1 billion US dollars.

Lisa Su said: We now expect the data center GPU revenue in 2024 to exceed 4.5 billion US dollars, higher than the 4 billion US dollars we predicted in April.

The sales of AMD's AI chips are reported in the company's data center department. Driven by the increase in AIGPU shipments, the sales of this department soared by 115% year-on-year to 2.8 billion US dollars.