amd announced the financial results for the first quarter of the year (Q1 2022), where the company generated $5,887 million in revenuea growth of 71 percent compared to the same period last year (Q1 2021). In terms of net profit, they were $786 million, which represents a growth of 42%. Finally, the value of its shares increased by 24%, from $0.45 a year ago. at $0.56, but it represents a 30% drop from its value in Q4 2021.
“AMD today announced first-quarter 2022 revenue of $5.9 billion, gross margin of 48%, operating income of $951 million, operating margin of 16 %, net income of $786 million and diluted earnings per share of $0.56.
On a non-GAAP basis, gross margin was 53%, operating income $1.8 billion, net income $1.6 billion and diluted earnings per share $1.13 . The first quarter 2022 results include interim financial results for the quarter of the recent acquisition of Xilinx, which closed on February 14, 2022.”
As expected, most of these revenues comes from the computer and graphics divisionwith 2,800 million dollars generated, 33% growth compared to Q1 2021 and 8% compared to Q4 2021.
his business Enterprise, Embedded, and Semi-Custom Chip Design generated $2,500 million, 88% more compared to the first quarter of 2021 and 13% more compared to the fourth quarter of 2021. Revenues were driven by AMD EPYC processors and semi-custom chips, i.e. consoles, since most of these chips are transported.
Quarterly Summary of AMD Financial Segments:
- Computer and Graphics segment revenue was $2.8 billion, up 33% year-over-year and 8% quarter-over-quarter. The year-over-year increase was driven by sales of Ryzen processors and Radeon graphics cards. The quarter-over-quarter increase was driven by Ryzen CPU sales.
- The average selling price (ASP) of mainstream processors increased year-over-year and quarter-over-quarter thanks to a greater mix of Ryzen processor sales.
- GPU ASP increased during the year driven by sales of high-end Radeon processors and decreased during the quarter due to a lower data center GPU revenue mix.
- Operating profit was $723 million, down from $485 million a year ago and $566 million in the prior quarter. The improvement in the operating result is mainly explained by the increase in revenues, partially offset by the increase in operating expenses.
- Record Enterprise, Embedded and Semi-Custom segment revenue was $2.5 billion, up 88% from a year ago and 13% from the prior quarter, driven by higher revenues from EPYC processors and higher sales of semi-personal and embedded products.
- Operating profit was $881 million, down from $277 million a year ago and $762 million in the prior quarter. The improvement in operating profit was mainly due to higher revenues and an $83 million license gain.
- Xilinx’s partial quarter revenue was $559 million, with operating profit of $233 million. On a pro forma basis for the full quarter, Xilinx generated over $1 billion in revenue, up 22% year-over-year, driven by growth in all major end-market categories from Xilinx.
- Operating losses for all other segments were $886 million, compared with operating losses of $100 million a year ago and $121 million in the prior quarter. The increase in operating losses is mainly due to the amortization of intangible assets and acquisition-related costs.
Recent Company Highlights
- AMD has completed the largest acquisition in the history of the semiconductor industry when acquiring Xilinx to create the industry leader in high-performance adaptive computing with dramatically expanded scale and the strongest portfolio of adaptive SoCs, graphics and edge computing products.
- AMD announces definitive agreement acquire the thought for approximately $1.9 billion before working capital and other adjustments. Pensando’s distributed services platform will extend AMD’s data center product portfolio with a high-performance data center processing unit (DPU) and software stack already deployed at scale across cloud clients and devices. companies, such as Goldman Sachs, IBM Cloud, Microsoft Azure, and Oracle Cloud.
- AMD announced the general availability of 3rd Generation AMD EPYC processors featuring AMD 3D V-Cache technology, which deliver industry-leading performance in technical computing workloads, the industry’s largest L3 cache, and modern security features .
- Cloud customers continued to expand their AMD EPYC processor offerings, with 465 cloud instances now delivering powerful performance for today’s most critical workloads.
- Microsoft Azure has upgraded its HBv3 virtual machines (VMs) to 3rd Gen AMD EPYC processors with AMD 3D V-Cache technology, driving the fastest adoption ever on the high-performance computing (HPC) platform ) of Azure.
- AMD EPYC processors now power new compute-optimized Google Cloud C2D virtual machines, giving customers excellent performance for HPC workloads in areas such as electronics design automation and computational fluid dynamics.
- AMD powers the new Amazon EC2 Hpc6a instances for HPC workloads and Amazon EC2 6a instances for compute-intensive workloads, delivering better price performance than the previous generation.
- AMD has expanded its line of high-performance AMD Ryzen desktop processors for gamers and creators.
- AMD today announced the Ryzen 7 5800X3D processor, the first Ryzen processor with AMD 3D V-Cache technology and the industry’s first x86 PC processor with 3D stacked chiplets. The Ryzen 7 5800X3D processor delivers cutting-edge gaming performance on select titles compared to competitive processors without stacked cache technology.
- Lenovo has expanded its ThinkStation P620 workstation lineup with new Ryzen Threadripper PRO 5000 WX-Series processors, bringing dominant full-spectrum performance leadership to the most demanding professional workloads.
- AMD has also expanded the Ryzen desktop processor portfolio with six new “Zen 3” and “Zen 2” processors, giving PC enthusiasts even more options to create a personalized gaming experience.
- AMD has expanded the Versal product line with the first customer shipments of the adaptable Versal HBM SoC with embedded HBM2e memory and the Versal Premium product series with AI engines optimized for signal-intensive applications such as radar and testing of next-generation systems and wireless devices.
- AMD announced that its board of directors had approved a new $8 billion share buyback program. This program is in addition to the $4 billion share buyback program announced last year.
- AMD has entered into a $3 billion sustainability-linked credit facility to replace its existing $500 million revolving credit facility and reinforces the company’s commitment to environmental, social and governance (ESG) objectives of the company.
- AMD announced that its Board of Directors has elected President and CEO Dr. Lisa Su as Chairman of the Board and John E. Caldwell as Lead Independent Director. Former Xilinx board members Jon Olson and Elizabeth Vanderslice also joined AMD’s board as part of the Xilinx acquisition.